The city of ShaoXing places an order with ASRE, Soltech’s subsidiary in China

 

ASRE is installing a 4 MW (4,000,000 watt) solar energy unit on the roof of the Zhejiang Jindun Fire-Fighting Equipment Co. Ltd in ShaoXing. This solar energy unit is estimated to generate an annual income of approximately 7.32 MSEK ($861,176 US)*.  Over its 20-year lifetime, the unit’s total accumulated earnings are expected to mount to approximately 146 MSEK ($17,176,500 US).

Installation is planned to take place during the start up of the second quarter, 2016.  Once completed, it is estimated that the unit will produce approximately 4,000,000 kWh annually. The customer, in line with the standard stipulations of other contracts, is committed to buying all the electricity the system produces. Investment in the solar energy unit, which continues to be owned by ASRE, mounts to circa 40.8 MSEK ($4,800,000 US).

ASRE’s earnings are consolidated in the SolTech concern’s balance sheet, where ASP’s minority share of earnings, as SolTech’s partner in ASRE, is posted as the minority’s interest.

* Based on an exchange rate of 8.5 SEK/US dollar

CEO Frederic Telander observes in a report:

  • A new big order for ASRE in its home province, Zhejiang, where sales have gathered speed. Taken together with the Henan basic-contract, we are starting to secure a foothold in two of the most populated provinces in China. We look to the future with confidence.

For more information, please contact:
Frederic Telander, CEO SolTech Energy Tel; 08-441 88 46. email; frederic.telander@soltechenergy.com


SolTech Energy in brief
SolTech Energy develops and sells a solar energy system based on research carried out over several years at Kungliga Tekniska Högskolan (KTH- Royal Institute of Technology). The system is a part of a building’s outer shell; specifically, roofs and/or walls formed of glass (panels or glass plates) that function as both weather protection and sun-catchers for the production of heat, hot water and electricity. The assortment of suitable glass also includes unique thin-film solar cells in black and/or semi-transparent glass – or as isolated glass modules in various sizes and formats that allow for esthetic integration with a building’s outer shell.

SolTech Energy Sweden AB has approximately 5,600 shareholders and its shares are traded on First North at Nasdaq Stockholm, under the symbol “SOLT”. The wholly owned subsidiary Wasa Rör T Mickelsson AB is also included in the parent concern. The company’s Certified Advisor is G&W Fondkommission (securities broker). For more information see: www.soltechenergy.se.

Investment in China
SolTech’s investment in China is carried out by a jointly owned company, Advanced SolTech Renewable Energy (Hangzhou) Co. Ltd (ASRE), where SolTech is the (51%) majority owner and Advanced Solar Power Hangzhou Inc. the (49%) minority owner. The business model consists of having said jointly owned company, ASRE, responsible for the installation, ownership, and periodic maintenance of solar energy installations mounted on the roofs of customer-owned facilities. During the beginning period, this model has first been implemented in Hangzhou in the province of Zhejiang, with a view to thereafter expanding to other regions in China. The customer does not pay for the installed solar energy unit, but instead undersigns a long-term contract to buy all the electricity and/or thermal heat the relevant unit produces. The strategy is to build a backlog of orders for 2016 and beyond, with the goal of obtaining by the year 2019 an installed and operational capacity of approximately 230 MW, corresponding to a continuous yearly sales figure of approximately 400 MSEK ($47,000,000 US).

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