PTC Seamless Tube Corp. To Establish Manufacturing Operations in Hopkinsville, Kentucky
Area Development Online News Desk (08/29/2013)
PTC Seamless Tube Corp., a subsidiary of PTC Group Holdings Corp., will invest more than $102 million to reopen a manufacturing plant in Hopkinsville, Kentucky, with plans to create up to 283 jobs.
As part of this project PTC will retrofit and expand its Hopkinsville plant, formerly operated by one of its subsidiary, to ultimately include approximately 256,000 square feet of building area. The project will involve the acquisition of property adjacent to the existing site, re-working the layout of the facility and the installation of manufacturing equipment.
PTC’s renewed focus on Hopkinsville represents a shift in the company’s operations from producing more traditional mechanical tubular products toward producing seamless steel tubes for the energy industry, such as oil country tubular goods, which include high strength tube products used in oil and gas wells and certain other industrial applications, the Governor’s Office said.
“We are very pleased to be returning to Hopkinsville, where we have a long history of working with the community to create meaningful employment opportunities in manufacturing,” said Peter Whiting, Chairman, President and CEO of PTC Group Holdings Corp. “We are also grateful for the help and support we received from Gov. Beshear and the team at the Cabinet for Economic Development, who helped us as we went through the process of analyzing our options for the relocation of our business expansion.”
“With 283 new jobs and more than $102 million in investment, PTC Seamless Tube Corp. will have a long-lasting impact on the Hopkinsville community and the Commonwealth as a whole,” said Gov. Steve Beshear. “Kentucky’s high quality workforce and ideal strategic location will play key roles in building a solid future for PTC in the Commonwealth.”
As an incentive to encourage the investment and job creation in Hopkinsville, the Kentucky Economic Development Finance Authority preliminarily approved the company for tax incentives up to $12 million through the Kentucky Business Investment program. The performance-based incentive allows a company to keep a portion of its investment over the term of the agreement through corporate income tax credits and wage assessments by meeting job and investment targets.
KEDFA also approved PTC for tax benefits up to $500,000 through the Kentucky Enterprise Initiative Act, which allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing equipment.
“TVA congratulates PTC Seamless Tube Corp. on its announcement to locate company operations in Hopkinsville, Kentucky,” said John Bradley, TVA senior vice president of Economic Development. “TVA and Pennyrile Rural Electric Cooperative are pleased to partner with the Commonwealth of Kentucky, South Western Kentucky Economic Development Council and other local community leaders to assist PTC as it makes investments, adds new jobs and continues to grow in the community.”