AMSC Enters Market in India with First Wind Turbine License to Ghodawat Industries (India) Pvt. Ltd.
-Veteran Participant in Indian Wind Market Adding Turbine Production Capability
-AMSC's Proprietary WT1650 Wind Turbine Design to be Manufactured for Expanding Market in India and for Export to the Middle East, Southern Asia and Africa
-Initial Production of 1.65 MW Wind Turbines in 2009
DEVENS, Mass.--(BUSINESS WIRE)--April 9, 2008--American
Superconductor Corporation (NASDAQ: AMSC), a leading energy
technologies company, announced today that it has licensed its
proprietary Windtec WT1650 wind turbine design and manufacturing
know-how exclusively to Ghodawat Industries (India) Pvt. Ltd. (GIIPL)
for certain countries in the Middle East, Southern Asia and Africa.
GIIPL is the flagship company of Sanjay Ghodawat Group, located in
Maharashtra, India.
GIIPL has been manufacturing wind turbine towers in its state-of-the art facility since 2004 for customers such as Suzlon, Vestas and Enercon. GIIPL also owns and operates wind farms across four states in India. The company will utilize AMSC's proprietary design, technology and core electrical components to begin manufacturing complete wind turbines for use in India and for export to countries in the Middle East, Southern Asia and Africa. AMSC Windtec will provide training for GIIPL's staff and project management services for the company's first prototype units. GIIPL plans to begin manufacturing 1.65 MW turbines in 2009.
In addition to a multi-million dollar upfront license fee, AMSC will receive a royalty payment for the first 550 WT1650 wind turbines manufactured by GIIPL. AMSC also has a right of first refusal to provide the full electrical systems and core electrical components for all of the wind turbines manufactured by GIIPL.
"Having been a key component supplier to the wind energy industry in India and an owner and operator of large wind farms for almost a decade, GIIPL is well suited to become one of India's leading turbine manufacturers," said Shrenik Ghodawat, Managing Director of GIIPL. "AMSC Windtec is providing us with proven technology and the know-how we need, which will help us to rapidly address the tremendous growth opportunities for the wind energy industry in India and surrounding regions."
According to a report issued in February 2008 by the Global Wind Energy Council, India now ranks fourth in the world in terms of total wind power capacity. Capacity in the country grew by 28 percent in 2007 to 8 gigawatts (GW). According to the India's Ministry of New and Renewable Energy, the country has 60 GW of wind power potential.
"This license agreement with GIIPL represents our entry point for the market in India, not only for the wind industry, but also for the power grid sector," said Greg Yurek, AMSC founder and chief executive officer, "GIIPL has the experience and knowledge base to rapidly expand its business in the fast growing Indian wind market. And as this penetration begins, we also expect to generate traction in India's power grid market, which will be going through a major expansion over the next two decades. Our power grid products that help transmit large quantities of electricity safely and reliably from wind farms and other sources of power generation to customers are an ideal fit for the Indian market."
About Ghodawat Industries (India) Pvt. Ltd.
A Sanjay Ghodawat Group company, Ghodawat Industries (India) Pvt. Ltd. will be leveraging years of manufacturing and development experience in the wind power market to become a leading manufacturer of wind turbines for India, Indian Subcontinent, the Middle East, Southern Asia and Africa. The company is based in Maharashtra, India, and is promoted by Sanjay Ghodawat Group, a diversified conglomerate with more than 5000 employees and strong presence in consumer goods, real estate, agro industries and energy sectors.
About American Superconductor (NASDAQ: AMSC)
AMSC is a leading energy technologies company offering an array of solutions based on two proprietary technologies: programmable power electronic converters and high temperature superconductor (HTS) wires. The company's products, services and system-level solutions enable cleaner, more efficient and more reliable generation, delivery and use of electric power. AMSC is a leader in alternative energy, offering grid interconnection solutions as well as licensed wind energy designs and electrical systems. As the world's principal supplier of HTS wire, the company is enabling a new generation of compact, high-power electrical products, including power cables, grid-level surge protectors, Secure Super Grids technology, motors, generators, and advanced transportation and defense systems. AMSC also provides utility and industrial customers worldwide with voltage regulation systems that dramatically enhance power grid capacity, reliability and security, as well as industrial productivity. The company's technologies are protected by a broad and deep intellectual property portfolio consisting of hundreds of patents and licenses worldwide. More information is available at www.amsc.com.
American Superconductor and design, Revolutionizing the Way the World Uses Electricity, AMSC, Powered by AMSC, SuperVAR, D-VAR, DVC, PQ-IVR, PowerModule, PQ-SVC, Secure Super Grids, Windtec and SuperGEAR are trademarks or registered trademarks of American Superconductor Corporation or its subsidiaries.
Any statements in this release about future expectations, plans and prospects for the company, including our expectations regarding the future financial performance of the company and other statements containing the words "believes," "anticipates," "plans," "expects," "will" and similar expressions, constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. There are a number of important factors that could cause actual results to differ materially from those indicated by such forward-looking statements. Such factors include: uncertainties regarding the company's ability to obtain anticipated funding from corporate and government contracts, to successfully develop, manufacture and market commercial products, and to secure anticipated orders; the risk that a robust market may not develop for the company's products; the risk that strategic alliances and other contracts may be terminated; the risk that certain technologies utilized by the company will infringe intellectual property rights of others; and the competition encountered by the company. Reference is made to these and other factors discussed in the "Risk Factors" section of the company's most recent quarterly or annual report filed with the Securities and Exchange Commission. In addition, the forward-looking statements included in this press release represent the company's views as of the date of this release. While the company anticipates that subsequent events and developments may cause the company's views to change, the company specifically disclaims any obligation to update these forward-looking statements. These forward-looking statements should not be relied upon as representing the company's views as of any date subsequent to the date this press release is issued.
CONTACT:
American Superconductor Corporation (NASDAQ: AMSC)
Jason Fredette, 978-842-3177
Director of Investor & Media Relations
jfredette@amsc.com
SOURCE: American Superconductor Corporation