Hoku Scientific Inc. said it may sell its headquarters and fuel cell membrane production facility in Kapolei and move into a smaller space.

The company has increasingly been focusing on its polysilicon plant in Idaho.

The $6 million Kapolei headquarters was opened in late 2005. At the time, the 14,000-square-foot office, manufacturing and research and development facility at 1075 'Opakapaka Street was double the company's former digs, a 7,000-square-foot facility in Kalihi.

The company said its fuel cell business has not produced meaningful revenue or profits and that it has scaled back its investment in the business. The operation "has been limited to maintaining and pursuing intellectual property protection for the company's inventions, and fulfilling its obligations in its contract with the U.S. Navy," said Hoku, which in December wrote down the value of its fuel-cell business and reduced staffing for the operation.

Hoku said it plans to explore a potential sale of the 2.2-acre property and relocating to a smaller leased warehouse and office space on O'ahu.

The company also announced today a definitive agreement with a division of Solar-Fabrik AG for the sale and delivery of polysilicon, a material used in computer chips and solar panels. The contract was announced last year and has been expanded. The contract now calls for up to $185 million over a seven-year period.

Hoku recently has landed a number of contracts to provide polysilicon, which is in great demand for making solar power cells and computer chips.

Hoku last week announced that it will provide up to $678 million in polysilicon to Suntech Power Holdings Co. over 10 years. Hoku announced in January that it signed a seven-year $370 million polysilicon supply contract with Sanyo Electric Co.

Hoku is building a plant on a 67-acre site in Pocatello, Idaho, capable of producing 2,000 metric tons of polysilicon per year.

Hoku said it expects to finish construction in the second half of 2008, with polysilicon shipments planned for the first half of 2009.

Shares of Hoku rose 3 cents to $6.95 yesterday in trading on the Nasdaq Stock Market.