Joint Venture To Develop Anti Reflective Film

Natcore Technology has announced that it has reached agreement with a consortium in China to form a joint venture company to develop and manufacture film-growth equipment and materials using Natcore's proprietary Liquid Phase Deposition (LPD) technology. The technology would be used in the production of solar cells.

Natcore has signed a letter of intent with the Zhuzhou Hi-Tech Industrial Development Zone to form the new company, "Natcore China," with rights to manufacture anti-reflective (AR) film growth equipment and materials. Natcore China will be 55% owned by Natcore Technology, with the Hi-Tech Zone and its partners holding the remaining 45% ownership position.
Natcore's technology was developed at Rice University in Houston. LPD applies an AR coating in a room-temperature chemical bath, making the solar cells significantly cheaper and cleaner to produce. Existing technology uses a furnace and a vacuum to apply the coating to solar cells, requiring larger amounts of energy and expensive silicon to achieve the thickness needed to withstand the firing.

"This agreement is a major milestone in the growth of Natcore Technology," notes President and CEO Chuck Provini. "Not only does it fully fund our remaining R&D and production costs for AR film equipment, but it immediately plugs us into a network of end-users in China, which is the world's largest and fastest-growing producer of solar cells. In short, it helps move us out of the lab and closer to achieving our goal of making solar energy efficient enough to be affordable to the world."

Natcore China will be funded by an initial $3 million investment consisting of US$500,000 contributed by Natcore Technology, and US$2,500,000 contributed by the Chinese Partnership. Natcore China will have the exclusive right to develop, manufacture and sell solar cell AR film-growth equipment in China, and a three-year exclusive right to manufacture such equipment for sale outside of China. Natcore Technology and the Chinese Partnership have begun drafting a definitive agreement incorporating the principles reflected in the executed letter of intent. Completion of the agreements is subject to regulatory approval.

The Chinese Partnership will consist of the Zhuzhou Hi-Tech Industrial Development Zone and two Chinese firms, including a major producer of polysilicon and a manufacturer of industrial equipment used in the solar industry. Natcore's partners project that the joint venture company will eventually create as many as 500 jobs in manufacturing and R&D.