OREANDA-NEWS. JX Nippon Oil & Energy Corp. said that it is negotiating with First Solar Inc. of the U.S. to procure solar cells for sale in Japan.

The talks cover solar cells to be manufactured using technology developed by TetraSun Inc., a U.S. firm in which JX Nippon Oil holds a 16% stake.

The JX Holdings Inc. group has been supporting TetraSun's R&D efforts since becoming its principal shareholder through an investment in 2009. With TetraSun's monocrystalline silicon solar cell technology being readied for commercialization, JX Nippon Oil has been looking since last year to sell its holdings in the U.S. start-up to a company that can use the technique to mass-produce solar cells at low cost.

If all goes smoothly, it will complete the share sale by June. First Solar is expected to begin mass production in the second half of 2014.

By procuring highly efficient solar cells cheaply, JX Nippon Oil hopes to boost profitability. It aims to sell the products to both households and businesses in Japan.

"First Solar's cost competitiveness reigns supreme in the worldwide solar cell industry," says Hiroya Nishijima, senior vice president in charge of new energy systems. "If we can secure the exclusive sales rights to Japan, we'll be able to sell high-performance products at low prices."