ROSEVILLE, Calif.-- SPI Solar ("SPI") (SOPW:OTCBB), a vertically-integrated photovoltaic solar developer, today announced that its wholly-owned subsidiary, Xinyu Xinwei New Energy Co., Ltd. ("Xinwei"), has signed an agreement to purchase and develop approximately 19 megawatts ("MW") of distributed generation ("DG") solar power projects in Shouguang, Shandong Province, China via the acquisition of a special purpose vehicle ("SPV") that owns the rights to such projects.
The agreement calls for the development of four rooftop sites (consisting of 5 MW, 5 MW, 4.5 MW and 4.5 MW, respectively) for established manufacturers in China. Construction of the projects is scheduled to begin in September 2014, with completion and grid connection expected during the fourth quarter of 2014. This marks SPI's second significant DG project announcement in Shandong Province in the past month.
China's National Energy Administration ("NEA") recently issued its long-awaited announcement outlining key policy initiatives targeting DG solar in China, including a new definition for DG system qualification and new financial programs supporting DG. The announcement was viewed widely as a positive for accelerating installations toward the NEA's 5 GW DG target.
"We are delighted to announce another notable DG project for SPI in Shandong Province," said Min Xiahou, Global Chief Executive Officer of SPI. "With the NEA's recent announcement clarifying specifics of DG policy and support at the national level, we feel that DG installations in particular represent a huge opportunity across China."
Xiaofeng Peng, Chairman of SPI, added, "This agreement marks another significant milestone for ramping our distributed generation efforts in China. We continue to see evidence of DG gaining acceptance and momentum across the China PV market. SPI's Yes!® Solar brand is targeted toward commercial and residential DG solutions globally, and we are now well-positioned to take advantage of China's rapidly growing DG market, supported by the NEA," said Peng.
About Solar Power, Inc. (SOPW:OTCBB):
SPI Solar ("SPI") (Solar Power, Inc.) is a vertically-integrated photovoltaic solar developer offering its own brand of high-quality, low-cost distributed generation and utility-scale solar energy facility development services. From project development, to project financing and to post-construction asset management, SPI delivers turnkey world-class photovoltaic solar energy facilities and turnkey residential solar solutions to its business, government and utility customers. For additional information visit: www.spisolar.com.
Safe Harbor Statement:
This release may contain certain "forward-looking statements" relating to the business of SPI Solar, its subsidiaries and the solar industry, which can be identified by the use of forward-looking terminology such as "believes", "expects" or similar expressions. These forward-looking statements include, but are not limited to, that Xinwei will successfully finance, construct and develop the DG projects in Shandong Province. These forward-looking statements involve known and unknown risks and uncertainties. All forward-looking statements are expressly qualified in their entirety by this cautionary statement and the risks and other factors detailed in the company's reports filed with the Securities and Exchange Commission. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities law.