The first Polysilicon Production Facility is set up in the Kingdom of Saudi Arabia, according to the announcement made by First Energy Bank .FEB. on Nov 17th. The project is spearheaded by the strategic partner, FEB and the techno-commercial developer, Project Management and Development Company .PMD., a Saudi based industrial group. A subsidiary of FEB, Cosmos, is the project owner and developer. It will be responsible for driving the construction process and ensuring that it runs according to plan and meets all design criteria within the allotted timeline. The Polysilicon plant, the largest plant of its kind in both Kingdom of Saudi Arabia and the MENA region, is based on tried and tested design principles utilizing processes and procedures widely accepted in the industry as cost efficient and effective. The project will use advanced and commercially proven technologies in its production processes deriving benefits from the economies of scale. It will be one of the lowest-cost polysilicon producers in the world. The Project with an area of approximately 375,000 square meters in Al Jubail Industrial City 2 is expected to start operation in 2013. It has a total production capacity of 7,500 tons per annum of high quality polysilicon product. It is structured to benefit from the world class infrastructure and support facilities available at Al Jubail industrial city. It is expected that future expansion of the project facility .in second phase. would include investments in downstream sector such as manufacturing of ingots, wafers, cell and modules. The Project has achieved key milestones which includes the signing of the power supply agreement with Saudi Electricity Company .SEC.; securing of the industrial land from the Royal Commission for Jubail and Yanbu; the signing of the market offtake agreement with Vinmar International, Ltd. and completion of market and technical studies. Mr. Vahan Zanoyan, CEO of First Energy Bank said that the project would cost about $1 billion, and be financed through a 40 percent equity stake and 60 percent debt. He further said that they are bullish on the polysilicon industry on account of the fact that renewable sources of energy will remain a priority globally, and solar energy in particular is a logical industry to take off and flourish in the Middle East and North Africa region. He expressed his delight to launch such a significant plant in one of the most important industrial hubs in the Gulf region, namely, in Al-Jubail in Saudi Arabia.