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Covington-based Ashland Inc. plans to invest $15 million and retain 500 full-time jobs at its Calvert City plant in Western Kentucky, Gov. Steve Beshear has announced. The company plans to add three high-efficiency heat recovery steam generators to the facility, thereby reducing emissions and improving energy efficiency.
“This is a major investment in Calvert City and a tremendous step forward in the successful partnership between Ashland and the Commonwealth,” said Beshear. “We’re happy to partner with Ashland and improve its ability to compete as a leader in the global marketplace.”
With nearly 15,000 employees worldwide, Ashland provides specialty chemicals and technologies to customers in a wide range of consumer and industrial markets in more than 100 countries. The Calvert City facility, first built in 1955, was purchased by Ashland in August 2011, when it completed the acquisition of International Specialty Products.
Ashland plans to replace the facility’s inefficient coal-fired boiler and an aging gas-fired boiler with three new heat recovery steam generators that could eventually become part of a co-generation system. The system would support plant operations during power outages, such as the ice storm of 2009. Construction and installation of the new generators is set to begin in March, with the system in operation by spring of 2014.
“The addition of these boilers will dramatically improve the operating efficiency of our Calvert City facility and help us compete more effectively on a global scale,” said James J. O’Brien, Ashland chairman and CEO. “Calvert City will play an important role in Ashland’s growth, particularly as we expand our presence in personal care products. We are grateful for the support of Gov. Beshear and the Cabinet for Economic Development in this important investment in our workforce and in Kentucky’s future.”
The Kentucky Economic Development Finance Authority has preliminarily approved tax incentives for Ashland, under the name of its subsidiary ISP Chemicals, for up to $5.5 million through the Kentucky Reinvestment Act. KRA is designed to assist companies that need to make significant capital investment in Kentucky facilities to remain competitive.
From Office of the Governor