RayGen Resources has signed a major investment and distribution agreement with China’s ZhuoZhou Intense Solar which will see the Melbourne based company source its concentrated solar PV (CSPV) technology into the vast Chinese market.
According to the article on the Climate Spectator, the Chinese company will buy Raygen’s semiconductor and computerised control components for further assembly in China, and kick in a $2 million equity investment as part of the deal signed on Friday.
RayGen said it would sell its CSPV technology components on a rising scale over the next few years, securing minimum total sales of $58 million.
The technology, which was originally developed to power spacecraft, was twice as efficient as traditional PV, the company said, and enabled “industrial capacity solar energy delivered off the grid at on-the-grid prices” for projects such as mining.
“[This deal] is a tremendous example of Australian innovation finding a market in China which results in jobs, investment and trade for Australia,” Trade and Investment Minister Andrew Robb said in China, as he witnessed the signing in Shanghai as part of the Abbott Government’s trade mission.
RayGen Chief Executive Bob Cart, whose company was a finalist in the 2013 Australian Technologies Competition supported by the Department of Industry, took the time to thank AusTrade for laying the groundwork for the deal to happen.
“We’re excited by what we see as a huge opportunity to marry Australian innovation and know-how with Intense Solar’s market access and manufacturing capabilities in China,” Mr Cart said.
“The deal wouldn’t have happened without the support of AusTrade, along with the Chinese government which also provided its approval and support.”
Mr Cart added he was hopeful the sales of CSPV products will pass the billion dollar mark by the end of the decade and help meet the company’s financial objectives of reaching that figure by 2020.
RayGen has received $2.75 million in Federal and State Government grants since its foundation in 2010.