Daqo New Energy Announces its Phase 5B Polysilicon Expansion Project in Inner Mongolia to Increase Production Capacity to 305,000 MT by Year End 2023

PVTIME – Daqo New Energy Corp. (NYSE: DQ) (“Daqo New Energy” or the “Company”), a leading manufacturer of high-purity polysilicon for the global solar PV industry, today announced that its Phase 5B polysilicon expansion project in Inner Mongolia is expected to increase the Company’s annual polysilicon production capacity by 100,000 MT to a total of 305,000 MT by the end of 2023.

The Company’s existing polysilicon facilities in Xinjiang with nameplate capacity of 105,000 MT are expected to produce approximately 130,000 to 132,000 MT of polysilicon in 2022. The Phase 5A project with nameplate capacity of 100,000 MT in Inner Mongolia, currently under construction, is expected to be completed in Q2 2023. The newly announced Phase 5B project will add another 100,000 MT capacity and increase the Company’s total annual production capacity to 305,000 MT by the end of 2023. The capital expenditures for the Phase 5B project are estimated to be approximately RMB9.2 billion.

Mr. Longgen Zhang, Chief Executive Officer of Daqo New Energy, commented, “We are very excited to announce the Phase 5B project in Inner Mongolia, which is expected to increase our total annual production capacity to 305,000 MT by the end of 2023. Upon the completion of the Phase 5B, our Inner Mongolia manufacturing base will contribute approximately two-thirds of our polysilicon capacity. In addition, we plan to build 300,000 MT of metallurgical silicon capacity in two phases which will enable us to self-supply our raw materials in future. We believe that our Phase 5B project and the metallurgical silicon projects will further enhance our leadership with increased capacity, improved quality, lower cost, and better management of supply chains.”