The agreement calls for Emcore and San’an to register and operate their previously announced joint venture, Suncore Photovoltaics, in Huainan City, to develop and manufacture high-concentration photovoltaic (CPV) components and systems for terrestrial solar power applications.
On 30 July 2010, Emcore entered into a joint venture agreement with San’an for the purpose of engaging in the development, manufacture, and distribution of CPV receivers, modules and systems for terrestrial solar power applications.
The joint venture agreement provides for Suncore to be owned 40% by Emcore and 60% by San’an.
Emcore and San’an had earlier planned to establish Suncore’s primary manufacturing operations in Wuhu City, Anhui province of China.
Suncore is expected to establish a total of 1,000MW of manufacturing capacity in Huainan over the next five years, with 200MW of capacity to be ready by the end of 2011, 300MW by the end of 2013, and the remaining 500MW by the end of 2015.
At that capacity, the total capital expenditure and working capital investment is estimated to be RMB8bn (approximately $1.2bn).
Moreover, Huainan will provide RMB500m (approximately $75m) to Suncore within three days of the start of the construction of the Suncore manufacturing plant in Huainan.
