IQE's CPV materials successfully qualified for ...

Cardiff, UK. 8 August 2013: IQE plc (AIM: IQE; "IQE", "the Group") announces that its material has been qualified for production-ready, high-volume manufacturing by its strategic partner Solar Junction Corporation ("Solar Junction").

Solar Junction, a developer of high efficiency multi-junction solar energy cells for the concentrated photovoltaic (CPV) market, has successfully completed the process transfer and full qualification of IQE's epitaxial materials for high-volume manufacturing.

This qualification is a major milestone which has required extensive validation of IQE's manufacturing processes, product quality and reliability in delivering material with cutting edge solar efficiency.

Solar Junction is now production-ready and at an advanced stage in qualifying its cells with the leading global CPV systems manufacturers.  Solar Junction expects to receive initial high-volume orders over the coming months.

As a result of the joint development agreement in February between Amonix and Solar Junction, Amonix, the leading worldwide installer of CPV systems, is already testing solar cells produced with IQE epitaxy and observing improved performance.

Jeff Allen, Vice President of Business Development at Solar Junction, said:

"The qualification of our production-ready 42% median efficiency solar cells produced by IQE and our new fabrication line could not have come at a better time for Solar Junction and the  CPV market.

"Solar Junction's key customers are highly impressed with the 2+% cell efficiency advantage over our competitor's cells, which translates to an estimated reduction in total installed CPV system cost of approximately 5%.

"The rapid adoption of our technology in the U.S., China and Middle East will propel Solar Junction to market leadership in CPV."

A recent independent industry report estimates the target market for CPV is expected to exceed 5GW over the next few years, with more than 750MW to be installed by 2015. 

Initial deployment will be in Southwestern U.S., Southern Europe around the Mediterranean, Middle East and Northern Africa (MENA), Southern Africa, Chile, Australia and China.

Dr. Vijit Sabnis, Chief Executive of Solar Junction said:

"The successful qualification is attributable to the close partnership of the team responsible, from Solar Junction and IQE, over the past twelve months.

"The IQE epitaxial materials are fabricated at Solar Junction's 4" and 6" production facility, partially funded by the U.S. Department of Energy SUNPATH contract, in Silicon Valley.  Solar cells are currently out for independent third-party verification of efficiency results with performance anticipated to be equivalent to that produced by our internal pilot line." 

Solar Junction's successful qualification continues to demonstrate the value of its dilute nitride materials, which uniquely provides CPV system manufacturers the foundation to deliver the most efficient conversion of solar to electrical energy. In October 2012, Solar Junction achieved a World record 44% efficiency for a standard 3J cell at a concentration of 942 suns.

Dr. Drew Nelson, IQE Chief Executive, said:

"The successful qualification of IQE's production scale epiwafers for CPV marks a key milestone in bringing Solar Junction's advanced technology to market. What has been particularly impressive is that median efficiencies from our large volume 4" and 6" platforms are at least as good as have been previously achieved in small scale demonstrations.

"The performance and manufacturing advantages of Solar Junction's 3J solar cell technology will accelerate adoption of CPV and position IQE to become the key epiwafer supplier to the global utility scale CPV solar market.

"These achievements clearly demonstrate the success of our strategy to invest in Solar Junction and enter into an exclusive, worldwide license for the technology."

Contacts:

IQE plc
[phone]
Drew Nelson
Phil Rasmussen
Chris Meadows

College Hill
[phone]
Adrian Duffield
Kay Larsen

Espirito Santo Investment Bank
+ 44 (0) 20 7456 9191
Richard Crawley
Alastair Maclachlan

Canaccord Genuity
[phone]
Simon Bridges
Cameron Duncan

NOTE TO EDITORS

ABOUT IQE

www.iqep.com

IQE is the leading global supplier of advanced semiconductor wafers with products that cover a diverse range of applications, supported by an innovative outsourced foundry services portfolio that allows the Group to provide a 'one stop shop' for the wafer needs of the world's leading semiconductor manufacturers.

IQE uses advanced crystal growth technology (epitaxy) to manufacture and supply bespoke semiconductor wafers ('epiwafers') to the major chip manufacturing companies, who then use these wafers to make the chips which form the key components of virtually all high technology systems. IQE is unique in being able to supply wafers using all of the leading crystal growth technology platforms.

IQE's products are found in many leading-edge consumer, communication, computing and industrial applications, including a complete range of wafer products for the wireless industry, such as mobile handsets and wireless infrastructure, Wi-Fi, WiMAX, base stations, GPS, and satellite communications; and optical communications.

The Group also manufactures advanced optoelectronic and photonic components such as semiconductor lasers, vertical cavity surface emitting lasers (VCSELs) and optical sensors for a wide range of applications including optical fibre communications, optical storage (CD, DVD, BluRay), thermal imaging, leading-edge medical products, pico-projection, finger navigation ultra-high brightness LEDs, and high efficiency concentrated photovoltaic (CPV) solar cells.

The manufacturers of these chips are increasingly seeking to outsource wafer production to specialist foundries such as IQE in order to reduce overall wafer costs and accelerate time to market.

IQE also provides bespoke R&D services to deliver customised materials for specific applications and offers specialist technical staff to manufacture to specification either at its own facilities or on the customer's own sites. The Group is also able to leverage its global purchasing volumes to reduce the cost of raw materials. In this way, IQE's outsourced services, provide compelling benefits in terms of flexibility and predictability of cost, thereby significantly reducing operating risk.

IQE operates a number of manufacturing and R&D facilities across Europe, Asia and the USA. The Group also delivers its products and services through regional sales offices located in major economic centres worldwide.

ABOUT Solar Junction

www.sj-solar.com

Solar Junction is a manufacturer of high efficiency III-V multi-junction solar cells based on dilute-nitride materials. The company is dedicated to providing the industry's highest efficiency solar cells to enable CPV as a cost effective energy solution. Founded in 2007, Solar Junction is headquartered in San Jose, California. Investors include New Enterprise Associates, Draper Fisher Jurvetson, Advanced Technology Ventures, and IQE.

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Source: IQE plc via Thomson Reuters ONE

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