-- $90.5M contract includes equipment, construction and installation ---- Project to begin October 2009 --
SHENYANG, China, Sep. 15, 2009 (PRNewswire-Asia-FirstCall) -- A-Power Energy Generation Systems Ltd. (Nasdaq: APWR) ("A-Power" or "the Company"), a leading provider of distributed power generation ("DG") systems in China and a fast-growing manufacturer of wind turbines, today announced the Company has won a "full-responsibility" contract to develop a 49.5MW wind farm in the township of Saiwusu, Guba County, Inner Mongolia ("the Saiwusu Wind Farm"), for the Urat Rear Banner-based Jihe Orient Wind Energy Co., Ltd. ("Jihe Orient"). The total value of the contract is $90.5 million.
A-Power is to supply the wind turbines, the towers and the foundations, and oversee the construction, subcontracting and installation for this project. The estimated cost breakdown is as follows: equipment procurement $84.2 million; construction and installation $4.8 million; miscellaneous $1.5 million. The project is due to commence early October this year and the estimated completion time is June 2010.
The Saiwusu Wind Farm project, owned by Jihe Orient, has been approved by the National Resources Bureau of the Inner Mongolia Autonomous Region and the permit for transmission to the electricity power grid has been issued by the Inner Mongolia Power Co. Its feed-in tariff also has been approved by China's National Development and Reform Commission.
"We are truly excited to embark on our first wind farm full-responsibility project," said Mr. Jinxiang Lu, Chairman and CEO of A-Power. "Inner Mongolia as we all know has the most promising wind energy potential among all of China's provinces. Among the 787GW estimated exploitable wind power, only 1.6GW in capacity had been developed and installed as of September 2008, according to the Chinese Renewable Energy Industry Association. A-Power is very proud to set its foot in a region with such vast resources. We look forward to leveraging our superior wind turbine technologies, our engineering and construction expertise and our excellent relations with local governments, and making headways as a participant in the robust growth of the wind power market of China."
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A-Power Energy Generation Systems Ltd.