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Alita USA to Build Steel Plant in Buffalo

Buffalo, NY (WBEN) There could be steel produced out of Buffalo once again. Alita USA Holdings has announced it will build a steel plant in South Buffalo.

Alita is receiving $2 million from the Western New York Power Proceeds Allocation Board to help with funding. Alita has proposed making a $102 million investment to construct a fully-integrated manufacturing facility in Buffalo that will produce welded Oil Country Tubular Goods casing steel pipes. The project, which is slated to create 172 well-paid jobs, is contingent upon approvals from the Erie County Industrial Development Agency (ECIDA), final site acquisition and compliance with applicable legal requirements.

“We are pleased to announce that the Buffalo Niagara region is expected to be home to Alita USA’s first U.S. OCTG manufacturing facility,” said Alita USA President & CEO Ali Hosseini. “Buffalo was once the heart of steel manufacturing in the U.S. and most of those factors, such as logistics, infrastructure and availability of a strong and talented workforce, that made the city ideal for manufacturing remain true today. We would like to thank the State of New York, Erie County and Buffalo Niagara Enterprise for the tremendous support to bring this project to New York. With their support we are confident that Alita USA will be the most successful and competitive manufacturing facility for the production of high grade OCTG in the U.S.”

“Erie County’s economic resurgence is continuing and gaining momentum with the Alita project poised to bring 172 good jobs and an investment of over $100 million to our community” said Erie County Executive Mark Poloncarz. “My administration aggressively pursued Alita, educating them on the assets Erie County has to offer and the benefits of locating here, and it is good to see that our reputation as a hub for world-class and state-of-the-art manufacturing is growing. I would like to thank our partners in state government, the ECIDA and at the Buffalo Niagara Enterprise for their efforts to make this project a reality and their continued efforts to promote our region as one that is good for business.”

“The City of Buffalo has worked strategically to develop our assets and prepare the economic development tools necessary to attract new investment and create jobs in our city and region,” said Buffalo Mayor Byron Brown. “Today’s announcement that Alita USA Holdings Inc.’s plan to make a $102 million investment that will create 172 jobs adds great momentum to the progress that’s underway in our community. Buffalo is a city on the move, thanks to Governor Cuomo and other dedicated partners who are making the commitment to bring this project to upstate New York.”

Alita says it had looked at Houston as well, but Cuomo says it finally decided that Buffalo would be a better and more competitive location for its project.

Alita first expressed interest in the region when it contacted Buffalo Niagara Enterprise (BNE) at this time last year. Since then, BNE has been working closely with Alita to assist the company with site selection, workforce, international due diligence and access to incentive programs.

“Today’s recommendation by the WNYPPAB underscores the importance of this valuable incentive in bringing new investment and job creation to our community,” said BNE President & CEO Thomas Kucharski. “The board’s recognition of the value and impact this project could have in Buffalo Niagara is one more positive development that I hope will ensure this project will become a win for our region.”

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