Ruše Surprise: Solarvalue delays Solar Grade Silicon production

Mass Production slips to first half of 2008

As I mentioned in Solarvalue AG: Why has the stock declined?, I have been expecting a major announcement from Solarvalue AG (XETRA:SV7) regarding full scale production, new customers, or sample material qualification. Given the plan of record has been 850 MT (metric tons) of Solar Grade Silicon production by the end of 2007, today’s announcement represents a production delay of up to three quarters. Here is the press release, Solarvalue AG to launch mass production in the first term of 2008 – First samples in progress (Deutsch). A revised Solar Grade Silicon production target for 2008 is not mentioned in this press release.

I found this tidbit of interest:

As previously announced, Solarvalue will purchase metallurgical silicon in the first instance to accelerate production start of high-grade solar silicon.

Announced when? Did I miss this or was this mentioned last week in passing during Solarvalue CEO Claudia Boehringer’s presentation at the Taiwan International Photovoltaic Forum & Exhibition? Three arc furnaces and no metallurgical silicon for production? At least one of these arc furnaces, M5, has been known to be operational and capable of producing silicon metal. The other two arc furnaces, M1 and M6, required retrofitting for silicon metal production. See Solarvalue: What ever happened to the M5 arc furnace? In addition, Solarvalue has always said producing high quality silicon metal is an important part of their process, so it is interesting to see them purchase silicon metal on the open market.

Looks like I got it right earlier this year in Solar Grade Silicon roads lead to Ruše - Part 3.