Governor Bob McDonnell announced that Steel Fab, a division of Samuel, Son & Co., Ltd., the largest family-owned metals processor and distributor in North America, will invest $1.5 million to establish a pressure tank production operation in the Town of Lebanon in Russell County. The project will create 50 new jobs and save 240 jobs for Virginia.
Speaking about the announcement, Governor McDonnell said, "Steel Fab's establishment of an operation in Russell County allows the company to continue to grow, bringing 50 additional jobs to Southwest Virginia. Russell offered an available facility that will accommodate all processes under one roof, with room for expansion. Steel Fab is experiencing significant growth due to the marked increase in business generated from oil and gas extraction activities in North America, and the new facility will enable the company to meet increasing demands."
"We are grateful to retain an important corporate citizen and employer in Southwest Virginia," said Jim Cheng, Virginia Secretary of Commerce and Trade. "This great project will allow Steel Fab to meet its production needs and also provide room for potential continued growth in the Commonwealth."
Steel Fab is a division of the Samuel Pressure Vessel Group of Wisconsin, part of the parent company Samuel, Son & Co., Limited of Mississauga, Ontario. Samuel offers end-to-end solutions in the distribution, transportation, processing and manufacturing of metals and industrial products. The company was founded in 1855 and currently is the largest family owned metals processor and distributor in North America. Samuel proudly operates Service Center and Manufacturing networks, supplying products and parts coast-to-coast.
"By choosing the Russell County, Virginia location, the new facility will enable Steel Fab to properly organize and optimize its production in one facility," said a spokesman for Steel Fab. "It will allow Steel Fab to expand its product line into larger pressure vessel tanks. The financial package presented by the local and state governments made it very attractive, along with the excellent quality and available workforce."
The Virginia Economic Development Partnership worked with the Russell County Industrial Development Authority, the Town of Lebanon, the Virginia Coalfield Economic Development Authority, and the Cumberland Plateau Planning District. Governor McDonnell approved a $100,000 grant from the Governor's Opportunity Fund to assist Russell County with the project. The Virginia Tobacco Indemnification and Community Revitalization Commission also approved $160,000 in Tobacco Region Opportunity Funds. Through its Virginia Jobs Investment Program, the Virginia Department of Business Assistance will provide funding and services to support the company's recruitment, training and retraining activities.
"The expansion of Steel Fab into Russell County has many advantages for us," said Harry Rutherford, Chairman, Russell County Industrial Development Authority. "More jobs for our citizens, more sales for our local businesses, increased tax base and a great moral booster, just to name a few."
"I am very excited and pleased with the Steel Fab decision to locate in Russell County," said Delegate Joe Johnson, a member of the Virginia Tobacco Indemnification and Community Revitalization Commission. "The 50 new jobs will help in replacing the loss of jobs in the coal mining industry. I am delighted that the Tobacco Commission was able to help convince Steel Fab to settle in Russell County."