Formosa Plastics Corporation Mulls Setting Up Silane Plant

Taipei, Nov. 17, 2008 (CENS)--Looking to tap the potential of the thin-film solar cell business, Formosa Plastics Corporation (FPC) is considering setting up a silane or silicane (SiH4 or silicon analogue of methane) plant, which will focus on producing the raw material for such cells.

Amid the global economic downturn, FPC is cutting back capital expenditure and temporarily halting unnecessary production-expansion and other investments. Despite waning investments globally in the earlier popular solar-energy sector due to recent drops in crude oil prices, FPC will not slow its investment in the green industry.

FPC chairman C.T. Lee said thin-film photovoltaic cell is one of the most promising alternative-energy products, adding that solar energy is worthy of development as it is theoretically forever sustainable.

With silane being the raw material for thin-film solar-energy cells, Lee said FPC has the technology to produce SiH4 and plans to set up a plant to make the material. Without yet deciding on the site for the silane plant, FPC is looking at the Mailiao, Yunlin County-based industrial zone as an ideal location, on the condition that the water supply issue be overcome first.

In addition, FPC is the final stage of R&D to turn out specialty EVA (ethylenevinyl acetate), which is applied to solar-energy packaging. Only DuPont of the U.S. and Hisheet of Japan are currently capable of producing such specialty material.

FPC said it is the only firm in Taiwan capable of producing EVA chips, and is preparing to invest between NT$3 billion (US$90.9 million at US$1:NT$33) and NT$4 billion (US$121.21 million) to set up an EVA-chip plant by the end of this year.