SHENYANG, China, Sept. 26 /Xinhua-PRNewswire-FirstCall/ -- A-Power Energy Generation Systems, Ltd. (Nasdaq: APWR) ("A-Power"), announced today that it has signed a new contract with Jilin Glad Group Co., Ltd. to build two distributed power generation stations in Shulan City, Jilin Province, China with a total contract value of approximately $195 million. Jilin Glad Group Co., Ltd. was established in November 2002 and specializes in the operation of thermal power plants in China's Jilin province.
This two-phase project is expected to begin in September 2008 with installation of a 24MW power station valued at $54 million. Completion of the first phase of the project is estimated for October 2009. The second phase of the project includes a 100MW distributed power generation system valued at $141 million and is expected to begin in January 2009 with completion date to be determined after commencement.
Mr. Jinxiang Lu, A-Power's Chairman and CEO commented, "The signing of this contract is a testament to the market's continued recognition of A-Power's ability to design, construct and deliver local cost-effective power generation systems with the highest quality. With this contract, A-Power's distributed power generation backlog has grown to exceed $800 million, up from approximately $650 million as of August 20, 2008.
This contract confirms our position as a pre-eminent leader in China's distributed power generation market and we are highly confident in the continued robust growth of our core distributed power generation business for many years to come in both China and the international market."
About A-Power
A-Power Energy Generation Systems, Ltd., through its PRC operating subsidiary, Liaoning GaoKe Energy Group Co., Ltd., is the largest provider of distributed power generation systems in China and entered into China's wind energy market in 2008. The Company is also focused on developing and commercializing additional renewable energy technologies and has strategic relationships with both Tsinghua University and the China Sciences Academy in Guangzhou.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, about A-Power. Forward-looking statements are statements that are not historical facts, including statements relating to expected future contracts and related delivery schedules. Such forward-looking statements, based upon the current beliefs and expectations of A-Power's management, are subject to risks and uncertainties, which could cause actual results to differ from the forward looking statements. The following factors, among others, could cause actual results to differ from those set forth in the forward-looking statements: business conditions in China; continued compliance with government regulations; legislation or regulatory environments, requirements or changes adversely affecting the businesses in which A-Power is engaged; cessation or changes in government incentive programs; fluctuations in customer demand; production delays, component shortages, management of rapid growth and transitions to new markets; intensity of competition from or introduction of new and superior products by other providers of distributed power generation and other energy generation technology; timing, approval and market acceptance of new product introductions; general economic conditions; and geopolitical events, as well as other relevant risks detailed in A-Power's filings with the Securities and Exchange Commission. The information set forth herein should be read in light of such risks. Neither A-Power nor GaoKe assumes any obligation to update the information contained in this press release.
For more information, please contact:
Union IR
Ian Shanno
Tel: +1-310-928-3780
SOURCE A-Power Energy Generation Systems, Ltd.
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