Investing in West Virginia
By Anna Moore
New business is risky at any time, but in a post-pandemic world where the U.S. economy faces endless challenges, one could say there is even more risk than before.
From June 2022 to June 2023, West Virginia registered 13,229 new businesses, according to the Secretary of State’s Office. Leading all 55 counties in business growth during that timeframe was Jefferson County, which had a 19.34% growth rate. From January to June 2023, 7,220 total new businesses were registered in the state.
For this article, West Virginia Executive is highlighting specific industries with companies that have recently, or will soon, start production in the Mountain State. We’ve categorized those industries by manufacturing, coal and natural gas.
Manufacturing
Mountaintop Beverage
By Beth Pratt, Chief People Officer for Mountaintop Beverage
Mountaintop Beverage opened its 330,000-square-foot, state-of-the-art aseptic beverage manufacturing facility this year in the Morgantown Industrial Park. The company is dedicated to producing high-quality, shelf-stable beverages for large national brands. Morgantown is situated in an ideal supply chain corridor for both incoming bulk ingredients and outbound finished good shipments to a large portion of the U.S. population. In addition, Mountaintop Beverage found an incredible talent pool, which allows for superior quality in the products for its customer base.
“We refer to our employees as team members because we look for people who have a ‘we’ mentality and want to be a part of something bigger,” says CEO Jeff Sokal. “Team members who align with our mission for the agriculture/dairy industry and are interested in building solutions for food insecurities typically create elevated energy that feeds inspiration and commitment. Those are the team members we want.”
In just 10 months, Mountaintop Beverage has grown to 150 highly skilled, hard-working team members. The Mountaintop manufacturing facility has the potential to grow to approximately 750,000 square feet, creating up to 450 jobs, along with hundreds of additional downstream jobs in farming, transportation, services and supplies. A project of this size will meet a need for dairy in this region for decades to come.
US Methanol
By Angela Hyre, Human Resources Manager and Community Relations for US Methanol
Methanol plays a major role in the chemical and petrochemicals industry and is used as feedstock in many everyday use products. The first methanol manufacturing facility in West Virginia, US Methanol completed the construction phase of its plant in August 2022 and has since been operating and supplying its customers with pure methanol that is made reliably, safely and at a competitive price. Within six months of operations, US Methanol managed to safely bring the facility to nearly full capacity, with every gallon of methanol meeting quality specifications. The plant is within overnight trucking distance of half of the U.S. population and has access to extensive water, rail and highway systems, making cargo delivery easy and affordable.
The abundance of shale gas in the region, proximity to customers, quality workforce talent and support for industry by the government and community are all reasons international investment group KKCG chose to invest in West Virginia for the location of US Methanol. With 53 employees currently on staff, the company is actively recruiting for its remaining vacant positions. US Methanol’s top commitment to its employees and the community is to ensure operating excellence and embrace the highest standards of safety.
US Methanol is very happy to be a West Virginia business. The investment was substantial, and it looks forward to being an employer of choice and a strong contributor to good jobs in the state. The company is considering multiple options to increase its capacity and grow its business in West Virginia.
Coal
CONSOL Energy
By Erica Fisher, Vice President of Human Resources and Communications for CONSOL Energy
Having commissioned its new Itmann Preparation Plant in Wyoming County in fall 2022, CONSOL Energy is now focused on ramping up the Itmann Mining Complex, which includes nearby Itmann No. 5 Mine, to full production. The complex is expected to ultimately produce about 900,000 tons per year of low-volatile metallurgical coal, has enough reserves to enable over 25 years of operation and possesses the excess plant capacity to process metallurgical coals from the surrounding region as well.
“We are very excited about the opportunity that Itmann presents for both CONSOL and West Virginia,” says CEO Jimmy Brock. “This approximately $100 million investment represents a key step in CONSOL’s growth as we seek to diversify our business outside of traditional coal-fired power generation markets. We believe Itmann will supply domestic and international steel markets with a critically needed, high-quality resource for many years to come, and we are enthusiastic about the benefits this project brings to Southern West Virginia, including the creation of about 175 high-paying career opportunities.”
CONSOL mined its first coal from Itmann No. 5 Mine in April 2020 and shipped its first train from the preparation plant in October 2022. Itmann is expected to reach full run-rate production later this year.
Leer South
By Randy Cheetham, Vice President of External Affairs for Arch Resources, Inc.
More than a decade ago, Arch Resources made the strategic decision to intensify its focus on metallurgical coal, which is an essential input in the production of new steel. In keeping with this decision, Arch commenced the buildout of a portfolio of world-class metallurgical mines centered in the Mountain State. Most recently, Arch completed development of the new, $400 million Leer South longwall mine in Barbour County.
Leer South and its companion mine, Leer, have a total workforce of more than 1,000, with an average wage and benefits package for each employee that exceeds $100,000 per year. These mines—which expect to operate in the region for the next 20 years or more—provide so-called primary jobs, which means they create new wealth and support countless service-related jobs in the region. Both mines are recent recipients of the U.S. Department of Interior’s Good Neighbor Award, and both have developed red hat programs aimed at cultivating a strong, local workforce by training young people right out of school.
One of the attributes that has helped make Arch an employer of choice is its responsible corporate culture grounded in safety excellence, environmental stewardship and good corporate citizenship. Arch’s safety record is two-and-a-half times better than the industry average, and the company just completed its third straight year with a perfect water quality record against more than 300,000 parameters tested.
Natural Gas
Adams Fork Energy
By CNX Resources Staff
Adams Fork Energy, LLC is developing an ammonia manufacturing facility in collaboration with the Flandreau Santee Sioux Tribe in Mingo County. The developers are also partnering with CNX Resources to provide natural gas feedstock and carbon sequestration services. Ammonia is a hydrogen carrier with many industrial applications and zero carbon emissions when combusted.
Once complete, the facility is expected to displace more than 2.7 million metric tons per year of CO2 equivalent. With construction anticipated to begin in 2024, the Adams Fork facility would anchor the Appalachian Region Clean Hydrogen Hub—a project proposed to the U.S. Department of Energy.
“This project honors our legacy as America’s energy powerhouse while keeping an eye on the future as we work to bring the Appalachian Regional Clean Hydrogen Hub to West Virginia. I applaud the cooperation it took to bring this project to Mingo County and look forward to seeing the benefits it brings to the community, economy and our energy security,” says U.S. Senator Joe Manchin.
CNX President and CEO Nick Deiuliis says the project is accelerating America’s lower carbon energy and manufacturing future in the heart of Appalachia.
“We’re excited to work alongside these like-minded partners to advance shared goals of improving lives in local communities and generating clean, Appalachian-sourced energy, all while forging a stronger, more sustainable Appalachian region for all its citizens,” Deiuliis says.
CPV Shay Energy Center
By Matt Litchfield, Director of External and Regulatory Affairs for Competitive Power Ventures
Competitive Power Ventures (CPV) has selected Doddridge County for the CPV Shay Energy Center, a nearly 1,800 megawatts combined-cycle natural gas power station utilizing carbon capture and storage. Following permitting and construction, the project will go into operation later this decade and provide wholesale power to the regional PJM Interconnection grid.
The project was made possible by the advancement of the recently passed federal legislation known as the Inflation Reduction Act that expanded the 45Q federal tax credit for carbon capture. Additionally, in 2022, West Virginia passed key legislation to codify how carbon sequestration would work in the Mountain State. Governor Jim Justice signed the bill into law, and West Virginia became one of the very few states in the nation to establish the basic rules of how this burgeoning industry will unfold.
While Pennsylvania and Ohio have seen the construction of multiple combined-cycle natural gas power plants over the last few years, West Virginia presently has none. CPV plans to change that. The company is headquartered in Silver Spring, MD, and has over two decades of unprecedented success in the development, construction and operation of highly efficient and low-emitting electric generation and renewable projects in the U.S.
