Hoku Scientific ( HOKU) was soaring 80% after its Hoku Materials division signed a contract to sell polysilicon to Sanyo Electric over a seven-year period beginning in January 2009.

Sanyo could pay Hoku up to $370 million while the contract is in effect.

"This is a major step forward in our plan to launch Hoku Materials and execute our polysilicon business strategy," said Dustin Shindo, chief executive of Hoku Scientific. "We are pleased to have established this relationship with Sanyo, a global leader in the solar cell and module business."

Hoku plans to build a plant capable of producing 2,000 metric tons of polysilicon a year. The company estimates that the facility might require total building costs of around $260 million. In connection with the financing of the construction, Hoku plans to seek about $130 million in debt capital.

Shares of Hoku, a company that focuses on clean-energy technologies, were jumping $2.50 to $5.60 in premarket trading Thursday.