Apollo Solar Energy to Expand Production Capacity for Ultra-High Purity Tellurium

Apollo Solar Energy, Inc. (OTC Bulletin Board: ASOE) a leading vertically integrated miner, refiner and producer of high purity tellurium (Te) and tellurium based metals for the CdTe/CIGS Thin Film solar photovoltaic (PV) industry and specific segments of the electronic materials market worldwide, today announced that it expects to initiate a large scale project to update and expand its current manufacturing process and production capacity for 5N ultra-high purity tellurium, the core material of CdTe thin film solar PV.

The Company intends to initiate the project in October 2010 to support expected increases in customer demand.

The Company plans to acquire additional manufacturing equipment, including sophisticated analyzing technology, and hire skilled technicians and support staff. The updated manufacturing process and expanded capacity is expected to increase Apollo's production capacity by 50% and will support projected annual sales of 5N ultra-high purity tellurium of approximately 180 million RMB (USD 27 million) based on the current market price of 5N high purity Te products.

"Our manufacturing facility and technology have been consistently ranked among the most advanced and efficient in the industry in China," said Mr. Renyi Hou, CEO of the Company. "Now we are planning to scale up our world-class technology to meet the fast increasing demands for Te. With this aggressive build-out plan, we believe we will be well positioned to provide new and existing customers with the fastest option available to get advanced products to market in the volumes they need to ensure success. For Apollo Solar, this expansion represents our next step in becoming a leader in the solar energy industry towards China."

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