Silicor signs equipment supplier for ‘lowest-cost’ Iceland poly fab

Facebook
Twitter
LinkedIn
Reddit
Email

Polysilicon producer, Silicor Materials, has signed German conglomerate, SMS Siemag, to supply equipment and factory design services for a planned new plant in Iceland.

California-headquartered Silicor hopes the plant will produce the world’s cheapest solar silicon via an aluminium smelting process that transforms metallurgical-grade silicon into the higher-purity variant needed for PV applications.   

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

Further cost advantages are expected from the location for the plant, first announced last year, which was chosen because of Iceland’s cheap geothermal energy and the availability of aluminium needed for the process. Silicor claims its process consumes two-thirds less energy than others, resulting in a lower-cost alternative variety of polysilicon. A figure of US$9/kg was touted last year.

Under the deal confirmed today with SMS Siemag, the companies will develop a plant with a guaranteed throughput of 16,000MT.

SMS will supply all the plant’s equipment as well as the technical and installation support needed to complete the plant.

Silicor said it expected the Iceland plant to be first in a series of facilities it would work on with SMS.

“The Silicor project provides the potential to fundamentally improve the supply chain for the production of solar silicon,” said Dr. Guido Kleinschmidt, member of the SMS Siemag executive board at SMS Siemag. “It is based on the environmentally friendly utilisation of Iceland’s natural resource of renewable energy, which fully complies with SMS’ ‘Ecoplants’ vision to provide ecological and economical optimised metallurgical plants.”

“We’re taking meaningful steps to get this plant off the ground in an aggressive timeframe, and the progress we’ve made in just a few months underscores our commitment to both the Icelandic community and to our customers,” said Silicor Materials CEO Theresa Jester. “SMS Siemag has nearly 140 years’ experience with projects of this type in the metals business, which makes the company a natural partner as we ramp production. Together, we are working to revolutionise the economics of the solar industry.”

Silicor has engaged Iceland’s Arion Bank to provide debt financing for the new plant.

Read Next

November 9, 2026
The Global Solar Council is set to unveil a ‘global rooftop solar declaration’ committing governments worldwide to 300 million new solar homes.
November 9, 2026
The International Energy Agency has forecast 3.6TW of new solar PV additions between 2026-2031 in its latest report on the renewables sector.
November 9, 2026
Germany's Solarwatt has received regulatory consent for a new bifacial TOPCon module designed for BIPV applications.
November 9, 2026
PV capacity in Türkiye is projected to increase from 26GW to 112GW by 2040 under a national energy vision published ahead of the COP31 summit.
November 9, 2026
Rezolv and Ahold Delhaize inked a virtual offtake agreement for the 1.3GWp Dama solar park and the 300MW Dunarea East wind farm in Romania.
November 9, 2026
European Energy and data centre operator AirTrunk have officially opened the 31MW Mulwala solar PV plant in NSW.

Upcoming Events

Solar Media Events
November 24, 2026
Warsaw, Poland
Solar Media Events
February 2, 2027
London, UK
Solar Media Events
April 20, 2027
Istanbul, Türkiye