Longi, a Shanghai-listed company, announced Tuesday that that one of its subsidiaries, Longi Clean Energy, has signed a framework agreement with the local government of Wuqi County, located in the west of Yanan City, Shaanxi province, for the development of a 100 MW solar PV project worth approximately $152 million.
Thus far the deal is merely a framework agreement outlining the developmental stage of the proposed PV plant. The local Wuqi government will assist Longi in the handling of all procedural matters that are necessary for the project, including administrative approvals, permissions and land acquisition for the estimated 494 acres required.
Further, Longi will prepare the funds for investment, construction management and the ongoing daily operation of the plant.
The announcement by Longi makes no mention of when the project will start or finish, adopting a necessarily conservative tone because there is always a risk that the project might not come to fruition.
As Chinas largest manufacturer of monocrystalline silicon products including wafer, cell and modules, Longi has long sought opportunities to expand its downstream sector, from module to PV plants.
Last September, details of a similar PV project invested in by Longi were announced. Boasting a total investment of RMB 800 million, the project in Tangshan, Hebei province, is a 100MW agricultural PV plant, with construction penciled in to begin this May, and completion scheduled for December 2017.