Hanwha Solar signs MOU
Hanwha SolarOne has announced it has signed a memorandum of understanding ("MOU") with Shanghai HuiTianRan Investment Holding Group Co., Ltd ("HTR") stating their intention to establish a long-term strategic partnership to cooperate in the PV downstream business, leveraging HTR's existing JV project company with a large state-owned electric power company ("SOE"). The two companies also aim to jointly establish a JV company to develop and construct PV power plant projects ("EPC JV"). HTR intends to use PV modules manufactured by Hanwha SolarOne in its 700 MW power plant projects or select HSOL to be the EPC service supplier for said projects. HTR will also identify both commercial and residential rooftop resources. The two companies intend to enter into a definitive strategic cooperation agreement within 60 days following signing of this MOU.
Mr. Jay SEO, Chief Financial Officer of Hanwha SolarOne and head of Hanwha SolarOne's downstream business commented, "The MOU with HTR provides further impetus to our accelerating downstream activities in China. The contemplated cooperation on HTR's planned 700 MW PV power plant projects with a well-established SOE provides the potential for either a large module supply agreement or selection as sole EPC provider." Mr. Seo concluded, "We continue to build up our track record and project profile in EPC and plan to engage in IPP development and ownership going forward. We have now identified downstream business potential of 950 MW in China through this and other recently announced agreements."
