Longi Green Energy Technology to Buy USD1.1 Billion in Polycrystalline Silicon
Tang Shihua
DATE:  Aug 08 2019
/ SOURCE:  yicai
Longi Green Energy Technology to Buy USD1.1 Billion in Polycrystalline Silicon Longi Green Energy Technology to Buy USD1.1 Billion in Polycrystalline Silicon

(Yicai Global) Aug. 8 -- Longi Green Energy Technology recently penned a standing purchase contract to buy 112,800 tons of polycrystalline silicon over next three years for CNY7.646 billion (USD1.1 billion) to ensure stable supply of raw materials, the company said in a statement yesterday.

Its five wholly-owned units across China inked purchasing contracts for polycrystalline silicon with the supplier, Xinjiang Daqo New Energy, on Aug. 6, per the statement from the Xi'an, Shaanxi Province-based silicon giant.

The contract will run from January 2020 to December 2022, and the two will set the market price as a reference to negotiate their actual monthly price, with the specific amount delivered each month subject to the figure agreed to in the purchase order, the statement said, adding the contract's projected total volume is based on the average market price for the last week of July from China Nonferrous Metals Industry Association.

Longi Green Energy Technology, the world's largest maker of solar monocrystalline silicon, is actively expanding into the downstream solar battery component market. It has signed standing purchase orders for raw materials in recent years to safeguard supplies, e.g. the firm announced a CNY1.8 billion purchase deal for photovoltaic glass and a standing purchase contract for PV aluminum frame worth CNY5.324 billion successively last month.

Editor: Ben Armour

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Keywords:   Longi Green Energy,Polycrystalline Silicon