December, 2008
- Clarksville, Tennessee - The
Hemlock Semiconductor Group will invest up to $2.5 billion to locate
a polycrystalline silicon (polysilicon) manufacturing operation
in Clarksville, Tennessee at the Commerce Park megasite in the northeastern
edge of the city. If plans are fully implemented, it will be the
largest corporate investment in Tennessee history.
After a two-year global search of more than two
dozen sites, The Hemlock Semiconductor Group, which includes two
Dow Corning Corporation joint ventures, Hemlock Semiconductor Corporation
and Hemlock Semiconductor LLC, finally decided on a location. "Tennessee's
business climate coupled with a superb site in Clarksville, a strong,
productive workforce and an excellent location in proximity to our
supply chain and customers made this the right decision," said
Hemlock Semiconductor President and CEO Rick Doornbos. The investment
will allow us to meet growing customer demand in both the near term
and in the decades ahead."
The Clarksville facility will produce polycrystalline
silicon, a primary component used to manufacture solar cells and
semiconductor devices. While most of the polysilicon will be consumed
by firms in the solar industry as well as solar-grade material.
Upon completion, the new facility will have the capacity to manufacture
up to 10,000 metric tons of polysilicon annually with the potential
to expand to a production level of 21,000 metric tons.
Groundbreaking on the new plant is expected in
March 2009 and will create up to 1,000 jobs in construction and
related crafts during the building phase. Projected to open in 2012,
the Clarksville facility itself will create 500 jobs with the potential
of employing up to 900 people within five to seven years. The plant
will occupy the entire 1,215-acre Commerce Park megasite and the
company plans to acquire an additional 947 acres adjacent to the
site for additional build-out and buffer space.
"The exact scale of this investment will be
determined by market conditions. Making this investment in today's
volatile economic climate is a testament to both the long term outlook
of the solar industry as well as Hemlock Semiconductor's ability
to add capacity to meet the needs of customers," said Doornbos.
In conjunction with this new industrial development,
Austin Peay State University has received a $6.4 million grant to
develop and train a workforce for the incoming Hemlock Semiconductor
plant. This includes a new campus building, six new chemical technology
professors and about eleven new professors for other core credit
requirements toward the school's new associates degree in Chemical
Engineering Technology. The curriculum is set to begin in fall 2009
so as to give students enough time to complete the program prior
to Clarksville's start in late 2012. "When the plant opens,
it will be in operation from Day 1. Our employees have to be trained
and ready to start Day1," said Laura Lambeth, Sites and Expansions
Human Resource Manager for Hemlock.
"This huge success proves that going through
the diligent megasite certification process and being prepared gives
a community a strong advantage," said John Bradley, Senior
Vice-President, Economic Development, Tennessee Valley Authority.
"The State of Tennessee, Clarksville-Montgomery County and
community leaders have been working towards this day for two and
a half years."
"This announcement shows Tennessee's commitment
to become a significant player in the development of "green
collar" jobs related to clean energy technologies," said
Tennessee Governor Phil Bredesen. "With this announcement,
Hemlock Semiconductor and Dow Corning have signaled a major shift
in the direction of Tennessee's and the nation's economies."
Bredesen noted that it is not simply the immediate creation of new
jobs but the ability to attract related industries and suppliers
to the state and region.
Manufacturing spin-offs appear likely as HSC manufactures
one-third of the world's polysilicon supply for solar cells. And
according to researchers, every manufacturing job adds at least
3.5 workers to the service or retail sector. Bredesen hopes this
is just the beginning and says, "Announcements like Hemlock's
have gotten the attention of the renewable-energy sector. Let's
take the steps necessary to move from a single announcement to the
development of an entire industry in Tennessee."
For more information on Hemlock Semiconductor Group, visit their
website at www.hscpoly.com.
