China - GaoKe and Fuhrlander partner for turbine production

A-Power Energy Generation Systems has announced a licensing agreement between Chinese subsidiary Liaoning GaoKe Energy Group and German turbine manufacturers Fuhrlander AG. GaoKe will gain the right to make and sell Fuhrlander's 2.5 MW wind turbine, one of the largest models of land based wind turbines in the world.

GaoKe will pay US$13.9 million to Fuhrlander for assistance in developing a plant, similar to Fuhrlander's German plant, due to be finished by the middle of the year. Fuhrlander will then ensure that the turbines are produced to the correct specifications, and share any improvements to the wind turbine that are developed.

The agreement also provides Fuhrlander with a minority percentage of the gross profit from GaoKe's first 100 wind turbine sales. GaoKe's new factory will have a 300 turbine per year capacity. The 2.5 MW model is expected to sell for between US$2.7 million to US$3.2 million.