REC Silicon ASA: Update of Production Estimate due to Incident
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REC Silicon ASA reported on May 3, 2016 that it would restart production at its Moses Lake, WA Silane III facility and half of its FBR capacity in May 2016. Silane IV was expected to restart with the remaining FBR capacity in June 2016.
On July 1, during the startup of Silane IV an oil fire occurred in one of three gas fired oil heaters. REC Silicon emergency response personnel were activated at 7:30 AM, extinguished the fire, and an all clear was given at 10:03 AM.
There were no injuries or releases of process chemicals caused by this incident.
Silane III started up in May and is operating at near full capacity. The FBR facility was not impacted, however, FBR capacity will be impacted by Silane gas limitations caused by this incident.
The fire in Silane IV resulted in damage to the gas fired oil heater involved in the incident. The Company currently anticipates the restart of Silane IV will occur in mid July and that production rates may be limited to approximately two thirds capacity of Silane IV through the third quarter of 2016.
Third quarter granular polysilicon production is currently estimated at 3,800 MT, which is about 800 MT below the third quarter volume previously guided.
At this time there is no anticipated change to the previously guided fourth quarter granular polysilicon production volume.
For further information, please contact:
James A. May II, CFO
REC Silicon ASA
Phone: +1 509 989 1023
Chris Bowes, Investor Relations
REC Silicon ASA
Phone: +1 509 793 8127
Nils O. Kjerstad
IR Contact Europe
Phone: +47 9135 6659
About REC Silicon
REC Silicon is a leading producer of advanced silicon materials, delivering high-purity polysilicon and silicon gas to the solar and electronics industries worldwide. We combine 30 years of experience and proprietary technology with the needs of our customers, with annual production capacity of more than 20,000 MT of polysilicon from our two US-based manufacturing plants. Listed on the Oslo Stock Exchange (ticker: REC), the company is headquartered in Fornebu, Norway.
For more information, go to: www.recsilicon.com