Posted by Heidi Schwartz

Louisiana Technology Park has announced the opening of a new, state-of-the-art digital media studio called Level Up Lab. Level Up will be the first of its kind in the South and will provide qualified, pre-screened companies the chance to create games, mobile apps and other digital content in the 1800 square foot studio inside the Tech Park.

The goal of Level Up Lab is to provide teams with the tools, mentors and business consultation needed to launch their products into the digital media marketplace. The Lab was made possible in part through an investment from the Delta Regional Authority, a federal-state partnership that is congressionally mandated to help create jobs, build communities, and improve lives in the 252 counties and parishes of the Delta.

The Lab will also house a motion capture studio, sound recording space, Wacom Cintiq tablets, and other hardware and software teams will need to produce top-notch video games and apps. As part of the program, teams will also have the help of Tech Park staff members in marketing and public relations, as well as finance and fundraising. Additionally, they’ll gain access to mentors industry veterans from across the country, either though face-to-face or Skype meetings.

In addition to Tech Park staff and national video game industry veterans, the teams will also benefit from the expertise of Dane Caro, a local industry veteran who will have an office in the Lab. Three teams have already been accepted into the program, including BitFinity, DiegoRivera.tv and Stasis Soft. The teams will be working on various respective projects for PC, iOS, Android and online platforms.

The post Tech Park Opens New Digital Media Incubator: Level Up Lab appeared first on Business Facilities.

The Methanex complex, a leading industry in Punta Arenas, will be shuttered due to insufficient gas provision.

Gov. Bobby Jindal and Methanex Vice President of Corporate Development Gary Rowan have announced that Methanex Corp. will relocate a second methanol plant from Chile to a 225-acre site in Geismar, LA. In July 2012, Canada-based Methanex announced it was moving a separate plant from Chile to the Ascension Parish site.

As a result of the first relocation, Methanex is creating 130 new direct jobs, and the project will result in an additional 996 new indirect jobs in the area. The newest Methanex plant announced will include a $550 million capital investment and create 35 new direct jobs. LED estimates the project will result in another 207 new indirect jobs, for a total of more than 240 new jobs.

Combined, Methanex will be making a $1.1 billion investment in Ascension Parish, creating 165 new direct jobs and resulting in an estimated 1,203 new indirect jobs. Additionally, construction of the two facilities will result in approximately 2,500 construction jobs.

Gov. Jindal said, “Methanex’s decision to build a second plant in Louisiana is a continuation of the renaissance that our energy and chemical industries are experiencing every day. Our world-class workforce and our strong business climate—coupled with the rising demand for methanol and Louisiana’s competitive natural gas prices—are what led Methanex to choose Louisiana. Nowhere else will you find greater workers or a more impressive energy infrastructure than right here in our state. We’re proud that Methanex joins a long list of companies that are expanding here and taking advantage of Louisiana’s rapidly improving business climate.”

Methanex is the world’s largest supplier of methanol—a clear, biodegradable ingredient found in everything from windshield washer fluid to recyclable plastic bottles, plywood floors, paint, silicone sealants and synthetic fibers. Also a clean-burning fuel, methanol is increasingly used in the energy sector for blending in gasoline and other fuels.

Louisiana’s competitive natural gas prices, strong business climate and workforce, and chemical industry infrastructure helped attract the projects to Ascension Parish.

“Methanex is proud to announce this second relocation to Geismar,” Methanex Corp. CEO John Floren said. “The project is expected to create significant value for our shareholders. It also allows us to capitalize on the competitive natural gas price environment in North America, and offers significant cost and schedule savings compared to a greenfield project.”

The state and the Ascension Economic Development Corp. began discussions with Methanex about a potential methanol plant in August 2011. The company also considered relocating the first methanol plant from Chile to other states in the U.S. before deciding on the site in Geismar. In addition to natural gas, ready supplies of hydrogen, oxygen and other industrial gases exist in Ascension Parish, along with easy access to barge, rail and interstate highway transportation that were all advantageous assets to the company.

Methanex expects to break ground on the second plant in 2014, with construction lasting for approximately two years. Hiring for the first methanol plant is under way, and jobs associated with the second plant will be filled in the year leading up to completion of the project.

To secure the project, LED offered Methanex a $1.2 million performance-based grant for site infrastructure improvements, along with the services of LED FastStart®. In addition, Methanex is expected to utilize the state’s Industrial Tax Exemption and Quality Jobs programs.

“It’s unprecedented to have a company announce two $500-plus million projects in our parish within the same 12-month period and we are thankful for Methanex’s further expansion,” Ascension Parish President Tommy Martinez said.

“Methanex is already the market leader in their industry,” said President and CEO Mike Eades, who heads the Ascension Economic Development Corp. “With this latest announcement, Ascension Parish will become one of the major centers for methanol production in the world, and we thank Methanex for their faith in our community.”

“The Baton Rouge Area Chamber, in partnership with the Ascension Economic Development Corp., worked diligently to recruit Methanex to the Capital Region in 2012,” said Baton Rouge Area Chamber President and CEO Adam Knapp. “The relocation of a second plant from Chile to Ascension Parish by this Canadian company is a testament to both the international efforts of the recruitment team, as well as to the strength of our region.”

The post Methanex Announces New $550 Million Methanol Plant Project In Louisiana appeared first on Business Facilities.

By the time the damaged wellhead was capped–nearly three months after the explosion–more than 5 million barrels of oil had leaked into the Gulf. That’s almost 20 times more than what seeped out of the Exxon Valdez off the coast of Alaska in 1989.

The five states that were impacted by the Deepwater Horizon disaster (including 665 miles of contaminated coastline), Gulf Coast business owners, the federal government and BP have spent the past three years dancing a slow legal tango that has assessed clean-up costs, fines and other liabilities.

The British oil giant estimates its overall liability for the catastrophe could eventually top $42 billion; BP has sold off significant assets to generate cash for the payouts.

In December, a federal judge approved the Deepwater Horizon Economic and Property Damages Settlement agreement, which covers individuals and businesses in Louisiana, Mississippi, Alabama, and certain coastal counties in eastern Texas and western Florida, as well as specified adjacent Gulf waters and bays. BP says it has set aside about $8 billion to cover these economic and property damage loss claims (the agreement does not set a cap on the liability), of which about $1.87 billion has already been paid out (the overall settlement includes a guaranteed $2.3-billion fund to compensate seafood industry businesses damaged by the spill).

Meanwhile, a trial underway in New Orleans will determine civil claims under the Clean Water Act which could amount to more than $17 billion; billions more could be assessed after damage claims from Gulf Coast states are adjudicated; and a third set of claims covering natural resource damage has yet to be filed.

While the overall scope of the settlements is still taking shape, a bureaucratic framework has been put in place to distribute these funds.

In 2011, the  RESTORE Act established a Gulf Coast Ecosystem Restoration Council, which is comprised of governors from the five affected States, the Secretaries from the U.S. Departments of the Interior, Commerce, Agriculture, and Homeland Security as well as the Secretary of the Army and the Administrator of the U.S. Environmental Protection Agency. The Gulf States recommended and President Obama appointed the Secretary of Commerce as the Council’s Chair.

The RESTORE Act dedicates 80 percent of all administrative and civil penalties related to the Deepwater Horizon spill to a Gulf Coast Restoration Trust Fund. It specifies that these funds can be utilized “to restore and protect the natural resources, ecosystems, fisheries, marine and wildlife habitats, beaches, coastal wetlands and economy of the Gulf Coast region.”

The RESTORE Act sets forth the following framework for allocation of the Trust Fund:

• 35 percent equally divided among the five States for ecological restoration, economic development and tourism promotion;
• 30 percent plus interest managed by the Council for ecosystem restoration under the Comprehensive Plan;
• 30 percent divided among the States according to a formula to implement State expenditure plans (the formula factors in oiled shoreline, population and distance from the Deepwater Horizon rig);
• 2.5 percent plus interest for the Gulf Coast Ecosystem Restoration Science, Observation, Monitoring and Technology Program within the Department of Commerce’s National Oceanic and Atmospheric Administration (NOAA); and
• 2.5 percent plus interest allocated to the States for Centers of Excellence Research grants, which will each focus on science, technology and monitoring related to Gulf restoration. 

State and local economic development officials throughout the Gulf Coast region are gearing up to receive their share of the Deepwater Horizon disaster trust fund.

According to state officials, Mississippi was the first state to come up with a dedicated plan to use these funds. Gov. Phil Bryant came forward with a GoCoast 2020 plan that lays out how Mississippi will spend its share of funds from the Restoration Council.

Here are some of the projects in Mississippi that eventually may be built using BP disaster funds, as reported by the Mississippi Press (GulfLive.com):

Jackson County, MS is considering using the BP funds to expand Trent Lott International Airport; expand rail services; eliminate 23 railroad crossings in Pascagoula and Moss Point; dredge bayous throughout the county; and replace a county bridge that connects east and west Jackson County, a $20-million project.

Pascagoula, MS is considering a $24.2-million riverfront project which would include Point Park, a beach promenade, Yazoo Lake channel dredging, Inner Harbor repairs and adding public access and a restaurant at Spinnaker Point. Another $424-million project would acquire riverfront property, relocate the wastewater treatment plant, complete Lighthouse Park and connect the bayou north of Lake Yazoo to the lake for improved drainage. A proposed $7.6-million project would convert Lowry Island into a recreational harbor.

Other Mississippi towns are queuing up to deploy the BP restoration funds to expand highways, repair bridges, build water treatment plants and restore wetlands.

Here’s hoping the improvements funded by the Deepwater Horizon settlements outlast the damage to the ecosystem of the Gulf of Mexico and the Gulf Coast wrought by BP’s big oil spill.

Note: There is a poll embedded within this post, please visit the site to participate in this post’s poll.

The post Deepwater Horizon: Three Years Later appeared first on Business Facilities.

Rendering provided by Downtown Development District – a computer rendering shows what downtown Baton Rouge would look like with more trees.

Gov. Bobby Jindal and IBM Senior Vice President Colleen Arnold have announced that IBM will establish an 800-job technology center in downtown Baton Rouge that will provide software development and software maintenance services to clients in the United States.

IBM Services Center: Baton Rouge is the result of an innovative, public-private partnership that will include expanded higher-education programs related to computer science as well as a major new riverfront development that will accelerate the revitalization of downtown Baton Rouge. The center will employ a broad range of college graduates and experienced professionals with backgrounds in computer science and other quantitative-intense fields, such as engineering, mathematics, and science.

The rapid and widespread adoption of mobile and social technologies within the last three years has changed the way customers and companies interact with one another – driving fundamental transformations to business processes and applications. The center will provide IBM’s clients in the United States with services that address the increasing demand for flexible software services to keep up with Big Data, cloud and mobile requirements that they are facing. IBM Services Center: Baton Rouge will deliver technology services including application development, application management and system integration.

In addition to the 800 jobs that will be created at the center over the next four years, LSU estimates the project will result in approximately 542 new indirect jobs, for a total of approximately 1,342 new, permanent jobs in the Capital Region.

Gov. Jindal said, “This project will continue to position Louisiana as a leader in the global technology sector as we are bringing in one of the largest, most successful, most innovative companies to create a first-of-its-kind software development center in Louisiana.

“This historic partnership will help drive major economic activity and extraordinary professional and student achievement. Indeed, this investment is a big win for LSU, Baton Rouge and our entire state because it means we can make sure our students can find good-paying jobs here at home. No longer are our students just competing with their peers in Texas and Georgia for jobs. Our students are now competing with their peers from all over the world to find jobs in the 21st century workforce. In order to make sure our students compete and win, we must make sure they have the very best training and skills in the world – especially in the areas of science, technology, engineering and mathematics. This partnership accomplishes that goal. We are investing in our students and workers so America can continue to have the most skilled workforce in the world.”

“This center exemplifies IBM’s longtime commitment to partner with local communities and academic institutions to develop the capabilities our clients need,” said Colleen Arnold, Senior Vice President, Application Management Services, IBM. “Our global capability model is designed to address the broadest spectrum of client requirements, build and deliver advanced skills, while inspiring and sustaining the next-generation workforce that drives innovation.”

The State will provide $14 million in funding over 10 years for expanded higher-education programs designed primarily to increase the number of annual computer science graduates. At least 65 percent of these funds will be provided for expansion of the Computer Science Division of the School of Electrical Engineering and Computer Science at LSU. LSU plans to double its computer science faculty and triple the number of computer science graduates in five years, which will place the LSU Computer Science program in the top 10-15 nationally for the number of B.S. degrees in computer science awarded annually.

To fast track program growth, LSU’s College of Engineering will launch the “Geaux Digital Louisiana” consortium. This unique initiative represents a statewide partnership with high schools, community and technical colleges and other universities to promote interest in computer science related career fields and enhance student recruitment.

Additionally, IBM will work closely with local professors at LSU to create coursework focused on technology, math and software development, and equip students to meet the growing demand for business services including advanced analytics, process innovation and application development.

“This public-private partnership with Louisiana Economic Development, IBM and LSU is a powerful example of the triangulation between industry, government and academia that elevates the state’s role as a national leader in economic development,” said Koubek. “LSU’s College of Engineering is committed to developing a mutually beneficial partnership with IBM and LED that stimulates economic growth and helps to meet the workforce development needs of the state.”

A central element of the public-private partnership involved in securing the IBM center is the construction of a mixed-use, riverfront complex that will be developed by Commercial Properties Realty Trust (CPRT), a real estate investment trust that manages and develops property holdings of the Baton Rouge Area Foundation (BRAF). Inspired by New Urbanism design principles, the complex will include an office building that will house the new IBM Services Center, as well as a separate, 11-story residential building with 95 river-view apartments and nine separate town homes.

The riverfront complex is being built on the old Advocate newspaper site bordered by Main, North, Lafayette Street and River Road. Total investment for the combined development is estimated to be $55 million. The approximately $30.5 million office building will be funded by the State of Louisiana ($14.8 million) and the City of Baton Rouge/Parish of East Baton Rouge ($3.0 million), as well as $12.7 million in Community Development Block Grant funds. The BRAF-affiliated Wilbur Marvin Foundation (WMF) will own the office building. CPRT will secure private financing for the residential building, which will also be an asset of the WMF. The office building is scheduled for completion by spring 2015 with the residential complex following in the summer. During construction of the new riverfront complex, IBM will be temporarily lease space at the Essen Centre office complex in Baton Rouge. CPRT estimates that the new complex will result in the creation of approximately 600 construction jobs.

“We have partnered successfully with the state to build The Shaw Center for the Arts in downtown,” said John G. Davies, Baton Rouge Area Foundation president and CEO. “This latest collaboration will provide space for 800 professional technology jobs, and apartments for hundreds to live in the city center, an important piece of continuing the revival of downtown.”

LED has offered IBM a customized, performance-based incentive package that also includes grants totaling $29.5 million over 12 years, including a $1.5 million contribution from the City of Baton Rouge/Parish of East Baton Rouge, to reimburse costs related to personnel recruitment, relocation, and other workforce-related costs; internal training; and facility operating expenses. The company also will utilize LED FastStart® for recruitment support, as well as Louisiana’s Quality Jobs program.

“The IBM Services Center: Baton Rouge is a game changer for our city, putting us at the forefront nationally of producing a technology-based workforce and new jobs,” said Mayor Holden. “In a very short period of time, this project will bring development to our downtown and riverfront that will have a ripple effect on further private investment. This announcement today sends a strong message to our next generation that Baton Rouge is a great place to study, work and build an exciting future in what is truly becoming America’s next great city.”

The post IBM Announces Creation Of 800-Job Technology Center In Downtown Baton Rouge appeared first on Business Facilities.

Baton Rouge Facility (© Katoen Natie)

Gov. Bobby Jindal and Frank Vingerhoets, Katoen Natie’s president of petrochemicals in North America, have announced that Katoen Natie USA will invest $150 million to build a plastics storage, custom packaging and distribution facility for producers of petrochemical products in Baton Rouge. The logistics platform will create 210 new direct jobs. LED estimates the project will also result in 516 new indirect jobs, for a total of more than 700 new permanent jobs. Another 150 construction jobs will be created during the building phase.

The logistics complex—including polymer terminals, warehousing and distribution facilities—will support local petrochemical and specialty chemical producers in the Capital Region. The Katoen Natie facility will offer a variety of processing, handling, storage and value-added services to these producers, and will distribute to both domestic and international customers. The 2 million-square-foot indoor storage complex is being designed with an extensive rail yard by CRA Engineering Group of Baton Rouge.

Katoen Natie’s plans include developing tie-ins to rail assets served by Kansas City Southern Railway and Canadian National Railroad, potentially becoming one of the few facilities of its kind with dual railway access.

“We are excited about the new project that will expand our U.S. and global network,” Vingerhoets said. “This state-of-the-art facility will help absorb the increasing production capacity of our customers, which is in relation to the shale gas growth in the U.S. The cooperation with the local authorities has been great, and their efforts have contributed to our decision to invest in the Baton Rouge area.”

The state began working with Katoen Natie on the new project in February 2012. The company is expected to utilize Louisiana’s Quality Jobs and Industrial Tax Exemption incentives, as well as the services of LED FastStart® workforce development program.

“The addition of Katoen Natie to our region will provide a valuable service to the chemicals and new energy production sector, further strengthening this sector, one of our recently identified target industries,” said BRAC President and CEO Adam Knapp.

The first phase of the project is expected to begin in early 2013, and will include construction of the first 600,000 square feet of storage space, all of the rail lines servicing the facility, half of the available rail yard, all rail tie-ins, and the construction of a 6-acre detention pond. The company expects to complete the first phase by the end of 2013, with hiring for the new facility beginning this summer. Katoen Natie expects to complete the entire facility by 2018.

“The addition of Katoen Natie to Baton Rouge will strength our ability to meet the needs of our existing businesses and help us recruit new ones,” Baton Rouge Mayor-President Melvin “Kip” Holden said. “We eagerly welcome the company to our city.”

Katoen Natie NV is headquartered in Antwerp, Belgium, with U.S. operations headquartered in Houston.

The post Katoen Natie USA Announces $150 Million Baton Rouge Area Facility appeared first on Business Facilities.

As we reported last week, the talk about disaster preparedness is now focusing on the need to engineer our ongoing disaster recovery response with an eye toward future onslaughts. The U.S. has signed an agreement with Holland to coordinate such efforts to mitigate the impact of future natural disasters. The keynote address at Business Facilities annual LiveXchange event (May 19-21, Westin Stonebriar, Dallas, TX) will be delivered by John Copenhaver, the former FEMA director for the Southeast region of the U.S.  Copenhaver’s talk is entitled “Self-Reliance: The Key to Disaster Recovery.”

Enough of the gloom and doom. Today, we want to talk about an example of successful disaster recovery. In fact, it may be the best example of a major U.S. city rising from desolation and reclaiming its former glory since Chicago was rebuilt after the big fire in 1871.

In the hours after Hurricane Katrina swept into New Orleans in 2005, the initial reaction was one of relief. In terms of wind damage, the storm was not as powerful as it could have been. It came ashore diminished from the Category 3 levels it had generated in the middle of the Gulf of Mexico.

But then the levees failed. New Orleans, most of which sits below sea level in a bowl surrounded by coastal waters and Lake Ponchartrain, stood helpless as the water surged in. The collapse of New Orleans’  federal flood protection was the worst civil engineering disaster in American history. Floodwalls and levees constructed by the U.S. Army Corps Engineers failed below design specification and about 80 percent of the city flooded.

Trapped city residents soon congregated in the Louisiana Superdome, which quickly morphed from a football stadium into a squalid shelter. Clueless state and federal officials couldn’t figure out how to get drinking water and other necessities over to the Superdome, even though TV crews had made their way there to film the suffering and broadcast it around the planet. A man in a wheelchair died in front of the stadium, his lifeless body a symbol of a profound national disgrace.

When Katrina hit, New Orleans was home to more than 484,000 people. A year after Katrina, the population that remained in the Crescent City was estimated in July 2006 at barely 223,000.

Then the rebuilding began. In January 2007, the Army Corps of Engineers—after undertaking a study of the Delta Works levee system in the Netherlands—awarded a $150 million contract to a group of Dutch engineering companies for the evaluation, design and construction management of levees and floodwalls, special closure structures for protection of the communities adjacent to the Inner Harbor Navigation Canal, major pumping facilities and planning studies for improved levels of flood protection for New Orleans and southern Louisiana.

Thus began a $14.5-billion federal effort to improve the flood protection around New Orleans. Projects included the world’s largest water pump station (Gulf Intracoastal Waterway West Closure Complex), which cost $1 billion and can pump 1 million gallons per minute; hundreds of levee and pump station improvements; the IHNC Lake Borne Surge Barrier, the longest storm surge barrier in the U.S., and the Seabrook Floodgate, a floodgate at the connection of Lake Ponchartrain with New Orleans’ Industrial Canal.

As important as the new flood protections are, the rebuilding of the human infrastructure of New Orleans was arguably a tougher task. But a city known for its vibrant spirit of optimism never doubted that New Orleans would rise again.

With a smartly diversified development strategy, the city boldly set out to attract new growth sectors like digital media and advanced manufacturing. It put out the welcome mat for entrepreneurs large and small. Harnessing the energy of its world-famous tourist destinations, New Orleans let everyone know that more than a great meal and fun time could be had in their town—it’s a great place to put down roots and start a new business.

[See related post, "Lockheed Martin Announces Liquefied Natural Gas Project Creating 166 New Direct Jobs In New Orleans."]

New Orleans’ unique, historic, and architecturally significant housing stock, the city’s walkable mixed-use neighborhoods, and its high-quality open space and recreational opportunities are all factors that today are drawing migrants to New Orleans.

And so this week comes news that the Orleans Parish has registered the highest population grown among major U.S. urban cores.

Based on data just released by the U.S. Census Bureau, Orleans Parish had the 24th highest growth rate from April 1, 2010 through July 1, 2012, and was the only urban center in the top 25. For the 27-month period ending July 1, 2012, New Orleans (Orleans Parish) grew by 7.4 percent. In absolute terms, the city grew by 25,421 residents to a total of 369,250, posting the highest gains of the five counties with populations of less than 400,000 to rank in the top 20.

These numbers reinforce the narrative that New Orleans is not only the economic and employment hub of the region, but that the city has also become a desirable destination for residents seeking a place rich with culture, a high quality of life, and opportunities to start and grow business.

As they say in NOLA:

Laissez les bon temps rouler!

Note: There is a poll embedded within this post, please visit the site to participate in this post’s poll.

The post Marching In to New Orleans appeared first on Business Facilities.

An aerial view of the primary manufacturing facility at NASA’s Michoud Assembly Facility in New Orleans. (LMSSC-MO)

Gov. Bobby Jindal and Lockheed Martin IS & GS-Defense President Gerry Fasano announced Lockheed Martin will make a $3 million capital investment at NASA’s Michoud Assembly Facility to manufacture cryogenic tanks for liquefied natural gas (LNG). The LNG tanks, which initially will be used for ship propulsion, are part of Lockheed Martin’s increased emphasis on converting defense technology to commercial applications. The project will create 166 new direct jobs and another 236 new indirect jobs, for a total of more than 400 new direct and indirect jobs.

Gov. Jindal said, “For years, the Michoud Assembly Facility was thriving, supporting at one time more than 5,000 quality jobs for our people in the space engineering industry. It was one of the largest production facilities in the country and was instrumental in the production of fuel tanks used during NASA’s Space Shuttle Program, as well as prior space programs. But after the federal government stopped the Space Shuttle Program and the Obama administration ended the Constellation space program—production drastically declined here at this facility, resulting in the loss of about 2,000 jobs since 2010.”

Known for aerospace defense and military security systems, Lockheed Martin will initially produce cryogenic tanks to fuel the propulsion systems for oceangoing vessels. Long-term plans call for the company to manufacture tanks to meet the needs of shipping by land, rail and sea, as well as for land-based storage of LNG. At the Michoud facility in New Orleans, Lockheed Martin also will develop Ocean Thermal Energy Conversion heat exchangers—a maritime sustainable energy project—as part of a slate of new technologies planned at the NASA manufacturing site.

“Our entry into the LNG tank market is a prime example of how Lockheed Martin is leveraging capabilities and technologies developed for government and defense programs to meet the needs of private sector customers who drive the nation’s economy,” Fasano said.

“Lockheed Martin’s decision to diversify its business here in New Orleans demonstrates the confidence they have in our workforce and business climate and is a sign of the potential of manufacturing at Michoud in New Orleans,” said New Orleans Mayor Mitch Landrieu.

The first phase of the project is expected to begin with the installation of equipment in December 2013. In the future, Lockheed Martin will pursue additional advanced manufacturing projects at the Michoud facility, where it has long assembled major components of NASA’s space systems.

The Michoud Assembly Facility is owned and operated by NASA and managed by the international engineering, architecture and construction firm, Jacobs Engineering Group. Opened in the 1940s, the Michoud Assembly Facility is one of the largest production facilities in the country. It was instrumental in the development and production of fuel tanks used during NASA’s space shuttle program, as well as prior space programs and NASA’s current Orion capsule and Space Launch System projects.

“Lockheed Martin’s decision to both expand and diversify in Greater New Orleans is a double win,” said CEO and President Michael Hecht of Greater New Orleans Inc. “First, it is another example of the economic development benefit of the natural gas boom in southern Louisiana; second, it represents another significant step in the repurposing of Michoud as a public-private, multi-use manufacturing facility. Lockheed Martin has had a great past at Michoud, and we look forward to an even greater future.”

The post Lockheed Martin Announces Liquefied Natural Gas Project Creating 166 New Direct Jobs In New Orleans appeared first on Business Facilities.

Photo: © Royal Society of Chemistry

South Louisiana Methanol LP will build and operate a world-scale methanol production facility in St. James Parish, La. Located along the Mississippi River at the Port of South Louisiana, the facility will be supported by ZEEP Ltd. of Austin, Texas, and Todd Corp., based in Wellington, New Zealand. The South Louisiana Methanol site will be the largest of its kind in North America, leveraging low-cost feedstocks in Louisiana into premium chemicals in a gas-to-liquids process.

Methanol is used by manufacturers to produce everyday goods, such as plastics, polyester fibers and fabrics, pesticides, fuel additives, pharmaceuticals and adhesives for the wood products industry. The SLM methanol facility will be located in the Port of South Louisiana district, with access to interstate and intrastate natural gas and carbon dioxide pipelines.

ZEEP and Todd Corp. chose St. James Parish for the new facility because of the state’s strong business climate and the high inventories and inexpensive price of natural gas in Louisiana, as well as the area’s strategic shipping location at the Port of South Louisiana – the largest port in the Western Hemisphere by capacity. Since 2008, more than $32 million in investments and upgrades have been made to the port.

“Louisiana offers a high-quality energy workforce, access to abundant natural gas, and a strong network of pipelines and transportation facilities, which makes it an ideal partner for the production and distribution of methanol,” Williamson said. “We will utilize proven technology, to build the largest methanol plant in North America, which will consume CO₂ for a more efficient process, ensuring strong environmental stewardship.”

LED began working with ZEEP on the South Louisiana Methanol project in February 2012. To secure the project, the state will offer an incentive package that includes a $5 million performance-based grant for infrastructure costs, and the services of Louisiana’s top-ranked workforce development program, LED FastStart^®. In addition, the company is expected to utilize the state’s Quality Jobs and Industrial Tax Exemption programs.

“From what we have learned, the technology to be utilized and the products to be produced – combined with the project size, employment levels and growth potential – would make ZEEP a prized addition for any parish’s economy. And with ZEEP’s focus on the development of premium fuels products utilizing abundant natural gas, the entire River Region will enjoy the benefits of this company’s choice to build here in St. James Parish,” said St. James Parish President Timmy Roussel.

Construction of the project will begin in the fourth quarter of 2013, with hiring expected to begin in early 2015 and commercial operations of the South Louisiana Methanol facility to start in mid-2016.

“During the last 10 months, the Port of South Louisiana has been working diligently with officials from LED and the River Parishes in the search for a site that would accommodate ZEEP’s requirements,” said Executive Director and CEO Joel Chaisson of the Port of South Louisiana. “Fortunately, after several visits to our port, the company narrowed the search to a location in St. James Parish. We are now excited to welcome the development of a new energy plant, ZEEP, to St. James Parish and to our port district. We are happy to hear ZEEP’s plans to develop a $1 billion methanol plant that will produce clean products and offer employment to the residents of the River Region.”

“Greater New Orleans Inc. is thrilled to welcome SLM to the region,” said GNO Inc. President and CEO Michael Hecht. “Not only will SLM bring $1.3 billion in investment and hundreds of jobs, but this major funding of a clean manufacturing facility proves again that Louisiana’s combination of unparalleled logistics, Top 10 business climate and affordable natural gas makes it an unbeatable location for large industrial projects.”

The post South Louisiana Methanol Announces $1.3 Billion Investment appeared first on Business Facilities.

Jack Rogers, Editor in Chief, Business Facilities

From the January/February 2013 issue

It’s become very stylish to have animals pick the winners of major sporting events. After Germany’s Paul the Octopus wrapped his tentacles around soccer’s World Cup a couple of years ago, all sorts of creatures got into the act. As this is being written, Princess the Camel is vying to make Super Bowl history by snorting at five winners in a row.

Here at Business Facilities we think relying on our four-legged (or eight-legged) friends to make the tough calls is a cop-out. So we make sure our top awards are the result of a comprehensive vetting process involving industry experts and valid metrics.

The quality of the big-ticket projects that went head to head in our 2012 Economic Development Deal of the Year competition forced our blue-ribbon panel of judges to bring their A-game to the scoring. If there’s a common thread running through the winning projects, it’s the transformative potential of each of them.

Our Gold Award winner, Baxter’s $1.3-billion investment in Georgia, moves the Peach State into the front ranks of bio/pharma players; Sasol’s petrochemical complex in Louisiana, our Silver standard-bearer, is a huge bet on the future of gas-to-liquids energy conversion; and Apple’s decision to put its global Ops Center in Austin, our Bronze winner, cement’s the Texas capital’s growing rep as a high-tech hub.

As always, we congratulate the winners and encourage everyone to get a head start on next year’s contest by using our handy online nomination form at www.businessfacilities.com.

Jack Rogers

Editor in Chief
jrogers@groupc.com

The post FIRST WORD: Making The Call appeared first on Business Facilities.

The company announced it will produce enclosed, three-wheeled vehicles capable of attaining a highway mileage rating of more than 80 mpg. Targeting a retail cost of $6,800, the company will position the Elio vehicle as a cost-effective alternative to four-wheeled autos. The Elio will be equipped with three airbags, power windows and air conditioning as standard features, and the company expects to achieve a five-star safety rating. Models will be available with automatic or manual transmission.

The Elio Motors manufacturing facility will occupy approximately 1 million square feet of the more than 3 million-square-foot, former GM site. Industrial developer Stuart Lichter, who has acquired other former GM sites, will buy the 530-acre Shreveport site in conjunction with Elio Motors and lease portions of the site to other tenants.

Gov. Jindal said, “After the loss of GM, we made a commitment to the people of Northwest Louisiana that we would not only pursue possible alternative uses for the old GM facility, but we would also aggressively pursue new projects in the region that would create new job opportunities.”

Elio Motors is purchasing the GM plant from the Revitalizing Auto Communities Environmental Response Trust, known as the RACER Trust. RACER is an independent trust created by a U.S. Bankruptcy Court settlement agreement to redevelop former GM locations.

“We are extremely pleased and excited to be part of the Shreveport community, and we feel that Shreveport will be the perfect home for Elio Motors,” said Elio Motors President and CEO Paul Elio. “We purchased the plant in Shreveport because of the business-friendly economic environment, the quality of the local, experienced workforce, and our unwavering commitment to build Elio vehicles in America, with American workers. We can’t wait to begin our journey in Louisiana.”

“This is a watershed moment for the people of Northwest Louisiana, for Elio Motors and for the RACER Trust,” said RACER Trustee Elliott P. Laws. “Our mission with the RACER Trust includes helping to bring renewed, locally supported economic vitality to former GM sites, and we’re very pleased to have taken this major step toward achieving that goal here in Caddo Parish. We thank Paul Elio, the Caddo Parish Commission, Governor Jindal and his team for making this accomplishment possible.”

To secure the project, LED offered Elio Motors an incentive package that includes the new Competitive Projects Payroll Incentive and LED FastStart® workforce development program. The Competitive Projects Payroll Incentive will provide annual, performance-based payroll rebates of 13% for each qualifying job for the first 10 years of operations; these rebates will be provided following the completion of each project year after actual payroll for each year is verified. In addition, the company is expected to utilize Louisiana’s Industrial Tax Exemption Program incentive. The Caddo Parish Commission also is negotiating potential incentives to support Elio’s redevelopment of the former GM site.

“The real value in some of these distressed, abandoned properties that we’re seeing corporate America and various governments discard is exactly what makes GM Shreveport so appealing for Paul, and myself,” said Lichter, founder and president of the Los Angeles-based Industrial Realty Group. “Everything is still right there. The plant is in fantastic shape. The equipment is top-notch and ready to go now. Vehicles were being built here, not years ago, not in somebody else’s lifetime, but just a few months ago. That saves us a tremendous amount of capital right up front.”

Elio Motors expects to begin commercial vehicle production in mid-2014, with significant hiring at the Shreveport facility to begin by the second quarter 2014 and full employment to be reached in late 2015.

“We are delighted and very proud Elio Motors will manufacture their new vehicle in Caddo Parish,” said President Michael Thibodeaux of the Caddo Parish Commission. “This is a testament to the spirit of our community and the determination of our leaders who wouldn’t give up on this great facility that once provided the livelihood for so many of our neighbors. We look forward to welcoming the Elio team to our community.”

Though general hiring has not begun yet in Shreveport, Elio Motors and LED FastStart will publicize information about the hiring process and job fairs in the coming months as the company prepares for commercial production.

“The North Louisiana Economic Partnership is pleased that Elio Motors has chosen Shreveport for its manufacturing facility,” NLEP President Scott Martinez said. “This is a great beginning of 2013 for North Louisiana. I’m confident our region is poised for even more activity in the manufacturing sector this year.”

The post Elio Motors Announces Vehicle Manufacturing Facility In Shreveport, LA appeared first on Business Facilities.