Major polysilicon producer GCL-Poly has entered into an agreement with monocrystalline equipment and wafer producer Wuxi Shangji Automation Co to partner on establishing a 300,000MT Fluidised Bed Reactor (FBR) ‘granular’ polysilicon plant in Inner Mongolia.
The strategic cooperation framework agreement is between GCL-Poly’s FBR polysilicon subsidiary, Jiangsu Zhongneng Polysilicon Technology Development Co., and Wuxi Shangji Automation Co. The plant is expected to need a total investment of RMB18 billion (US$2.78 billion).
GCL-Poly will have a 65% equity interest in the joint venture, while Wuxi Shangji will have a 35% stake.
The project is expected to be built in three phases, with an initial phase of 60,000MT of capacity built at an expected cost of RMB3.6 billion (US$556 million).
The key interest in the collaboration for Wuxi Shangji is securing long-term supply of granular polysilicon as it plans to become a major monocrystalline wafer producer. GCL-Poly’s granular polysilicon technology has the ability to become the lowest production cost polysilicon, giving Wuxi Shangji a cost competitive mono-wafer business.
The polysilicon plant would be the largest in the PV industry if the project was fully completed and ramped. Currently, the largest polysilicon plants are in the range of 80,000MT, all in China.
Xinte Energy recently announced plans for a 200,000MT polysilicon production complex near the city of Baotou, Inner Mongolia.
Xinte Energy’s existing major hub for polysilicon production is an 80,000MT facility in Urumqi, Xinjiang.