Korean-based materials and PV project developer, OCI has reported a new quarterly record in polysilicon shipments and higher average selling prices (ASPS), reflecting the continued strong demand in the PV industry in the first quarter of 2014.

The company said that polysilicon revenue increased on the back of higher shipments, higher ASPs and continued cost reductions in production, which have been in the order 33% over the last five years (excluding impact of foreign exchange rates).

Increased polysilicon demand has enabled OCI to operate plants at higher utilisation rates.

OCI’s Basic Chemical Division, which includes polysilicon production, posted first quarter 2014 revenue of KRW521 billion (US$501 million), up from KRW501 billion in the previous quarter.

Increased shipments and ASPs supported a return to an operating profit of KRW14 billion (US$13.4 million).

PV project business update

OCI noted that its major PV power project, the 400MW ‘Alamo’ plant in Texas, US would continue to be built out through to 2016 at an estimated cost of US$1.2 billion.

The company said that Alamo 4 (39.6MW), which started construction in late 2013, would be completed and start commercial operation in the second half of 2014. Alamo 1 & 2 were expected to be in commercial operation in the first half of 2014, bringing expected commercial operation to a combined 84.7MW in 2014.

However, the company also noted that its remaining five projects would be carried out by what the company described as a streamlined consortium of partners and that it was working closely with its third party EPC provider to increase and improve its operational efficiencies.

Suppliers are KACO New Energy for inverters, Sun Action Tracker for mounting systems and Mission Solar Energy for PV modules.

Cell/module production update

The company also noted that its partner Mission Solar Energy (MSE) would complete the first phase (100 MW) of construction of its high efficiency n-type monocrystalline cell and module manufacturing plant in the US by the third quarter of 2014.

The company said it had experienced delays in the construction due to weather conditions as well as delays in production equipment shipments and various local permit approvals, without providing further details.

However, OCI said that MSE’s second phase capacity expansion (100MW) was scheduled to be completed by the second half of 2015.