5N Plus Renews its Exclusive Agreements Covering First Solar Compound Semiconductor Needs until 2019
MONTREAL, May 27, 2014 /CNW Telbec/ - 5N Plus Inc. (TSX: VNP), the leading producer of specialty metal and chemical products, announces that it has entered into new supply agreements with First Solar, Inc., the world's leading thin-film solar module manufacturer, covering First Solar's compound semiconductor needs until March 31st, 2019.
The Company has renewed its existing cadmium telluride (CdTe) supply agreement and CdTe by-products recycling agreement with First Solar up to March 31, 2019. In addition, a new supply agreement broadly covering all of First Solar's other compound semiconductor needs up to March 31, 2019, has also been concluded.
Under the new agreements, First Solar has agreed to exclusively purchase from 5N Plus all the CdTe required by First Solar on a worldwide basis for the manufacturing of solar photovoltaic modules.
"We are very pleased to have extended our agreements with First Solar until 2019, enabling us to bring our relationship with this important customer to another level," said Jacques L'Ecuyer, President and Chief Executive Officer of 5N Plus. "While we conceded competitive pricing, we believe that this will be largely compensated over the course of the next quarters by the increase of sales volume providing us with a solid and predictable revenue stream for the next five years. First Solar remains committed to reducing solar module cost and improving efficiency, and we intend to be their preferred solution for doing so through our close technical and commercial relationship. We strongly believe that these new supply agreements will allow 5N Plus to benefit from continued growth associated with First Solar's leading position in the solar market."
"5N Plus has been and continues to be a critical supplier to First Solar. These agreements support our plans to increase the competiveness of CdTe based solar modules and are in line with our corresponding roadmap aimed at achieving this," said Tymen de Jong, Senior Vice President of Global Operations of First Solar, Inc.
About 5N Plus Inc.
5N Plus is the leading producer of specialty metal and chemical products. Fully integrated with closed-loop recycling facilities, the Company is headquartered in Montreal, Québec, Canada and operates manufacturing facilities and sales offices in several locations in Europe, the Americas and Asia. 5N Plus deploys a range of proprietary and proven technologies to produce products which are used in a number of advanced pharmaceutical, electronic and industrial applications. Typical products include purified metals such as bismuth, gallium, germanium, indium, selenium and tellurium, inorganic chemicals based on such metals and compound semiconductor wafers. Many of these are critical precursors and key enablers in markets such as solar, light-emitting diodes and eco-friendly materials.
Forward-Looking Statements and Disclaimer
This press release may contain forward-looking information within the meaning of applicable securities laws. All information and statements other than statements of historical facts contained in this press release are forward-looking information. Such statements and information may be identified by words such as "about", "approximately", "may", "believes", "expects", "will", "intends", "should", "plans", "predicts", "potential", "projects", "anticipates", "estimates", "continues" or similar words or the negative thereof or other comparable terminology. Forward-looking statements are based on the best estimates available to 5N Plus at this time and involve known and unknown risks, uncertainties and other factors that may cause 5N Plus' actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. A description of the risks affecting 5N Plus' business and activities appears under the heading "Risk and Uncertainties" of 5N Plus' 2013 MD&A dated February 25, 2014 and note 11 of the unaudited interim condensed consolidated financial statements for the three-month periods ended March 31, 2014 and 2013 available on SEDAR at www.sedar.com. No assurance can be given that any events anticipated by the forward-looking information in this press release will transpire or occur, or if any of them do so, what benefits that 5N Plus will derive therefrom. In particular, no assurance can be given as to the future financial performance of 5N Plus. The forward-looking information contained in this press release is made as of the date hereof and 5N Plus undertakes no obligation to publicly update such forward-looking information to reflect new information, subsequent or otherwise, unless required by applicable securities laws. The reader is warned against placing undue reliance on these forward-looking statements.
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