CHONGQING, China, Oct. 19, 2017 /PRNewswire/ -- Daqo New Energy
Corp. (NYSE: DQ) ("Daqo New Energy", the "Company" or "we"), a
leading manufacturer of high-purity polysilicon for the global
solar PV industry, today announced that the board of directors has
officially approved the Company's Phase 3B expansion plan ("Phase
3B Project") for its polysilicon facilities in Xinjiang.
Phase 3B Project is expected to increase the Company's
polysilicon annual nameplate capacity from the current 18,000 MT to
25,000 MT. By adopting additional technology improvement and
debottlenecking projects, the Company may be able to further
increase its capacity to 30,000 MT per annum by the end of
2019.
The Company expects to complete project design and initial
preparation works for Phase 3B Project by the end of 2017, complete
constructions and installations by the end of 2018, start pilot
production in the first half of 2019 and reach full capacity by the
end of the second quarter of 2019.
For the Phase 3B Project, the Company plans to adopt new
designs, processes, technologies and equipment that would further
improve the quality and purity of its polysilicon
products. The polysilicon products of the Phase 3B Project are
anticipated to reach electronics grade and will be targeting the
mono-crystalline wafer and semiconductor markets, which have more
stringent requirements on polysilicon quality and purity, and
therefore have higher entry barriers. The Company may potentially
enjoy higher profit margin if it could successfully access these
markets with its differentiated ultra-high purity electronic-grade
polysilicon products.
In addition to polysilicon quality upgrading, the Company
expects to implement new production processes to improve
operational efficiencies, which would further reduce our total
production cost. Once Phase 3B Project is ramped up to full
production capacity, we anticipate the overall total production
cost for our Xinjiang facilities could potentially be decreased to
US$7.50 per kilogram, benefiting from
better operating leverage, adopting new production processes and
equipment with higher efficiencies, and achieving greater economies
of scale.
About Daqo New Energy Corp.
Founded in 2008, Daqo New Energy Corp. (NYSE: DQ) is a leading
manufacturer of high-purity polysilicon for the global solar PV
industry. As one of the world's lowest cost producers of
high-purity polysilicon and solar wafers, the Company primarily
sells its products to solar cell and solar module manufacturers.
The Company has built a manufacturing facility that is technically
advanced and highly efficient with a nameplate capacity of 18,000
metric tons in Xinjiang, China. The Company also operates a
solar wafer manufacturing facility in Chongqing, China.
Safe Harbor Statement
This announcement contains forward-looking statements. These
statements are made under the "safe harbor" provisions of the U.S.
Private Securities Litigation Reform Act of 1995. These
forward-looking statements can be identified by terminology such as
"will," "expects," "anticipates," "future," "intends," "plans,"
"believes," "estimates" and similar statements. The Company may
also make written or oral forward-looking statements in its reports
filed or furnished to the U.S. Securities and Exchange Commission,
in its annual reports to shareholders, in press releases and other
written materials and in oral statements made by its officers,
directors or employees to third parties. Statements that are not
historical facts, including statements about the Company's beliefs
and expectations, are forward-looking statements. Forward-looking
statements involve inherent risks and uncertainties. A number of
factors could cause actual results to differ materially from those
contained in any forward-looking statement, including but not
limited to the following: the demand for photovoltaic products and
the development of photovoltaic technologies; global supply and
demand for polysilicon; alternative technologies in cell
manufacturing; our ability to significantly expand our polysilicon
production capacity and output; the reduction in or elimination of
government subsidies and economic incentives for solar energy
applications; and our ability to lower our production costs.
Further information regarding these and other risks is included in
the reports or documents we have filed with, or furnished to, the
Securities and Exchange Commission. Daqo New Energy does not
undertake any obligation to update any forward-looking statement,
except as required under applicable law. All information provided
in this press release and in the attachments is as of the date of
this press release, and Daqo New Energy undertakes no duty to
update such information, except as required under applicable
law.
For investor inquiries, please
contact:
Daqo New Energy Corp.
Investor Relations Department
Phone: +86-187-1658-5553
Email: dqir@daqo.com
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SOURCE Daqo New Energy Corp.