FRANKFORT, Ky. (Feb. 22, 2018) – As the aluminum industry flourishes in Kentucky, Owl’s Head Alloys Inc., an aluminum recycler in Bowling Green, will create 17 jobs with a $3 million expansion, Gov. Bevin announced today.
“Owl’s Head Alloys is a tremendous success story, and their expansion plan is wonderful news for both Bowling Green and the surrounding communities,” Gov. Bevin said. “It is exciting to see companies like Owl’s Head prosper in Kentucky. Their aluminum recycling operation is another indicator of the high demand for aluminum and the health of our primary metals sector overall. This announcement provides further proof to companies around the world that there are many benefits from the decision to invest in Kentucky and our people. We are grateful for this vote of confidence.”
The company operates three, 375-cubic-foot refractory furnaces and, to keep up with customer demand, the project will add new space to house a fourth furnace. The additional furnace will increase company’s capacity by 60 million pounds of scrap annually atop the facility’s current 240 million pounds. Owl’s Head leaders plan to hire 17 workers, bringing the company’s total employment to nearly 100.
“Owl’s Head Alloys has created a significant presence and reputation nationally in the secondary aluminum recycling industry simply by doing business as we should – delivering exceptional quality, serving our customers interests over our own, and maintaining integrity,” said Kevin Mays, CFO of Owl’s Head. “This expansion allows us to continue meeting our customers’ growing needs, as well as provide additional economic development in our community.”
Established in Bowling Green in 2002, the company recycles and ships metals across the US from its 35-acre site in the South Central Kentucky Industrial Park. The ideal location provides direct rail access serviced by R.J. Corman Railroad, making freight costs competitive.
Owl’s Head processes a wide range of scrap aluminum, including beverage cans, automotive wheels, painted siding and highway signs. The company sorts and shreds the recycled aluminum products, then melts the processed aluminum to customer specs and casts it into ingots, sows or provides it in molten form. Owl’s Head then ships to leading companies in the automotive, beverage can and construction industries.
Demand for aluminum, particularly from automotive companies, surged forward the past several years. Tightening federal requirements to improve fuel mileage and emissions in new vehicles put automakers on a quest to cut weight. They often turn to lightweight aluminum body panels, suspension parts, under-hood mechanical pieces and structural components.
The Bluegrass State announced nearly 100 aluminum-related new-facility or expansion projects since the beginning of 2014. Those projects total more than $2.9 billion in corporate investment four years, well above the approximately $1 billion announced 2001-2013.That growth is creating more than 2,800 full-time jobs, surging the aluminum industry’s employment beyond 20,000 people in Kentucky.
Sen. Mike Wilson, of Bowling Green, said the region continues to strengthen local business relationships.
“A local business, Owl’s Head Alloys, has invested an additional $3 million and supplemented 16 new jobs in Bowling Green,” Sen. Wilson said. “As a leader in secondary recycling of aluminum, we thank Owl’s Head Alloys for investing in our community. The 32nd State Senatorial District continues to be a leader of workforce development in the commonwealth.”
Rep. Jim DeCesare, of Bowling Green, noted the impact of projects like this one.
“Investments in jobs and businesses are key to the success of entire communities,” Rep. DeCesare said. “I’m excited for the investment by Owl’s Head Alloys, and I look forward to watching them grow jobs and their presence in the aluminum recycling industry.”
Bowling Green Mayor Bruce Wilkerson applauded the company’s growth.
“Bowling Green has been fortunate to see extensive growth within a few short years and we congratulate Owl’s Head Alloys on this project. Their growth and contribution to our local aluminum industry and beyond is an indication of future success,” Mayor Wilkerson said.
Warren County Judge-Executive Mike Buchanon welcomed the new investment and jobs.
“Owl’s Head Alloys provides a valuable service to our community’s aluminum industry,” Judge-Executive Buchanon said. “We are fortunate Owl’s Head has experienced such success over the last 16 years in Warren County and are glad they will continue to grow in our community.”
To encourage the investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) in February preliminarily approved the company for tax incentives up to $150,000 through the Kentucky Business Investment program. The performance-based incentive allows a company to keep a portion of its investment over the agreement term through corporate income tax credits and wage assessments by meeting job and investment targets.
In addition, Owl’s Head can receive resources from the Kentucky Skills Network. Through the Kentucky Skills Network, companies can receive no-cost recruitment and job placement services, reduced-cost customized training and job training incentives. In fiscal 2017, the Kentucky Skills Network provided training for more than 120,000 Kentuckians and 5,700 companies from a variety of industry sectors.
For more information on Owl’s Head, visit www.ohaky.com.
A detailed community profile for Bowling Green and Warren County can be viewed at http://bit.ly/WarrenCoKY.
The Kentucky Cabinet for Economic Development is the primary state agency responsible for encouraging new jobs and investment in the state. New capital investment announced in Kentucky in 2017 totaled a state record $9.2 billion, spurring more than 17,200 projected new jobs. Information on available industrial properties, workforce development assistance, incentive programs, community profiles, small business development and other economic development resources is available at www.ThinkKentucky.com.