A-Power Announces Engineering, Procurement and Construction Contract with Hainan Century Light Investment Co.

Dec 10, 2010, 06:10 ET from A-Power Energy Generation Systems, Ltd.

BEIJING, Dec. 10, 2010 /PRNewswire-Asia-FirstCall/ -- A-Power Energy Generation Systems, Ltd. (Nasdaq: APWR) ("A-Power" or the "Company"), a leading provider of distributed power generation systems in China and a fast-growing manufacturer of wind turbines, today announced the signing of a RMB 218 million (approximately US $32.5 million) engineering, procurement and construction contract with Hainan Century Light Investment Co. for a straw-based biomass power plant in Baisha.

Mr. Jinxiang Lu, A-Power's Chairman and CEO commented, "We are pleased to announce this new contract which will generate additional revenues and profits over a relatively short period of time."

Based on the availability of straw resources within a 50 kilometer radius of the proposed location and local economic development, Hainan Century Light Investment Co. intends to develop 2 sets of straw boiler with 2 x 12MW condensing steam turbines and affiliated equipments for the proposed power plant. The project is located in Baisha County Bangxi Industrial Park, where no other straw plant is within 50km of the proposed location and adequate space has been reserved for the development of this project.

A-Power will act as the contractor for the engineering, procurement, construction, and installation phases until the project becomes operational. The project started at the end of November 2010 and is expected to last approximately 15 months. The project will strictly comply with relevant national and industry standards for power projects.

About A-Power

A-Power Energy Generation Systems, Ltd. ("A-Power"),through its China-based operating subsidiaries, is a leading provider of distributed power generation systems in China and is expanding into the production of alternative power generation systems. Focusing on energy-efficient and environmentally friendly DG projects of 25MW to 400MW, A-Power also operates one of the largest wind turbine manufacturing facilities in China and in March 2009, entered into an agreement to establish a partnership with W2E Wind To Energy GmbH to produce wind turbine gearboxes in Shenyang, Liaoning Province.  It also acquired Evatech, a designer and manufacturer of industrial equipment for amorphous-silicon (a-Si) photovoltaic (PV) panels, in 2010.

In addition to the establishment of strategic relationships with the world's leading wind energy design and engineering companies, A-Power has formed joint research programs with Tsinghua University and the China Academy of Sciences to develop and commercialize other renewable energy technologies. For more information, please visit http://www.apowerenergy.com.

Safe Harbor Statement

This news release may contain forward-looking statements. Any such statement is made within 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 "anticipates," "believes," "expects," "estimates," "future," "intends," "may," "plans," "will," and other similar statements. Statements that are not historical facts, including statements relating to anticipated future earnings, margins, and other operating results, future growth, construction plans and anticipated capacities, production schedules and entry into expanded markets are forward-looking statements. Such forward-looking statements, based upon the current beliefs and expectations of our management, are subject to risks and uncertainties, which could cause actual results to differ materially from the forward-looking statements, including but not limited to, the risk that: inclement weather conditions could adversely affect our operating results in particular quarters and/or fiscal years; we may experience construction, manufacturing and development delays on our projects which could adversely affect our financial condition and operating results; our limited operating history and recent entrance into new lines of business and jurisdictional markets may make it difficult for you to evaluate our business and future prospects; we may not be able to successfully develop our business in new jurisdictional markets, which would have a negative impact on the results of our operations derived from such new jurisdictional markets; our customers may not be able to obtain the financing required for these projects, and thus, we may not be able to derive revenues from such agreements, as well as other relevant risks detailed in our filings with the Securities and Exchange Commission, including those set forth in our annual report filed on Form 20-F for the fiscal year ended December 31, 2009. The information set forth herein should be read in light of such risks. We assume no obligation to update the information contained in this press release, except as required under law.

For more information, please contact:

A-Power Energy Generation Systems, Ltd.

John S. Lin

Chief Operating Officer

Email:  john@apowerenergy.com

Christensen

Mr. Tom Myers

Mobile: +86 139 1141 3520

Email:  tmyers@ChristensenIR.com

SOURCE A-Power Energy Generation Systems, Ltd.



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