REC selects next major polysilicon production site

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Continuing
its commitment to be a leading polysilicon and wafer supplier to the
photovoltaics industry in the years to come, Renewable Energy
Corporation ASA (REC) has already selected the next major location for
future production expansion after 2010. REC said in a statement that it
selected a site in Becancour, Quebec, Canada. REC had announced a major
investment in an integrated 1.5GW manufacturing complex in Singapore in
June 2008 after a major site selection assessment.

“We are pleased to select Becancour as the preferred site for future silicon materials expansions. We look forward to a long and industrious relationship between REC and the people of Quebec. During the site selection and negotiation process, the Government of Quebec, particularly Investissement Quebec, has proven to be welcoming and encouraging. We also see great potential in the workforce and complimentary industries in the area,” commented Goran Bye, EVP Silicon at REC.

A key attraction to the region cited by REC was the ability to secure long-term, low-cost hydroelectric power as polysilicon plants are high energy consumers.

“The development of this site will enable us to continue expansion of our silicon business in the most cost efficient manner and will consequently support REC’s further growth downstream as well as our ambitious long-term cost target,” says Erik Thorsen, President and CEO of REC.

The Becancour, Quebec investment is expected to be more than $1.2 billion and should employ more than 300 people. Construction is expected to start in 2010 with Phase I production capacity available in 2012.

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