REC Group announced that it will build a new worldscale solar manufacturing complex in Singapore with total investments possibly exceeding US$4.3 billion (EUR 3 billion) within the next 5 years. It has simultaneously signed an agreement with the Singaporean government agency Economic Development Board (EDB) that defines the terms and conditions related to the development of a new production site, the process of establishing a manufacturing complex, as well as operational and commercial conditions.
In addition to wafer, cell and module production, the manufacturing complex will incorporate infrastructure and support facilities, as well as an on-site supplier park. Sufficient space has also been reserved for future R&D activities and possible manufacturing facilities based on potential new technologies.
The green field site can hold a capacity of up to 1.5 GW within each product area, although it is not likely that the production capacity for wafer, cells and modules will be fully balanced. Depending on the final capacity and site development, total investments in the Singapore site may exceed EUR 3 billion within the next 5 years and the total number of employees could be around 3 000 people.
The development of this site will enable us to continue expanding in a cost efficient manner and will support REC's ambitious cost target. Our future cost position will determine our ability to deliver solar products that can compete with traditional energy sources in the sunny areas of the world without government incentives", said Erik Thosen, the President & CEO of REC.
REC is positioned in the solar energy industry as the only company with a presence across the entire value chain. REC Silicon and REC Wafer are the world's largest producers of polysilicon and wafers for solar applications. REC Solar produces solar cells and solar modules. REC Group had revenues in 2006 of US$810 million (NOK 4 334 million) and an operating profit of US$294 million (NOK 1 574 million).