NEW YORK (
) -- Shares of solar cell maker
are experiencing a surge on Wednesday morning after the company announced at the solar conference in Valencia, Spain that it already has booked more than 500 megawatts worth of cell shipments for 2011.
JA Solar shares are up near 10% in early trading on Wednesday morning, and more than one million shares of the Chinese solar stock were traded within 15 minutes of the market open.
"We are seeing very strong demand for our technologically advanced, high-quality products from our diverse global customer base," said Peng Fang, CEO of JA Solar, in a statement. "We are pleased to have secured these new supply contracts for next year delivery, which further improves our 2011 visibility and reflects our continued leadership in supplying high-quality solar products to the industry," the JA Solar CEO said.
It's all about 2011 visibility at the conference in Valencia, Spain. With sold-out conditions in 2010, all eyes in solar had already turned to the outlook for 2011, and fears that demand would slow with reduced feed-in tariffs in Europe. Solar bulls have been hoping that the Valencia conference would provide a chance for solar companies to show that the dour 2011 arguments are not based in actual visibility.
The JA Solar announcement isn't likely to end the debate -- and all things were rosy in solar before the Spanish crash of 2008, also. However, at least on Wednesday morning, the Valencia solar conference and the JA Solar announcement were having the impact on JA Solar shares that solar bulls were expecting ahead of the conference.
-- Written by Eric Rosenbaum from New York.
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