Indian solar photo-voltaic cellmaker Indosolar Ltd is in talks with Chinese polysilicon maker GCL-Poly Energy Holdings to tie up a new 4-year solar wafer supply deal, which could be worth up to $2 billion, its chief executive told Reuters on Wednesday.
Indosolar already has a wafer supply contract with GCL worth 27 billion rupees ($565 million), which was supposed to run till 2014, but with extensive capacity addition planned, Indosolar will close that contract, S. Venkataramani said in an interview.
“We are now in dialogue with GCL…with capacity having gone up to 360 megawatts (MW) by next year, we will drop (the old contract) and renew the contract for a larger volume and longer tenure,” Venkataramani said.
“We are talking in terms of another four years (of wafer supply), that means to cover up to 2016,” he added.
Indosolar’s current capacity is 160 MW. It expects to have capacity of 360 MW of solar PV cells by the second half of 2012.
The company has lined up a consortium of banks led by Union Bank of India for loans of about 4 billion rupees for the expansion, Venkataramani said.
