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Due to the current and future demand of silane gas for thin film and flat panel display manufacturing, REC ASA has amended its ‘Plant IV’ polysilicon expansion plans. REC is to expand silane gas production by a further 2,300MT per annum, while reducing polysilicon production from a planned 6,000 MT to approximately 4,000 MT per annum. REC has seen sales of silane grow 44 percent in a year and has secured $1 billion in long-term supply contracts in this year alone.

"This scope change makes a lot of sense - not only from a pure financial perspective, but also ensures improved product hedging as well as positions REC to potentially take advantage of future opportunities within thin-film, all while supporting a fast growth of REC's silicon wafer based technology platform", commented Erik Thorsen, President & CEO of REC. "We are today, and will remain for the foreseeable future, the largest producer of silane gas in the world. This decision will additionally enable us to maintain our position as the leading marketer to the merchant market of silane gas."

REC will now invest a further $200 million on expanding silane production, which includes additional silane loading bays, intermediate storage tanks for liquid silane and the expansion of general utilities.

The 2,000MT polysilicon reduction was said to also reflect the final scope of the Singapore Phase I expansion announced in June 2008.

Courtesy of Linde Electronics