CHARLOTTE, N.C. (WV News) — Nucor Corp. has confirmed it plans to build a new state-of-the-art sheet steel mill in Mason County.
The $2.7 billion project was rumored to be the “major announcement” Gov. Jim Justice said he planned to deliver in his 2022 State of the State Address.
“This is a landmark announcement in the history of our state,” Justice said. “Nucor’s brand new facility is going to be a key part of West Virginia’s DNA long into the future. It’s going to change lives by bringing hundreds of great-paying jobs to Mason County, and the economic ripple effects will bring even more goodness to our state.”
John Farris, vice president and general manager of Nucor Steel West Virginia, issued a statement thanking Justice and other state officials for their support of the project.
“We look forward to breaking ground in Mason County and partnering with colleges and universities on workforce development programs, supporting veterans’ organizations and local food pantries and working with opioid recovery programs that will provide meaningful pathways to jobs,” Farris said.
The new mill will be equipped to produce 84-inch sheet products and, among other features, will include a 76-inch tandem cold mill and two galvanizing lines, according to information from Nucor.
The mill will have the capacity to produce up to 3 million tons of sheet steel per year for the automotive, appliance, HVAC, heavy equipment, agricultural, transportation and construction markets.
It also will include advanced downstream processing capabilities, including a tandem cold mill, annealing capabilities and initially two galvanizing lines.
Galvanizing capabilities will include an advanced high-end automotive line with full inspection capabilities, as well as a construction-grade line.
Upon completion, the mill is expected to create approximately 800 high-quality manufacturing jobs. Construction of the state-of-the art facility, which will begin in 2022, will create an additional 1,000 jobs.
Nucor expects the Mason County facility to be operational by 2024.
The company also announced it is considering building a transloading and processing center in the northern part of the state in order to create a broader logistics network to better serve its customers in the upper Midwest and Northeast regions.
“This is an enormous accomplishment for the great state of West Virginia,” said state Department of Economic Development Secretary Mitch Carmichael. “There was a lot of hard work and dedication that went into making this a reality, and there’s no doubt that West Virginia is the best place for this steel mill. We give a warm welcome and look forward to supporting the Nucor team as they succeed in West Virginia.”
U.S. Sens. Joe Manchin, D-W.Va., and Shelley Moore Capito, R-W.Va., and Rep. David McKinley, R-W.Va., each issued statements applauding the announcement.
“I always say that West Virginians are some of the hardest working people you’ll ever meet, and I know our state is ready to prove ourselves to Nucor and the entire steel industry,” Manchin said. “This announcement shows Nucor truly values our state’s best asset: Our people.”
“Nucor’s investment means we will not only be able to manufacture these needed materials, but we will also be able to manufacture them right here in West Virginia,” Capito said. “I’m so proud of this announcement for many reasons, but primarily because it shows what we can achieve when we work together at the federal, state and local levels for solid, long-term success.”
“We are proud that Nucor has chosen West Virginia for this major investment,” McKinley said. “This is exciting news for Mason County and the entire state, and the jobs associated with the plant will provide opportunities for thousands of West Virginians. Good roads, access to water and sewer, and a reliable and fast internet connection are all important factors when companies choose a location.”
On Tuesday, the state Legislature completed action on Senate Bill 1001, the West Virginia Industrial Advancement Act.
Justice called the Legislature into special session Monday, just two days before the start of the regular 60-day session, to pass SB 1001 in order to provide financial incentives to secure Nucor Corp.’s investment.
The bill gives companies that invest at least $2 billion into property for a manufacturing facility that will employ at least 500 full-time workers a tax credit of up to 50% of the price paid for the property, according to House Finance Committee Chair Eric Householder, R-Berkeley.
The bill ensures employees at the facility will be paid 200% of the prevailing federal minimum wage plus benefits, Householder said.
Del. Paul Espinosa, R-Jefferson, cited a study from the Bureau of Business and Economic Research at West Virginia University that estimated the Nucor project would have an economic impact of around $25 billion over 10 years and could create as many 5,000 new downstream jobs.
“Some of the salaries that have been described (are) somewhere averaging in excess of $90,000 (per year),” Espinosa said. “These are great jobs, great benefits.”