A-Power Energy (APWR) Signs Contract for Five 2.7 MW Wind Turbines

A-Power Energy (APWR) announced today that its signed a contract with China National Automation Control System Corp for the sale of five 2.7 MW wind turbines with delivery to occur later this year for use in wind farm projects in the Gansu province and Inner Mongolia Autonomous region.  These are  the first wind turbines produced at A-Power’s new production facility in Shenyang, China which is designed with annual capacity of 300 of the 2.7MW wind turbines and 420 750KW turbines. 

“We are excited to announce the first sales contract to come from our previously announced wind turbine LOIs. These 2.7MW units will be the largest land based wind turbines commercialized to-date in China and, for this reason, we are experiencing a surge of interest from buyers throughout the country. Now that we have determined the pricing and delivery schedule for our wind turbine components, we intend to convert the remainder of our wind turbine LOIs into sales contracts.

“We are currently in late-stage discussions to sign additional contracts with CACS and the other parties that had signed letters of intent with A-Power in Q1 2008, which in aggregate provide for an additional 375 wind turbines. In addition, we are in discussions with a number of new potential buyers. Based on these discussions, we expect to announce additional contracts over the coming months for both our 2.7MW and 750kW wind turbine units.

“CACS and other potential customers have expressed a great amount of confidence in A-Power’s wind business which combines reliable European technology, a standard one-year warranty and a successful track record of commercial operation with an experienced team of energy professionals. We are very excited to begin working with CACS to deploy clean wind energy technology throughout China.”

A-Power Energy (APWR) has been battered in the last few months and trying to find a bottom around 10/share (after trading above 30 just 3 months ago).  It’s down a buck today.

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