Michael Randle, Author at Southern Business & Development

Louisiana Businesses Bet Big on Offshore Wind

Posted on February 23, 2024October 25, 2024 by Michael Randle

Louisiana, long known as a major U.S. energy producer, is looking to extend that reputation well into the 21st century by nurturing a growing industry with immense economic potential: offshore wind. As part of that effort, the state ushered in the new year with its first-ever Wind Energy Week, a conference that brought together a diverse group of local business leaders and academics, port authorities, state lawmakers, environmental advocates, and global offshore wind developers.

In meetings and presentations in Baton Rouge and New Orleans, the group discussed the transformative potential of the offshore wind industry in Louisiana, spotlighting companies in the state with the expertise and capabilities to supply the components and services needed to harness offshore wind. Representatives from local companies shared their success stories building out offshore wind projects in the northeastern U.S. and explored collaborative opportunities for further involvement in projects along the Atlantic and Gulf coasts.

For example, eight Louisiana-based businesses were pivotal to the development and installation of the nation’s first commercial wind farm, the Block Island Wind Farm off the coast of Rhode Island, in 2016. From environmental impact survey work to the fabrication and installation of Louisiana-built turbine foundations by local mariners, the success of that project relied on Louisianans and their offshore expertise.

Governing.com

bdtronic and Broken Arrow Economic Development Corporation Announce 60 New Jobs Coming to Broken Arrow

Posted on February 23, 2024October 25, 2024 by Michael Randle

The Broken Arrow Economic Development Corporation announces that bdtronic, the leading global supplier of automated production machines, is creating 60 new jobs over the next five years with an average wage of $66,000 at the company’s Broken Arrow facility.

The jobs announcement qualifies bdtronic for the Oklahoma Department of Commerce’s Quality Jobs Incentive.

“With bdtronic’s leading position as a supplier to this market, we have undertaken a rapid growth strategy and are pleased to partner with Oklahoma in being approved for the Quality Jobs Incentive,” says Michael Yarnall, President of bdtronic.

Yarnall says the 60 new positions highlight expertise in project management and engineering, machine controls software, mechanical and electrical assembly technicians, and support administration over the next 5 years.

Hopper Smith, executive director of the Oklahoma Department of Commerce, praises the announcement.

“As a leader and supplier in a highly specialized sector, the expansion of bdtronic is a huge win for Broken Arrow and Oklahoma,” Smith says. “bdtronic has proven its commitment to the local community with the addition of 60 high-quality jobs and Commerce is pleased to be the agency that offers incentives that allow for growth and retention of our existing companies.”

Broken Arrow leaders praised the announcement as a boon for the local economy.

Oklahoma Department of Commerce

Bringing In the Brine: South Arkansas Lithium Projects Face Engineering Challenges

Posted on February 23, 2024October 25, 2024 by Michael Randle

An oil industry adage says if you’re looking to find the expert in the room on a big undertaking, “look for the guy who says it’s going to cost the most and take the longest.”

A big lithium boom in South Arkansas will demand costly engineering and construction, experts say. Companies like Exxon Mobil, Tetra Technologies and Standard Lithium have discovered promising amounts of lithium in the underground brines of the Smackover geological formation, which lies nearly 8,000 feet below the woods and fields of south Arkansas. That brine now feeds bromine production at Lanxess AG and Albemarle in Union and Columbia counties.

Arkansas Business

SOLARCYCLE to Create 600 Jobs in Polk County at First-of-its-Kind Solar Panel Glass Plant

Posted on February 23, 2024October 25, 2024 by Michael Randle

ATLANTA – February 15, 2024 – Governor Brian P. Kemp today announced that SOLARCYCLE, an advanced technology-based solar recycling company, will create more than 600 new full-time jobs in Polk County, investing an estimated $344 million in a solar glass manufacturing facility in Cedartown. The facility will be the first-of-its-kind in the country to use recycled materials from retired solar panels to make new solar glass.

“SOLARCYCLE’s first-of-its-kind facility is a transformational investment for the Polk County community and will help drive its economy for years to come,” said Governor Brian Kemp. “In Georgia, our strong energy mix is one of the key reasons our state has attracted generational investments in recent years. We will keep working to secure our power supply through exciting projects like this one.”

SOLARCYCLE currently operates two solar panel recycling facilities in the U.S., and the company’s advanced recycling technology allows it to extract up to 95% of the value from used solar panels. SOLARCYCLE’s new facility in Georgia will position the company as one of the first manufacturers of specialized glass for crystalline-silicon (c-Si) photovoltaics in the U.S., with the capacity to make five to six gigawatts worth of solar glass every year. The glass will be sold directly back to the domestic solar manufacturers and fill a critical gap in the country’s supply chain to build more solar panels in America.

“There is no question that solar panel manufacturing is booming in the State of Georgia. We are thrilled to join the team and build our recycled solar glass plant in Cedartown, which will bring hundreds of good-paying jobs to Georgia and help the industry in its goals to build fully American-made clean energy solutions,” said Suvi Sharma, CEO and Co-Founder of SOLARCYCLE. “We look forward to continued collaboration with the State of Georgia and the City of Cedartown.”

SOLARCYCLE will construct a new manufacturing facility located at Cedartown North Business Park, a Georgia Ready for Accelerated Development (GRAD) certified site in Cedartown. The plant, which will be the first of SOLARCYCLE’s facilities to manufacture glass in addition to recycling solar panels, is scheduled to begin construction in 2024 and will be operational in 2026. SOLARCYCLE will create full-time jobs in manufacturing, engineering, management, research and design, and support staff.

Progress and updates on the Cedartown plant will be available at www.solarcycle.us/careers.

“We are pleased to welcome SOLARCYCLE to our existing industries,” said Jamie Morris, Chair of the Development Authority of Polk County and Cedartown Development Authority. “Today is the result of progressive planning and collaborative efforts between Polk County Government, the City of Cedartown, and their Board of Commissioners to provide a pro-business community. SOLARCYCLE will make a positive economic impact in the community that will provide quality jobs and strengthen opportunities in housing and retail development that will help nurture a healthy and thriving community.”

Senior Project Manager Mellissa Takeuchi represented the Georgia Department of Economic Development’s (GDEcD) Global Commerce team on this competitive project in partnership with the Development Authority of Polk County, Cedartown Development Authority, Georgia Power, the Georgia Center of Innovation, and Georgia Quick Start.

“SOLARCYCLE provides a critical piece to the integrated solar supply chain we are building in Georgia, and we could not be happier that they approached our Georgia Center of Innovation team at a trade show,” said Commissioner Pat Wilson. “What sets Georgia apart from its competitors is our business-friendly environment, collaborative approach to economic development, and decades of forward-thinking state leadership. The Georgia Center of Innovation reflects these qualities in its work to connect Georgia businesses with the resources and partners to overcome challenges, and in bringing together the right partners to build new industries, including clean tech.”

Georgia is a Top Ten state for solar, and is ranked seventh in the nation for installed solar, according to the Solar Energy Industries Association. Georgia’s energy solutions providers are helping to accelerate the development of renewable energy products by lowering risks, reducing costs, providing access to innovative industry research, and investing in a superior infrastructure network.

About SOLARCYCLE

SOLARCYCLE is a technology-driven platform designed to maximize solar sustainability by offering solar asset owners a low-cost, eco-friendly, comprehensive process for recycling retiring solar panels and technologies and repurposing them for new uses. The company’s proprietary technology allows it to extract 95% of the value of a solar panel’s materials, such as silver, silicon, copper and aluminum, and to recycle or repurpose panels for new uses. Experts in solar technology, recycling, and sustainability founded SOLARCYCLE in 2022 to accelerate the circular economy for solar and renewables.www.SOLARCYCLE.us.

Contact

Garrison Douglas – Press Secretary
Office of Governor Brian P. Kemp
garrison.douglas@georgia.gov

Carter Chapman – Deputy Press Secretary
Office of Governor Brian P. Kemp
carter.chapman@georgia.gov

Jessica Atwell – Communications Manager
Georgia Department of Economic Development
JAtwell@Goergia.org

Gov. Beshear: Over $1.5 Million Approved Statewide To Support Training for More Than 6,500 Kentucky Workers

Posted on February 23, 2024October 25, 2024 by Michael Randle

FRANKFORT, Ky. (Feb. 15, 2024) – Today, Gov. Andy Beshear highlighted Kentucky’s continued investment in workforce training initiatives as he announced over $1.5 million in funds and credits have been approved through the Bluegrass State Skills Corp. (BSSC) to assist with the training of over 6,500 Kentucky workers and employees.

“Kentucky’s record-breaking economic success is directly related to the hard-working, skilled individuals that make up the commonwealth’s workforce,” said Gov. Beshear. “Programs like the Bluegrass State Skills Corp. provide the necessary funding to train and support workers across Kentucky. This training will help give employees the tools they need to be successful and keep the commonwealth’s historic economic momentum going.”

Through the BSSC’s Grant-in-Aid and Skills Training Investment Credit programs, over $1.5 million in state support was approved to train and develop 6,543 Kentucky employees across 25 companies.

Included among this month’s approvals was workforce training support for over 1,000 trainees at GE Appliances in Louisville and an additional 684 trainees for Montaplast of North America in Frankfort. Other approvals include 487 trainees at Bluegrass Business Consortium Inc. in Berea, 307 trainees at Bluegrass Training Consortium Inc. in Georgetown, 317 employees at Kentucky Alliance Training Consortium Inc. in Georgetown, 221 trainees at Faurecia Interior Louisville LLC and 200 workers at Lyons Magnus LLC in Walton.

Including this month’s meeting, Gov. Beshear has now announced nearly $15 million in funding through BSSC across 78 projects to train over 28,000 Kentucky workers for fiscal year 2024.

Gov. Beshear previously announced over $10 million in funding for 115 applicants throughout the state to train nearly 35,000 workers for fiscal year 2023. The state also provided over $8.4 million in funds and credits during fiscal year 2022. Those funds assisted with workforce training for more than 35,400 Kentucky employees – the most since 2016.

The Grant-in-Aid and Skills Training Investment Credit programs assist employers throughout the commonwealth. Grant-in-Aid provides cash reimbursements for occupational and skills upgrade training at Kentucky businesses, while the Skills Training Investment Credit offers state income tax credits for companies to offset the costs for approved training programs. Applications for both programs are accepted and considered for approval by the BSSC Board of Directors.

BSSC incentives are available to a range of operations, including manufacturing, agri-business, nonretail service or technology, headquarters operations, state-licensed hospital operations, coal severing and processing, alternative fuel, gasification, renewable energy production and carbon dioxide transmission pipelines.

For more information on BSSC or to apply for workforce training assistance, click here.

Kentucky’s investment in workforce training builds on the best four-year period for economic growth in state history.

Since the beginning of his administration, Gov. Beshear has announced more than 1,000 private-sector new-location and expansion projects totaling over $30 billion in announced investments, creating more than 51,800 jobs. This is the highest investment figure secured during the tenure of any governor in the commonwealth’s history.

The robust job creation has been accompanied by rising wages across the commonwealth. The average incentivized hourly wage in 2022 and 2023 topped $26 in consecutive years for the first time.

Gov. Beshear has announced some of the largest economic development projects in state history, which have solidified Kentucky as the electric vehicle battery production capital of the United States: Ford Motor Co. and SK On’s transformative $5.8 billion, 5,000-job BlueOval SK Battery Park in Hardin County; AESC’s $2 billion, 2,000-job gigafactory project in Warren County; Toyota’s $1.3 billion investment in Scott County; and INFAC North America’s $53 million investment in Taylor County, among others.

The Governor’s administration also secured the largest General Fund budget surplus and Rainy Day Fund, as well as the most jobs filled in state history. Last year, Kentucky set the record for the longest period with the lowest unemployment rates in state history.

Kentucky also secured rating increases from major credit rating agencies Fitch Ratings and S&P Global Ratings, and Moody’s Investors Service upgraded Kentucky’s credit outlook from stable to positive.

Site Selection magazine placed Kentucky first in the South Central region and top 5 nationally in its 2023 Prosperity Cup ranking, which recognizes state-level economic development agencies for their success in landing capital investment projects.

Gov. Beshear announced a “Supply Kentucky” initiative with the goal of boosting job growth, reducing costs and providing more security in the supply chains of our Kentucky companies.

Team Kentucky

Capital One to buy Discover in $35.3B deal

Posted on February 23, 2024October 25, 2024 by Michael Randle

McLean-based Capital One Financial is buying Discover Financial Services for $35.3 billion in an all-stock deal that marks Capital One’s largest ever acquisition, the two credit card giants announced Monday evening.

Under the terms of the acquisition agreement, Discover shareholders will receive 1.0192 Capital One shares for each share of Discover, representing a premium of 26.6% based on a Feb. 16 closing price of $110.49 for Discover shares.

The transaction is expected to close in late 2024 or early 2025, according to a news release. At close, Capital One shareholders will own about 60% of the combined company, and Discover shareholders will hold the remaining approximately 40%. Upon closing, three Discover board members will join Capital One’s board.

Virginia Business

Conecuh Sausage expanding in $58 million Alabama growth project

Posted on February 23, 2024October 25, 2024 by Michael Randle

ANDALUSIA, Alabama — Governor Kay Ivey announced today that Conecuh Sausage, an iconic Alabama maker of hickory smoked sausages, plans to invest nearly $58 million to open a second production facility in the state, creating 110 jobs in Andalusia.

Conecuh Sausage was founded in Evergreen in 1947, and the production location in Conecuh County will remain operational as the company expands to meet increasing demand for its products.

“Conecuh Sausage is a landmark homegrown brand, and I am thrilled to see that the company continues to grow and thrive right here in ’Sweet Home Alabama’,” Governor Ivey said.

“This growth project will allow Conecuh Sausage to extend the reach of its brand and put its distinctive Alabama flavors in even more kitchens.”

Conecuh Sausage is a family-owned business that produces high-quality meats with a patented blend of seasonings. Its sausage products are sold directly through the company’s online store and Gift Store as well as through local grocery stores, national retailers and independent distribution companies.

Conecuh Sausage owners John Crum Sessions, president, and his son, John Henry Sessions, said they are making their long-term vision a reality in their quest to satisfy the demand for Conecuh Sausage products.

“We are eager to join the Andalusia community and add jobs and growth to the local economy while remaining in the State of Alabama,” they said in a statement. “We are thrilled with the opportunity to expand our production facilities and increase distribution to serve our loyal customers.”

MAJOR INVESTMENT

As part of the project, the company commits to creating at least 110 new jobs in Andalusia and to investing $57.8 million to construct and equip the new facility in Covington County, according to the Alabama Department of Commerce.

“Conecuh Sausage’s expansion project positions the company for sustained growth while also generating a significant economic impact in the Andalusia area,” said Ellen McNair, Secretary of the Alabama Department of Commerce.

“We’re happy that the company decided to expand its production footprint in South Alabama rather than going to another state,” she added.

After researching multiple expansion locations in the Midwest, Conecuh chose to remain in their home state of Alabama.

“This is an exciting and important day for the City of Andalusia,” Mayor Earl Johnson said. “We have been working for decades to be prepared when a company like Conecuh Sausage was ready to expand here, and we appreciate the Sessions family for their confidence in our community and the investment they are making here.

“I cannot overstate the positive impact this facility and the jobs it will generate will have on our community in the coming years,” Johnson said. “Many people worked very hard to put this project together, and we are appreciative of their efforts.”

LOCAL IMPACT

Other local officials also applauded Conecuh Sausage’s investment plans in Andalusia.

“For years I think that many of us have taken pride in being a next-door neighbor to Conecuh County, the home of Conecuh Sausage. And now, we are privileged to welcome Conecuh Sausage and the Sessions family into our county,” Covington County Commission Chairman Greg White said. “The County Commission commits to doing everything we can to make this a perfect fit as Conecuh Sausage expands into Covington County.”

“Conecuh Sausage has been a part of our menu for more than 75 years,” added Covington County Economic Development Commission Executive Director Rick Clifton. “We are excited to partner with them in their expansion plans for the future.”

Alabama Department of Commerce

Massive new office skyscrapers going up in Austin, but no one is moving in

Posted on February 23, 2024October 25, 2024 by Michael Randle

Historically, Austin, Texas, is one of the most active office markets in the South, as its tech scene has accelerated dramatically since the 1990s. However, since the pandemic, new office space has been a crap shoot as gobs of Class A space sits empty in so many major markets throughout the country.

For example, metro Atlanta set a record for its vast amount of empty and unwanted office space. It only took three months to break that record in the summer quarter. Nearly 31 percent of all office square footage in metro Atlanta was available for rent at the end of September, according to data from real estate services firm CBRE.

Austin is not immune from the vacancies. One 66-story behemoth known as “Sixth and Guadalupe” is nearing completion, and timing could not be worse. Tech giant Meta signed a lease for all 19 floors of office space as construction was underway in early 2022. When the building opens near the first of the year, all of that space Meta signed up for will be empty.

Meta has shelved its move-in plans and is now attempting to sublease nearly 600,000 square feet of space, 1,626 parking spots, 17 private balconies and a nice green space. As of November, there have been no takers.

In addition, the job search engine, Indeed, has moved into its namesake tower in Austin, however, it has placed 100,000 square feet of downtown office space on the sublease market. Currently, Austin has more space on the sublease market than ever before.

Lake Charles Methanol Announces Plan for New $3.2 Billion Manufacturing Plant in Southwest Louisiana

Posted on February 23, 2024October 25, 2024 by Michael Randle

WESTLAKE, La. – Lake Charles Methanol II, LLC (LCM) announced plans to invest $3.24 billion to construct a new manufacturing plant that will produce low-carbon intensity methanol and other chemicals at the Port of Lake Charles. The company plans to use advanced auto thermal gas reforming technology and employ carbon capture and secure geologic storage to produce low-carbon hydrogen for conversion to methanol.

If the project moves forward as outlined, the company expects to create 123 direct new jobs in Calcasieu Parish, with an estimated average annual salary of $135,955. LED estimates the project would result in 605 indirect new jobs, for a total of 728 potential new jobs in the Southwest Region. LCM estimates that more than 2,300 construction jobs will be created at the peak of construction.

“I have said from day one that Louisiana must not only attract new businesses but help existing businesses like Lake Charles Methanol grow and thrive,” Governor Jeff Landry said. “This expansion would bring billions of dollars, hundreds of permanent high-paying new jobs and thousands of construction jobs, providing a tremendous boost to the economy of the Southwest Region. The state looks forward to continuing to support LCM’s efforts to bring the project to completion.”

The proposed facility would reform natural gas and renewable gas feedstocks into hydrogen, while capturing carbon dioxide, which would then be used to produce about 3.6 million tons per year of methanol. Lake Charles Methanol plans to work with a third party to capture and sequester about 1 million metric tons of carbon dioxide per year, which would reduce the carbon intensity of the hydrogen for synthesis into low carbon intensity methanol.

“The project will deliver substantial tangible economic benefits to local communities while providing an environmentally beneficial blue methanol product to facilitate the transition to low-carbon chemicals and fuels,” LCM President Don Maley said. “With the strong support of state and local officials and the local community, we believe that Lake Charles is a fantastic location for this project and we look forward to working with all stakeholders to bring it to fruition.”

The project is currently undergoing a FEED study and regulatory permitting. A final investment decision and start of construction are expected in mid-2024. Construction and commissioning of the facility are expected to take about three-and-a-half years, which would allow commercial operations to begin in late 2027.

“Our region continues to be a hub for innovation and technology that advances our ability to provide solutions for global demands,” Calcasieu Parish Administrator Bryan Beam said. “This project is no different, and will bring major economic benefits to our region, while providing products to be utilized on an international scale.”

“It’s exciting news that the Lake Charles Methanol project will be built and bring high-paying jobs with benefits for the skilled workers of Westlake and Calcasieu Parish,” Westlake Mayor Hal McMillin said. “This will be a huge economic boost not only for Southwest Louisiana but the entire state.”

To secure the project in Louisiana, LED offered a competitive incentives package that includes the comprehensive workforce development solutions of LED FastStart. It also includes a Performance-Based Grant of $5 million to be used for reimbursement of company expenditures for infrastructure needs. The company is also expected to participate in Louisiana’s Industrial Tax Exemption and Quality Jobs programs.

“The Lake Charles Methanol II plant is a welcome addition to our regional industrial base and the numerous jobs it will create will be another boon for southwest Louisiana’s skilled workforce,” said George Swift, president and CEO of the Southwest Louisiana Economic Development Alliance. “It is projects like this that also highlight the hard work and perseverance of the leadership of the Port of Lake Charles. We are honored to work with the port and similar regional players to bring projects like this to our region.”

About Lake Charles Methanol

Lake Charles Methanol is a clean energy development company based in Houston. LCM is focused on supporting the movement to establish a hydrogen economy as part of the solution for decarbonizing industry while creating high-paying jobs, environmental benefits and energy independence. Read more at LakeCharlesMethanol.com.

About LED

Louisiana Economic Development is responsible for strengthening the state’s business environment and creating a more vibrant economy. In 2023, LED attracted more than $25 billion of capital investment resulting in the creation of 19,000 potential new and retained jobs. Explore how LED cultivates jobs and economic opportunity for the people of Louisiana and employers of all sizes at OpportunityLouisiana.gov.

Who said, “Eighty percent of all new jobs are created by existing industry?”

Posted on February 23, 2024October 25, 2024 by Michael Randle

We have heard for decades the fable that 80 percent of all new jobs are created by existing industry. It is just untrue. It is a different percentage in the South in any given year. Look at our “Big Buffalo Awards” in this issue. Seventy-five percent of them are new projects. Yet, we are quite sure that 100 percent of lost jobs are created by existing industry.

That sadly happened in the fall quarter in Ardmore, Okla., in November and residents of the city were stunned. “No one saw it coming,” said Bill Murphy, CEO of the Ardmore Development Authority, when Michelin announced it is winding down tire production at the plant that houses 1,400 workers. Michelin is Ardmore’s largest employer and a manufacturing anchor for Southern Oklahoma’s economy.

The plant, which opened in 1970, will close by the end of 2025 or sooner. Michelin officials cited changes in the passenger vehicle market, including larger tires for SUVs and new designs for electric vehicles. The company made the decision to pass on modernizing the plant for next-generation tires. The rubber-making line at the plant will continue to operate to deliver product to other Michelin tire plants in the U.S.

Yet, new billion-dollar-plus greenfield manufacturing factories have planted their flags all over the South the last three years and most are electric vehicle-based projects. After decades of offshoring manufacturing capacity, new greenfield projects outnumber manufacturing plant expansions by three to one in the big buffalo category ($500 million-plus, 1,000 jobs-plus) during the last three years.

This remarkable surge in new plants is backed by larger-than-usual private and public investments that have doubled in value since 2021, from $100 billion to $200 billion in less than two years. This manufacturing expansion in the South is new territory for the largest manufacturing region in the U.S.

So, essentially, there is absolutely no chance that 80 percent of new jobs created in the South the last three years were generated by existing industry. If anything, it may be the other way around.

That statement, that myth, has proven to be so untrue here lately. Most of these monster deals are greenfield projects. The old adage that 80 percent of all new jobs are created by existing industry does not apply to the last three years in the South. Not even close. Of our “Big Buffalo Awards” found in this section, there are 68 new projects and only 23 expansions.