Solar cell maker China Sunergy Co Ltd said it signed a series of sales contracts to supply up to 10 megawatts of solar modules to NUE PTY Ltd, an Australian solar company.

Initial shipments began in June and full delivery is scheduled to be completed by early 2010, the company said in a statement.

The news comes weeks after Australia passed laws mandating the generation of 20 percent of its electricity from renewable energy, which could unleash up to $22 billion in investments in the sector.

Last week, China Sunergy reported better-than-expected quarterly results, helped by a rise in shipments, and said it expects shipment growth to remain strong in the third quarter.

Shares of the company were down 9 percent at $4.17 in morning trade Monday on Nasdaq.

(Reporting by Adveith Nair in Bangalore; Editing by Gopakumar Warrier)

Australia China Renewable energy Energy