October 3, 2008 -- Mr. Kezhi Zhao, standing committee member of the Jiangsu Provincial Party Committee and standing vice governor of Jiangsu province, visited the polysilicon production facilities of GCL Silicon Technology Holdings Inc. ("GCL Silicon") in Xuzhou, Jiangsu province. He was accompanied by Mr. Ming Xu, vice governor of Jiangsu province and the municipal party secretary of Xuzhou, and Mr. Xinping Cao, mayor of Xuzhou. 

Mr. Gongshan Zhu, chairman of GCL Silicon, gave detailed introduction of the polysilicon production facilities. Governor Zhao was impressed by the clean production areas and modern management expertise, and was particularly excited by the utilization of advanced technologies and the steady ramp-up of production. Governor Zhao also visited the construction site of Xuzhou Phase III polysilicon facility with a designed annual capacity of 10,500 MT. The Xuzhou Phase III polysilicon production facility is expected to begin commercial production by December 2008. Governor Zhao praised GCL Silicon's ramp-up plan and expressed high hopes for the company's future. 

At the show room, Chairman Zhu introduced GCL Silicon's achievements in the areas of independent innovation, energy conservation and environmental protection. GCL Silicon's production process operates in a closed-loop cycle that captures tetrachlorosilane (STC), a byproduct of the production process, and convert it into trichlorosilane (TCS), one of the most expensive inputs in the polysilicon production process. A number of public solar companies have placed orders with GCL Silicon and the total contract value account for roughly 90 percent of GCL Silicon's polysilicon output through year 2015.

Governor Zhao praised GCL Silicon's accomplishments and future growth prospects noting that GCL Silicon's progress so far would certainly encourage the development of related industries in the area. Specifically, Governor Zhao said, "I believe that GCL Silicon will grow rapidly to become a leader in the emerging alternative energy industry. This will play an important role in expediting the development of Xuzhou's old industrial base and facilitating Xuzhou's economic development. The provincial government should give full support to Xuzhou's polysilicon industry by examining and resolving the difficulties faced by GCL Silicon and helping them to grow bigger and stronger."