With an increase in demand for photovoltaic power systems in Europe, Quantum Fuel Systems Technologies Worldwide, Inc. (NASD: QTWW) announced that their German solar partner, Asola Advanced and Automotive Solar Systems GmbH, is enhancing their annual solar module manufacturing capacity to 45 MW (megawatts peak power). Financing for the expansion has been fully secured by Asola, and the launching of the new facility is expected to happen by fall of this year.
Both parties have been in discussion regarding the expansion of their current partnership, in which Quantum holds a 25% stake in Asola. Earlier this year the two companies entered into a long-term supply agreement with Ersol Solar Energy AG for the procurement of 155 MW of high-efficiency silicon photovoltaic solar cells. This allows the two companies to have a sufficient amount of solar cells, thereby giving them protection for any future disruptions due to crystalline silicon shortages. The companies have entered into numerous supply agreements with major suppliers around the world, and Asola and Quantum anticipate generating more than $600 million as a result of the agreements.
“Electricity buy back guarantee programs continue to expand the market for high quality solar photovoltaic power systems in Europe. We are excited to be in this vibrant market place, and pleased by the customer-loyalty and appreciation for Asola’s technology leadership, reliability and highest manufacturing quality,” said Alan P. Niedzwiecki, President and CEO of Quantum.
“Asola is pleased to kick off this much needed expansion project in partnership with Quantum,” commented Asola’s founder and CEO, Reinhard Wecker. “We are thankful to our bank, local and federal government agencies, key customers and suppliers for their collaboration and support for this project. Our expanded capacity will allow us to serve new and existing customers who are demanding increasing quantities of high quality solar photovoltaic products to ensure reliable electricity production during peak demand hours.”
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