SHENYANG, China, Dec. 15, 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 that it has started constructing a new heat and power generation plant under an engineering, procurement, and construction contract signed in September with Jinzhou Mengguzhen Thermo Electric Co.
Total investment for engineering, procurement, and construction of the heat and power generation plant is estimated to be about RMB 699.4 million or about US$ 105.0 million (at 6.658 RMB = $1.00). The project is expected to be completed in 18 months.
Mr. Jinxiang Lu, A-Power's Chairman and Chief Executive Officer, said, "Our recent good momentum in our distributed power generation business is an indication that customers believe that we deliver quality and performance at a competitive price. We are very pleased to help support the development and success in the Jinzhou development zone, while at the same time reducing the Jinzhou city's need to dispose of bio-waste material. It is a win-win situation for Jinzhou, its development zone, the environment, and A-Power and its shareholders."
The power generation plant will support the development of Jinzhou Economic and Technology Development Zone by providing heat to nine manufacturing enterprises and by providing additional electric power in the zone. As of December 31, 2008, the zone's total heating area was 2.37 million square meters or 25.5 million square feet.
The plant will include three circulating fluidized bed boilers and two 25 megawatt back pressure steam turbine generators. The three boilers together have a capacity to consume 240 metric tons of bio-waste per hour.
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 distributed power generation projects of 25 to 400 megawatts, A-Power also operates one of the largest wind turbine manufacturing facilities in China. A-Power acquired Evatech Co. Ltd., a designer and manufacturer of industrial equipment for amorphous-silicon photovoltaic panels, in January 2010, and acquired Hallys Corporation in May 2010.
In addition to the establishment of strategic relationships with some of 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.
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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 by law.
For more information, please contact:
A-Power Energy Generation Systems, Ltd.
John S. Lin
Chief Operating Officer
Mobile: +1 480 332 6397
Mobile: +86 139 1141 3520 in Beijing
SOURCE A-Power Energy Generation Systems, Ltd.