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Hemlock Semi may expand Tennessee plant

5/17/2011 12:05 PM EDT

SAN FRANCISCO—Polycrystalline silicon provider Hemlock Semiconductor Corp. is negotiating with Tennessee officials on a possible $3 billion expansion of its solar materials plant in Clarksville, Tenn., according to reports.

The Associated Press reported Tuesday (May 17) that Hemlock confirmed it is negotiating an incentive package for a potential $3 billion facility, but that no agreement has yet been reached. The company has already committed to invest $1.2 billion in the facility, which will create 500 jobs, according to the AP report.

Hemlock said Tuesday that more than 1,600 construction workers are currently active at the Clarksville site as construction of the administration building nears completion. Warehouse, maintenance buildings, and other support facilities will be finished later this year and production facilities will be complete in 2012, Hemlock said.

The AP reported that Hemlock confirmed the potential expansion after a member of Tennessee Governor Bill Haslam's administration announced that the state is pursuing a $150 million bond issue to make infrastructure improvements at the Clarksville site.

According to the AP report, the proposed expansion would bring the total projected work force at the plant to 1,400 people and the investment to $4.2 billion.

Hemlock said hiring is underway for 500 full-time employees who will operate the plant when it begins producing polysilicon next year.




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