Project Description
Location:
The customer wanted to build a 20 MW basic production in the Caucasus area.
Sales:
The idea was to produce mostly (60%) OEM panels under the name of a business partner.
Product:
The main sales area of the business partner is in USA, the main product is a mono perc standard panel with 60 cell design and 315 watt.
Building:
Because the 20 Mw are only the start and there will be an extension in the future – the customer decided for a rented building with the following dimensions:
– 700 sqm factory hall
– 80 sqm office
– 200 sqm stock
Only the preparations for power supply and other facility requirements have to be done – no other investments in land or building.
Capacity:
The production line should produce in 2 shifts in the first 2 years and after switching to a 3 shift model.
Production is 23 hours a day and 340 days / year.
Investment & Capital Requirement
Construction CAPEX and Production Start
The company was founded with §300,000 equity and additional §300,000 share capital. Equity / debts: 62% / 38%
Sales Markets World Wide
Distribution of Sales
The Product
Operating Profit Per Watt
Breakdown costs and profit per Watt in Second Year (2020)
The first year with installation and ramp up had a loss of $91,000. A little bit more than 1 year with 2 shift production was enough to get the return on invest. Profit for 2021 is 1,5 million Dollar.
Shift one consists of 8 people, full production for 20 MW is 23 people. In 2019 the factory started with 21 people, plan is to extend to 30 people until 2022.
Cash Flow by Year
Planed cash flow until 2023.