New York-listed Suntech Power Holding Co., Ltd<STP>, a leading Chinese manufacturer of solar cell and modules based in Jiangsu province, said that it has signed a seven-year polysilicon supply agreement with South Korean's DC Chemical Co., Ltd.

According to the agreement, the Seoul-headquartered company will provide Suntech specified annual volumes of polysilicon with total value of approximately US$750 million, from 2010 to 2016.

This agreement comes on the heels of a previous agreement of polysilicon supply from DC Chemical, worth approximately US$631 million from 2009 to 2016, sources said.

Zhengrong Shi, Suntech's chairman, said that the company believes solar energy will become a cost effective alternative to fossil fuels and these contracts are key to the company's further development.

Besides Suntech, DC Chemical also supplies plysilicon to another Chinese solar energy company Trina Solar Ltd, which is also listed on New York Stock Exchange (NYSE).
 
(China Knowledge, Sep 5, 2008)