CHARLESTON, W.Va. –A new facility is coming to West Virginia that will focus solely on the production of mining materials.
Governor Patrick Morrisey announced Wednesday that global engineering group Sandvik and Alpha Metallurgical Resources have agreed to establish a manufacturing presence in the Mountain State, with a $25 million investment.
The new 100,000 square foot facility will focus primarily on rock bolt and resin capsule manufacturing, with the potential to expand the product offering over time.
“This partnership between Sandvik and Alpha Metallurgical Resources is another sign that West Virginia is competing and winning in the manufacturing and energy sectors,” Morrisey said. “This new manufacturing facility will strengthen critical supply chains, support high-paying jobs, and reinforce West Virginia’s role as a leader in industrial production and energy development.”
The facility is expected to create at least 120 new jobs.
Sandvik, is a Swedish engineering company aimed at providing solutions that enhance productivity, profitability, and sustainability for the manufacturing, mining, and infrastructure industries. AMR is mining company based out of Tennessee with operations across Virginia and West Virginia.
The agreement signed by Sandvik was to form a joint venture with AMR, to establish local manufacturing for its Ground Support business in the U.S. Market.
Sandvik will hold a 51% stake and AMR will hole 49%.
“Re-entering the U.S. ground support market with a local manufacturing presence is strategically important, and this initiative will allow our Ground Support business to strengthen customer relationships, shorten lead times and build a scalable platform for long-term growth in North America,” President of Sandvik Mining Mats Eriksson said.
The agreement also setups up a long-term exclusive supply agreement with Alpha.
“Creating this joint venture with Sandvik is a step in securing our supply chain by manufacturing more of our mining materials here in Central Appalachia,” Chief Executive Officer of AMR Andy Eidson said. “We are excited about the expected benefit to Alpha and, more broadly, West Virginia.”
Morrisey did not announce where exactly the facility will be located.