Companies will invest $92 million in Alabama Wiregrass development initiatives.
DOTHAN, Alabama — According to Houston County officials, infrastructural upgrades will enable two expanding enterprises to make new capital investments totalling $92 million in Dothan as part of projects that would generate at least 70 new jobs and benefit the region’s forestry industry.$92 million in Alabama Wiregrass expansion projects
SmartLam North America, a Dothan, Alabama-based manufacturer of cross-laminated timber (CLT) products, will invest $62 million to establish a new glulam manufacturing facility that will create massive beams and columns for the building sector. The initiative will result in the creation of 43 jobs.
In the meantime, Peak Renewables will construct a wood pellet production facility that will employ sawmill byproducts to produce pellets for sustainable energy production. The $30 project will create 26 jobs at the Dothan factory.
“The forest products industry has long been a backbone of Alabama’s economy, and its vigor is drawing large amounts of new investment and generating employment development across the state,” said Greg Canfield, secretary of commerce for Alabama.
These new investment projects in Dothan will infuse this vital sector with extra vitality and creativity.
On Friday, September 9, 2022, Veronica Crock of the Department of Commerce gives an Alabama State Seal plaque during a ceremony for the SmartLam and Peak Renewable projects in Dothan.
Infrastructure augmentations
According to the Dothan Area Chamber of Commerce, the combined projects represent one of the greatest industrial investments in the Wiregrass region’s history. It anticipates that the SmartLam expansion will be completed in 2024 and that the Peak Renewable wood pellet plant will be active in 2023.
Chamber Chairman Brad Kimbro stated, “There are many moving elements to support these achievements, and we cannot thank our state, city, county, and Chamber team enough for their labor and support.”
“We have a significant amount of infrastructure support required to prepare these developments for Peak Renewables and SmartLam’s operations, so we will be on it,” he added.
The project will involve the construction of a new industrial access road in addition to enhancements to the water and electrical utilities. A new access road will be constructed in conjunction with the Alabama Department of Transportation, Houston County, and the City of Dothan to serve the new industrial sites.
Dothan Utilities will also offer water extension services and electric utility service.
GROWTH PLANS
CEO of SmartLam North America Derek Ratchford stated that the investment will enable the company to establish a 140,000-square-foot, custom glulam production facility with the potential to manufacture 84 million board feet annually.
Additionally, SmartLam will install equipment to fully automate its existing 225,000-square-foot facility in order to produce 2 million cubic feet of CLT yearly.
“The majority of mass timber glulam/columns are handcrafted. The new facility will be automated, allowing SmartLam to greatly improve production while simultaneously delivering many mass wood projects, as stated by Ratchford.
“We are conveniently placed in Alabama to serve the Southeast, which has the nation’s fastest-growing mass wood market. With the addition of glulam, SmartLam will become the largest mass timber (glulam/CLT) manufacturer in North America,” he continued.
SmartLam will be able to obtain high-quality timber from landowners in Central and Southern Alabama as a result of the expansion. SmartLam is the first and largest producer to create CLT from Southern Yellow Pine.
Scott Bax, chief executive officer of Peak Renewables, stated that his company’s expansion project will utilize 30 acres and feature new rail spurs in conjunction with Genesee and Wyoming Railroad. The wood pellet facility will operate nonstop, 365 days per year.
Bax explained, “This facility and the investment will further boost the broader forestry sector and provide a world-class wood fiber operational facility to the Dothan area, producing 180,000 MT of wood pellets yearly.”
LOCAL IMPACT
Mark Saliba, the mayor of Dothan, and Brandon Shoupe, the incoming chairman of Houston County, stated that the projects will boost the region’s forestry industry and generate new jobs through economic ripple effects.
They said in a joint statement, “We are happy and appreciative of our cooperation with SmartLam North America and welcome our new business partner Peak Renewables.”
“Both enterprises have a substantial impact on the continued growth and development of Southeast Alabama as a manufacturing and innovation hub for forestry products,” they noted.
Ratchford complimented the state and municipal governments as well as the community partners that made his company’s endeavor a reality.
This group is dedicated to positioning us for future growth, he said.