SOURCE: SunSi Energies

SunSi Energies

August 19, 2009 09:00 ET

SunSi Energies Signs Definitive Joint Venture Agreement

NEW YORK, NY--(Marketwire - August 19, 2009) - SunSi Energies Inc. (OTCBB: SSIE) announced today that its wholly owned subsidiary, SunSi Energies Hong Kong Ltd, has signed a definitive joint venture agreement (following the Letter of Intent released in the June 9, 2009 news release) to form a Trichlorosilane (TCS) production joint venture in Zibo, China.

As previously released, SunSi Energies Hong Kong Ltd will own 90% of a new company specifically formed to own the assets, expertise and technology of an existing Trichlorosilane production facility with a current production capacity of 25,000 MT per year.

The new company, to be called Zibo Boayun Chemical Company Ltd, will produce TCS, a chemical used in the production of polysilicon, an essential raw material used during the production of solar cells for photovoltaic (PV) panels that convert sunlight to electricity. TCS is considered the first product in the solar PV value chain before polysilicon, and is also the primary source of ultrapure silicon for the semiconductor industry.

This acquisition strategically positions SunSi as the first company with focused operations specializing in TCS production to have their common stock publicly traded in the U.S.

Under the Joint Venture agreement recently signed, all of the assets, including permits, rights, land usage, as well as the entire labor force and management team of the Chinese TCS producer will be transferred, upon closing of the transaction, into the newly formed Joint Venture Company of which SunSi Energies Hong Kong Ltd will own 90% of the equity. While, the current name plate capacity of the facility is 25,000 metric tons of TCS per year, SunSi has committed to double this over the next 12 months. While this transaction is taking place, the TCS production facility continues its normal activities.

"We are delighted to move forward with the Zibo team. They are well respected as a TCS producer and we feel that we've teamed up with the best TCS producer in China. Both teams share the same goals and we are proud of the relationship we've built over the last 6 months. We can now focus on expanding production at the current facility and focus on business outside of China which is already coming our way," said Mr. Michel G. Laporte, President of SunSi Energies Inc.

About SunSi Energies Inc. ("SunSi")

SunSi Energies Inc. aims to acquire and develop a portfolio of high quality Trichlorosilane (TCS) producing facilities that are strategically located and possess a potential for future growth and expansion. SunSi's first transaction has been launched in China through the acquisition of 90% of a well-established Trichlorosilane facility. Relatively unknown, but essential to the solar industry, Trichlorosilane is the main feedstock of the solar industry, used in the production of polysilicon. With this acquisition, it is believed that SunSi becomes the first and only "pure play" public company in the world honed on the production of Trichlorosilane. SunSi Energies Inc. is traded on the NASDAQ OTC Bulletin Board under the ticker SSIE. For additional information, please visit the Company's website: www.sunsienergies.com, Michel G. Laporte at Tel: 646-205-0291.

Forward-looking Statements: This news release contains forward-looking statements related to the future financial condition and results of SunSi's operations. These statements are based on current expectations and estimates about the trichlorosilane markets and industry in which SunSi operates, as well as management's beliefs and assumptions regarding these markets. These statements are subject to important risks and uncertainties, which are difficult to predict, and assumptions which may prove to be inaccurate. Some of the factors that could cause results or events to differ materially from current expectations include, but are not limited to: general economic conditions, market or business conditions; changing competitive environment; changing regulatory conditions or requirements; changing technology; and success in implementing productivity initiatives. Some of these factors are largely beyond the control of SunSi. Should any factor impact SunSi in an unexpected manner, or should assumptions underlying the forward-looking statements prove incorrect, the actual results or events may differ materially from the results or events predicted. All of the forward-looking statements made in this document are qualified by these cautionary statements, therefore, there can be no assurance that the results or developments anticipated by SunSi will be realized or, even if substantially realized, that they will have the expected consequences for SunSi. Readers should not place undue reliance on any forward-looking statements. Furthermore, SunSi disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or any other occurrence.

Contact Information

  • Contact:
    Michel G. Laporte
    Tel: 646-205-0291