08/23/2010
SNF Flopam Inc. Officials Break Ground On Major New Specialty Chemicals Facility In Plaquemine
Project will result in more than 500 new,
direct jobs averaging more than $57,000, plus benefits
PLAQUEMINE, La. -- Today, Gov. Bobby Jindal joined SNF Holding
Co. President Peter Nichols, Iberville Parish President Mitchell
Ourso, Iberville Parish Chamber of Commerce Executive Director Hank
Grace, Sen. Rob Marionneaux Jr., Rep. Karen St. Germain and Rep.
Elton Aubert to break ground on SNF's new water-soluble polymers
manufacturing facility. The facility in Iberville Parish will
operate under the name Flopam Inc.
"Since day one, we have aggressively pursued new business
development prospects so that we can create good paying jobs for
our people," said Gov. Jindal. "Flopam's decision to invest in the
Capital Region is a major economic development win for Louisiana.
The company could have gone anywhere in the country, but they
recognized that we are creating a new frontier for business
opportunity in Louisiana. Most importantly, this new investment by
Flopam means that we're continuing to create more opportunity for
our people so they can pursue their dreams right here at home.
We've made incredible progress in just the past two years, but we
will not rest until we can create a better Louisiana for our
children."
Trade & Industry Development
magazine named this project by SNF among the Top 15 new Corporate
Investment projects announced in the U.S. for 2009.
Once completed, the facility will represent a capital investment
of approximately $350 million, and will be built in phases over the
next five years with the first unit expected to begin operating by
late 2011. Once it is fully operational, Flopam's facility will
create more than 500 new, direct jobs, at an average salary of at
least $57,400, plus benefits, and employ 100 permanent contractors.
During the five-year construction period, Flopam also expects to
create 250 construction-related jobs, and make significant
expenditures with local and state vendors.
"This facility is the largest, single, greenfield investment in
the history of our company," said Nichols. "We've reached this
significant point in our project with the tremendous support from
the state of Louisiana and so many individuals in Iberville Parish.
We look forward to executing our construction plans over the next
few years and having a lasting impact on the parish and state."
Flopam will produce acrylamide monomer and polyacrylamide
powders packaged in bags or supersacks at its Plaquemine facility.
Polyacrylamide is a water-soluble polymer that is commonly used to
assist in removing impurities from water and in wastewater
treatment applications. It is also used in oil and natural gas
drilling and has achieved success in enhanced oil recovery.
An economic-impact analysis conducted by LSU in 2009 determined
the facility will provide an injection of more than $3.7 billion in
new, state economic output from 2010 to 2025. According to the
analysis, the new, direct jobs will create approximately 900 new,
indirect jobs for a total of 1,400 permanent, new jobs in
Louisiana, making Flopam one of Louisiana's top 125 economic driver
firms based on direct and indirect job impact.
"This project was one of the largest corporate investments
announced in the U.S. in 2009, and we are going to continue
aggressively attracting new business investment to our state so
that we can position Louisiana to outperform the South and the U.S.
on a regular basis," said Louisiana Economic Development Secretary
Stephen Moret. "We look forward to continuing to support SNF as
they complete development of this huge project."
During the company's site selection process, state and local
officials developed a customized incentive package to help secure
the project. If all performance requirements are met, Flopam will
receive a state incentive package worth approximately $39.1
million, including performance-based financial assistance of $26.3
million for a rail spur and other site infrastructure, as well as
performance-based incentive payments of $1.28 million per year for
the first 10 years of the project. Iberville Parish is contributing
$1 million to fund public infrastructure, including an access road.
SNF also is expected to take advantage of LED's Quality Jobs
program.
LSU also estimated this project will result in $107 million in
new, state tax revenue, as well as $29.9 million in new, local tax
revenue, from 2010 to 2025, which is the contract term for the
associated cooperative endeavor agreement. These estimates exclude
property taxes and corporate income taxes. SNF selected Iberville
Parish as the winning plant site in 2009 after an extensive and
competitive, multistate evaluation of potential candidates. Prior
to selecting Louisiana, SNF considered sites located in three other
states.
About SNF
SNF Holding Co. is the American subsidiary of the French company
SNF Floerger. SNF is one of the world's leading manufacturers of
water-soluble polymers and specializes in serving the municipal,
industrial and wastewater treatment industries as well as a wide
array of specialty applications. Water-soluble polymers from SNF
are in use in municipal waste, industrial waste and wastewater
treatment facilities around the world.
