Spring Arrives With Positive Economic Development Announcements

As questions and concerns grow regarding whether or not the United States has slipped into a recession, West Virginia’s economy seems to be holding its own. Provided are several recent positive economic development announcements that illustrate this.

State Employment Up; Unemployment Down
West Virginia’s unemployment rate fell three-tenths of a percentage point to 5.4 percent in March, WORKFORCE West Virginia reports. The number of unemployed state residents fell 3,000 to 43,200. Total nonfarm payroll employment rose 8,300, with gains of 1,700 in the goods-producing sector and 6,600 in the service-providing sector. Within the goods-producing sector gains of 1,800 in construction and 100 in natural resources and mining, the state had a decline 200 manufacturing jobs. The service-providing sector contained a number of gains including 1,700 in leisure and hospitality, 1,500 in government, 1,300 in trade, transportation, and utilities, 900 in professional and business services, 500 in educational and health services, 500 in other services, and 200 in financial activities. Information employment was unchanged over the month. Since March 2007, total nonfarm payroll employment has risen 1,600, with a gain of 4,900 in the service-providing sector versus a decline of 3,300 in the goods-producing sector.

Construction Begins On Chemical Plant At Belle
The Kureha Corp. has broken ground on a new plastics manufacturing plant in Belle. In December, the Japan-headquartered Kureha Corp. announced it would build a $100 million plastics plant on the grounds of DuPont Co.'s Belle plant. The plant will produce polyglycolic acid, or PGA, a polymer used in food and beverage packaging. Production of PGA - sold under the Kuredux trade name - in Belle should begin in early 2010, creating 50 jobs. During the heavy construction phase in 2009, nearly 250 construction workers will be hired.

CSX Relocating 80 Dispatchers To Huntington
In early April CSX Huntington announced expansion plans that include creating 80 new dispatcher jobs with an average annual wage of $75,000 plus benefits. The dispatchers will be based at CSX division headquarters in Huntington, W.Va. Additional support positions will also be created. The $7.8 million investment for the expansion project includes renovations and new equipment, as well as relocation costs. This expansion is part of CSX's corporate plan to relocate approximately 300 trained dispatchers from Jacksonville, Fla. to six locations across its 21-state system.

ICG Opens New Mine In Raleigh County
International Coal Group has invested $90 million to breathe new life into a former coal mine in Raleigh County. Company officials had a dedication ceremony recently at the Beckley Pocahontas #3 mine in Eccles. Ultimately, company officials said the mine will employ more than 250 workers, have a $19 million annual payroll and generate $12 million in state taxes. Production is expected to start in September, and at full production the mine is expected to yield 1.4 million tons of high-quality metallurgical coal each year.

Production Ready To Resume At Stamping Plant
Charleston Stamping & Manufacturing Inc. is one step closer to resuming production at its complex in South Charleston. The company, which took over the auto body stamping plant in South Charleston last year, has completed to robotic press lines and is ready to start production. The company is investing $20 million to restart the plant, and the state of West Virginia is providing another $15 million. At the time of the plant reopening announcement last May, company officials said the addition of new automation equipment was expected to allow the plant to create 79 jobs in its first year, 140 jobs in its second year and as many as 550 jobs in its fourth or fifth year.

Groundbreaking Ceremony For New Business Park
Governor Joe Manchin, Harrison County officials and private developers held a groundbreaking ceremony today for a new 250-acre business park that is just off I-79 near Bridgeport. The White Oaks Business Park is being constructed next to the Jerry Dove Drive exit of Interstate 79. Developers envision White Oaks will eventually contain retail stores, offices, health care and leisure facilities. The business park is expected to generate $150 million in new building construction and take about seven years to fully develop. One of the first tenants will be Steptoe & Johnson, which is going to relocate the law firm’s main office there.

New Prison Possible For Preston County Complex

The U.S. Bureau of Prisons is considering a major expansion at its sprawling complex in Preston County, W.Va. The bureau is exploring the construction of a medium-security facility that would hold more than 1,100 inmates and include a central utility plant, radio tower, warehouses and a staff training center. The new facility would create 250 new jobs.

The prison system already operates a high-security men’s prison, a minimum-security men’s camp and a women’s prison at the site. About 450 employees work at the existing facilities, which hold 2,355 inmates. West Virginia has five federal prisons and is building a sixth, a medium-security complex in McDowell County.

Work Nearing Completion on WVHTC Foundation’s New Towers

Work is nearing completion of the West Virginia High Technology Consortium Foundation’s north and south towers that stand alongside I-79 in south Fairmont. The two buildings, which will cost about $25 million, are the newest addition to the foundation's sprawling I-79 Technology Park. Construction started on the project about a year and a half ago, and the buildings will house primarily high-technology companies. The facilities feature balconies, roof-top gardens, and a 6,000-square-foot conference facility.

The south building will be occupied first, and Northrop Grumman Corp. will be the initial tenant to move into the facility on March 1. Work has also started on the space for Electronic Warfare Associates Inc. (EWA) in the south tower, and that office should be completed and ready for move-in at the end of March. ManTech International Corp. is expected to move into the north building in May or June.

New Corporate Headquarters Building Set For Parkersburg

Mountain State Blue Cross Blue Shield has signed a contract to build a four-story corporate headquarters building in downtown Parkersburg. The $19.3 million building will be located at Seventh and Market Streets. Construction is expected to begin in early January and the company plans to move into the new building by March 2009.

The new building will consolidate the company’s 675 Parkersburg-based employees into one building, enhancing operating efficiencies. The total cost of the project, including furniture, equipment and fixtures is expected to be about $27 million.

Japanese Company Will Open Plastics Plant In Kanawha Valley

Kureha Corp. will invest more than $100 million to build a specialty plastics plant at Belle, W.Va. and create about 50 new jobs. The project will occupy some of the vacant land inside the DuPont plant.

The Japanese company, headquartered in Tokyo, is a producer of specialty chemicals and plastic products. Kureha said it will create a new subsidiary to produce a high-performance polymer, polyglycolic acid (PGA) used in beverage containers. Construction is scheduled to begin early next year with production to start in early 2010.

Kureha is the 20th Japanese company to invest in West Virginia.

Hino Motors Produces First Trucks

Production has begun at the new Hino Motors Manufacturing plant in Wood County. The plant, which is located near Williamstown, produced its first truck this past week. The truck-assembly plant currently employs 72 people and will start production at two trucks per day. The goal is to increase that to 20 vehicles per day. Hino is a subsidiary of the Toyota Group.

Magnum Coal To Open New Mine In Kanawha County

Magnum Coal Co. has announced plans to open a new underground mine in early January in eastern Kanawha County. The Charleston-based company plans to open the new mine in the Cabin Creek area and eventually employ about 88 people. This is the first new mine to open in Kanawha County in several years.

Dominion Exploration To Double Headquarters Head Count

Dominion Exploration & Production is bringing 50 new jobs to its Lewis County headquarters over the next year. The new positions will be in new finance, accounting, land management and computer technology. The additions will nearly double the number of employees, from 65 to 1115, at the Dominion subsidiary's headquarters in Jane Lew. Statewide, Dominion has about 1,400 employees, including those who work in its natural gas pipeline, storage and distribution businesses.

CAMC To Add 180 New Jobs

Charleston Area Medical Center has announced plans to add 180 new employees to its hospital and health care facilities in Kanawha and Putnam Counties, W.Va. Hospital officials say the employment growth is needed to meet an increase in patients, volumes and services. The hospital now has about 4,800 workers, making it the third-largest private employer in West Virginia. The majority of new employees will work at CAMC General Hospital, where 24 additional intensive-care unit beds will be added on two floors next year. Workers also are needed at CAMC’s hospital in Putnam County and at Memorial Hospital’s new five-floor Robert C. Byrd Ambulatory Building in Kanawha City. The facility is expected to be completed next July.

Massey To Build Regional HQ In Southern West Virginia

Massey Energy plans to build a 51,000-square-foot regional headquarters facility in Boone County, W.Va. The three-story building will consolidate Massey’s existing Charleston and Chapmanville offices and be closer to its mining operations in Southern West Virginia and Eastern Kentucky. About 100 employees will work at the new regional headquarters. Massey, headquartered in Richmond, Va., has operations in West Virginia, Kentucky and Virginia. It is the fourth-largest coal company in the United States based on produced coal revenues.