REpower starts co-operation in India
- License agreement with Indian Essar group
- Joint Venture planned for 2007
Mumbai/Hamburg, 14 September 2006. REpower Systems AG (Prime Standard, WKN 617703) will sign a license agreement with the Essar group, one of India’s leading industrial conglomerates. The signing ceremony is expected to take place tomorrow. REpower with its reliable 1.5 megawatt technology REpower MD will thus be represented on the growing Indian wind energy market. Furthermore, the partners intend to form a joint venture which is to produce also REpower’s 2.0 megawatt turbines in 2007.
After REpower announced its imminent market entry in the US and the conclusion of a joint venture contract in China, it will hereby enter into the vast Indian wind energy market. The contract territory of the planned joint venture “Essar REpower India” shall moreover cover potential markets in Malaysia, Thailand and Vietnam. REpower again managed to secure a controlling interest in the joint venture just as in the recently established “REpower North (China) Ltd“.
Prof. Fritz Vahrenholt, Chairman of the board of REpower Systems AG, underlines the significance of India for the worldwide wind energy market: „India with approx. 4,250 megawatts of totally installed wind power capacity is today the largest market in Asia and ranks No. 4 in the world. With Essar and its fundamental expertise in power plant and other construction services we have found an excellent partner for a successful business on this market.” Essar’s newly founded subsidiary “Essar Wind Farms” plans to realise windfarm projects with a total rated power of at least 300 megawatts until 2010.
The Essar group is one of India’s largest corporations and is amongst others in-volved in industries like steel production, construction and power generation. “Be-sides towers specially developed for using Essar’s steelplates grade, we also plan to co-operate on 37m blades designed by REpower” explains REpower´s Business De-velopment Manager Carsten Corino. The parties furthermore examine possibilities to build up a local gearbox supply.
Anshuman Ruia, responsible for the energy business of the family-owned Essar Group, is confident: “With REpower’s leading turbine technology and the huge market potential in South Asia, we expect to create a billion dollar business over the years.”
Daniela Puttenat/ Unternehmenskommunikation & Öffentlichkeitsarbeit
Thomas Schnorrenberg/Isabelle von Grone Investor Relations