POSTED: Wednesday, April 17, 2013 - 3:30pm
UPDATED: Wednesday, April 17, 2013 - 3:34pm
Waggman, LA — Today, Governor Bobby Jindal – along with Dyno Nobel Americas President Daniel McAtee and Cornerstone Chemical CEO Greg Zoglio – announced the companies will invest a combined $1.025 billion for a new ammonia production facility and related upgrades in Waggaman.
Incitec Pivot Ltd., the Australia-based parent company of Dyno Nobel, will invest $850 million to build the ammonia plant, providing a commercial foundation for Cornerstone to continue its planned investment of $175 million in maintenance, upgrades and infrastructure expansion at its site over a six-year period. The new Dyno Nobel plant will produce 800,000 metric tons of ammonia per year at Cornerstone Chemical’s Fortier Manufacturing Complex on the west bank of the Mississippi River in Jefferson Parish.
The project will create 65 new direct jobs by employing 60 new personnel at Cornerstone Chemical and another five at Dyno Nobel, which is owned by Australia-based Incitec Pivot Ltd. LED estimates the project will result in another 477 new indirect jobs, for a total of more than 540 new jobs. Salaries for the new direct jobs will average more than $55,700 per year, plus benefits, and the project will retain 441 existing Cornerstone jobs. In addition, Dyno Nobel estimates construction employment will peak at 750 jobs over the three year construction period.
Gov. Jindal said, “Dyno Nobel’s new ammonia facility in Jefferson Parish is proof of Louisiana’s outstanding business climate, top notch workforce and first class energy infrastructure—including our state’s affordable and abundant supply of natural gas. Louisiana is uniquely positioned to provide major supplies of natural gas to critically important energy and chemical manufacturers, and more and more companies are taking notice and investing right here in our state. But they’re not just coming here for our resources. Companies from around the globe are locating operations in Louisiana because they recognize we have a world class workforce capable of getting results. We’re confident that this new facility will help us continue to build on our state’s energy and chemical manufacturing legacy, all while we move our economy forward by providing more great jobs for our people.”
Dyno Nobel will develop the anhydrous ammonia plant on a site where an ammonia plant previously operated before closing more than a decade ago. Cornerstone already produces acrylonitrile, melamine and sulfuric acid at the Waggaman complex, and the ammonia plant will be integrated with Cornerstone’s existing infrastructure.