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Monday, 9 July 2018

Talks on Armed Forces’ USD 2 bn integrated solar panel factory stall on disagreements with Chinese partner?

INVESTMENT WATCH- Talks on Armed Forces’ USD 2 bn integrated solar panel factory stall on disagreements with Chinese partner? Negotiations between the Military Production Ministry and China’s Golden Concord Group (GCL) over a planned USD 2 bn integral solar panel factory have reportedly come to a halt after disagreements over what the partners will do with the factory’s output, unnamed sources from the Chinese company told the domestic press. The sources claim GCL wants the ministry to sign an offtake agreement to purchase the factory’s full output, claiming that the agreement is a prerequisite to securing funding for the JV from Chinese banks. Military production officials naturally enough aren’t biting, citing insufficient domestic demand for panels with a combined generation capacity of 5 GW per year and soft export prospects. The ministry and GCL had signed an MoU for the factory in May.

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