Developer of renewable energy solutions, Advanced Energy Systems Ltd
(ASX:AES) says it has executed an agreement with Tangcheng Group for the provision of its sustainable energy technology in a proposed development in Adelaide.
The company says as the development is still subject to design completion and statutory approvals, the agreement is conditional upon receipt by the company of detailed specifications of the complex, and provision of a commercially viable solution based on those specifications.
The company, through a wholly owned subsidiary has acquired a 7% interest in the project.
AES says that it anticipates design and approval for the project to take 18 months, with construction to commence in 2011.
The project is estimated to generate $33 million to $50 million profit over 5 years for the joint venture.
Advanced Energy Systems posted a loss for the 2009 financial year.
