LA: Gov. Jindal and CARBO Ceramics CEO Gary Kolstad Announce Company Will Invest $17 Million, Add 40 Jobs in New Iberia
1 Jun, 2011
Company to expand its output of engineered products that enhance oil and gas recovery
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Gov. Bobby Jindal and CARBO Ceramics Inc. CEO Gary Kolstad recently announced CARBO will invest $17 million in an expansion of its Airport Industrial Park facility in New Iberia, creating 40 new jobs and retaining 75 existing jobs.
The new jobs at CARBO's facility will average about $50,000 a year, plus benefits, and the company plans to complete hiring and a renovation of its facilities in the fourth quarter of this year. CARBO is adding a second production line to an Iberia Parish facility that has been in operation since 1978. CARBO manufactures proppant used by oil production companies to boost the output of oil and gas wells.
Gov. Jindal said, "This is great news for New Iberia and Acadiana. Since day one, we have made business retention and expansion our top economic development priority. CARBO could have made this investment in a nearby state, but they instead decided to invest right here in New Iberia because of our strong business climate and our customized workforce training program, Louisiana FastStart™, which is the best of its kind in the U.S. Louisiana's economy continues to outperform the South and U.S. thanks to investments from leading companies like CARBO, even in the midst of a difficult national economic environment."
Louisiana Economic Development estimates the 40 new direct jobs will result in 86 new indirect jobs in the Acadiana Region, for a total of 126 new jobs in the area. Additionally, LED estimates the project will result in $4.1 million in new, state tax revenue and $1 million in new, local tax revenue over the first 10 years of the project.
"During CARBO's 33-year history in Louisiana, we have invested tens of millions of dollars in the New Iberia and Shreveport communities," said Kolstad. "It is satisfying to work collaboratively with the state and increase this long-term investment while providing additional jobs and opportunities to the residents of Acadiana."
CARBO will receive employee screening, hiring and training assistance from Louisiana FastStart, a custom workforce solution provided by LED to expanding companies who meet eligibility requirements. In addition, CARBO is expected to utilize the state's Quality Jobs and Industrial Tax Exemption incentive programs.
LED has worked on the project with CARBO officials in New Iberia and at the company's Houston headquarters since December. The Acadiana Region's wealth of oil industry expertise played a key role in securing the expansion.
In addition to the new jobs retained and created by CARBO, modernization and equipping of the New Iberia plant will employ another 100 construction workers during the renovation. The latest expansion follows CARBO's refurbishment of its first resin-coating line in 2010, bringing total capital investment for both projects to $27.8 million.
CARBO Ceramics Inc. is a global market leader in providing oil and gas companies and oilfield service companies with high-quality proppant; fracture stimulation software; and fracture design, engineering and consulting services. Headquartered in Houston, CARBO employs more than 800 people worldwide.