Advanced Soltech signs cooperation agreements that generate just over SEK 31 million per year
An exclusive partnership agreement has been signed by Advanced Soltech Sweden AB (publ) “ASAB” wholly owned subsidiary Advanced Soltech Renewable Energy Hangzhou Co. Ltd. "ASRE" in China on the construction of 35 megawatts (MW) of solar energy capacity. The agreement has been signed with FengXian Economic Development Zone Investment Development Co. Ltd., owned by the local government in the city of FengXian in JiangSu Province.
agreement is expected to be fully extended and without contributions from
either the provincial or central government generate annual revenue of just
over SEK 31 million. This corresponds to an annual return on invested capital
of about 15%, which again shows that ASAB / ASRE does not depend on
contributions to achieve good profitability.
connection with the conclusion of the agreement, it was decided that ASRE will
build 6 MW during 2020. The plants are expected to produce approximately 1.1
kWh per installed watt per year and are owned by ASRE. The customer undertakes
for 20 years for each plant to purchase the electricity produced.
ASAB Chairman of the Board, Stefan Ölander in a comment:
We are very pleased that the market in China is once
again open to big business after the worst period of the Corona pandemic. In
the spring of 2019, we signed a cooperation agreement in another city and with
another local government in Jiangsu Province of 500 MW of solar energy
capacity. This is our second agreement in the province where we now consolidate
our position. In addition to the new agreement, we have connected additional
capacity to the grid and have now passed 140 MW of installed and
revenue-generating capacity and also have another 7.5 MW of new solar energy
capacity under construction.
For more information contact:
Max Metelius CFO Advanced Soltech AB (publ) 072-316 04 44 email@example.com
The information in this press release is such that Advanced Soltec Sweden AB (publ) is to publish according to EU Regulation No 596/2014 on market abuse. The information was provided through the above contact person's publication for publication on June 5, 2020 at. 07:30 CET.
Advanced SolTech Sweden AB (publ) – ASAB
In order to continuously finance
investments in China, the Soltech Group's parent company and its partner in
China, Advanced Solar Power Hangzhou Inc., have formed ASAB. ASAB's operations
consist of financing solar energy facilities in China that are owned and
continuously maintained by ASRE, ASRE SUQIAN and / or its wholly owned local
subsidiaries through lending and / or through direct investments in group
companies. As collateral for borrowed funds, collateral is obtained in
underlying assets (solar power plants and accounts receivable). The Company's
Certified Adviser is FNCA, Tel: 08-528 00 399 Email: firstname.lastname@example.org More info at www.advancedsoltech.com
About Operations in China
Soltech Energy's investment in China is conducted in Advanced SolTech Renewable Energy (Hangzhou) Co. Ltd., ASRE, its wholly owned local subsidiaries and Longrui Solar Energy (Suqian) Co. Ltd. The business model consists of financing, installing, owning and managing solar energy installations on customers' roofs in China. The customer does not pay for the plant, but instead commits to purchase the electricity that the plant produces during a 20-year agreement. Ongoing revenue comes from sales of electricity to customers and from various forms of grants per produced kilowatt hour (kWh) of solar energy. The goal is to have an installed capacity of 1,000 megawatts (MW) fully connected to the electricity grid in 2024 by 2023.
ASRE and Longrui Solar Energy (Suqian) Co. Ltd. are wholly owned subsidiaries of Advanced Soltech Sweden AB (publ). ASAB is 51% owned by Soltech Energy Sweden AB (publ) and 49% by Soltech's Chinese partner, Advanced Solar Power Hangzhou Inc.
Our mission is to accelerate the transition to solar energy where the need is greatest. In China we add real value by investing in solar power replacing coal, which accounts for nearly 70 per cent of electricity generation. An investment in Advanced Soltech generates both good financial returns and benefits the environment.
Privacy & Cookies Policy
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.