Nov. 22 (Bloomberg) -- Neo Solar Power Corp., a Taiwanese make of solar cells, agreed to buy solar wafers and polysilicon from two South Korean companies to obtain supplies of raw materials as it expands production capacity.
Neo Solar will buy 31.25 million pieces of solar wafers from Osung LST Co. from 2011 to 2013, the company said in a website statement today.
Neo Solar, based in Hsinchu, will also buy 11,600 metric tons of polysilicon from Hankook Silicon Co. from 2011 to 2017, the company said in a separate statement. The values of the contracts weren’t disclosed.
Solar wafers are used to produce solar cells that are assembled together to make modules that generate electricity from the sun. Polysilicon is a raw material used to make solar wafers.
The new contracts will help “increase the stability of our long-term material supply to fulfill the strong demands from our customers,” Neo Solar’s Chairman Dr. Quincy Lin said.
Neo Solar said its order book for 2011 has exceeded its current capacity. The company plans to increase its annual production capacity by 50 percent to 1.2 gigawatts next year.
To contact Bloomberg News staff for this story: Feifei Shen in Beijing at Fshen11@bloomberg.net
To contact the editor responsible for this story: Reed Landberg at email@example.com.