5N Plus expands solar materials deal with First Solar

Executive Summary

• 5N Plus Inc. has entered into an expanded supply agreement with First Solar Inc., increasing volume commitments for cadmium telluride (CdTe) and adding a new supply line for cadmium selenide (CdSe).
• The agreement covers two periods: 2025–2026 and 2027–2028, with significant percentage increases in production volumes for both periods.
• The expansion supports First Solar’s goal to achieve 14 gigawatts (GW) of American manufacturing capacity in 2026, leveraging 5N Plus’s existing production and recycling capabilities in Canada and Germany.

Key Details

• Contract Periods: The agreement covers the current period (2025 to 2026) and the subsequent period (2027 to 2028).
• Volume Increases (CdTe):
  • 2025–2026: 5N Plus will increase production and delivery of cadmium telluride (CdTe) by 33% compared to initial levels.
  • 2027–2028: An additional 25% increase in CdTe volumes is committed for this subsequent term.
• New Material Supply: Starting in 2026, 5N Plus will begin producing and delivering cadmium selenide (CdSe) to First Solar, a critical material used in PV solar panel manufacturing.
• First Solar Capacity Goals: First Solar expects to achieve 14 GW of American manufacturing capacity in 2026.
• First Solar Facilities: The company currently operates four factories in Ohio and Alabama, with a fifth expected to begin commercial production in the second half of 2025.
• Strategic Context: The agreement aligns with First Solar’s focus on sourcing critical materials from American sources or allied nations to support U.S. economic growth and electrification.
• Operational Capability: 5N Plus attributes its ability to meet increased volume with minimal additional investment to manufacturing flexibility and recent expansions of semiconductor compound production and recycling capabilities in Canada and Germany.

Notable Quotes

• Gervais Jacques, President and CEO, 5N Plus: "We are proud to help enable the growth in U.S. power generation by expanding our partnership with America's largest solar technology manufacturer... Our ability to meet this significant increase in volume with minimal additional investment is a direct result of our manufacturing flexibility and the recent expansion of our semiconductor compound production and recycling capabilities in Canada and Germany."
• Mike Koralewski, Chief Supply Chain Officer, First Solar: "Access to secure critical materials supply chains supports our growth strategy, making 5N Plus a valued long-time partner... Crucially, they continue to support our efforts to onshore production of critical minerals."