Austin Powder Co., Cleveland, Ohio, is now projecting that its planned nitrogen/explosives plant to be built near Mosheim, Tenn., will require an investment of $160 million, rather than the earlier reported $110 million. The new figure comes just six weeks from Austin’s late February announcement about the proposed construction of the facility (GM Feb. 28, p. 1). The increase, based on better engineering and pricing data received by the company, was reported in the local newspaper, The Greeneville Sun. Austin had not returned calls at press time.
Despite the increase in cost estimates, Austin plans to continue with the facility. It has also increased its expectations of the number of construction workers needed to build the facility from 125 to 300.
Austin, through a new subsidiary, U.S. Nitrogen LLC, plans to build a new liquid ammonium nitrate plant (AMSOL or ANS) with a capacity of 420 st/d in Greene County in Eastern Tennessee. Some five buildings, including an anhydrous ammonia (200 st/d) facility and nitric acid plant (330 st/d), will be constructed on the 400-acre site. It will include a two-three story cooling tower.
Austin says the site is within a 250-mile radius of 70 to 75 percent of its customers. It plans to ship the product to its manufacturing sites in Ohio and elsewhere for further upgrading into explosives. The company assured local officials that no actual explosives would be made at the site. The site is about a mile off Interstate 81 and not far from I-40, I-75, and I-74. A Norfolk Southern Railroad track adjoins the property, and a rail link will be built into the plant. The company expects to send some 20 truckloads of product out of the plant each day, and will also ship product out by rail.
Austin said some front-end products for the plant will arrive by railcar and be unloaded at the plant.
The plant will take up approximately 50 acres of the 400 acre site, allowing plenty of green space between it and neighbors. The site is in a rural area near the I-81 and Highway 11-E interchange, with a large Walmart Distribution Center close by.
The East Tennessee Gas Co. pipeline is only one mile away for the company’s gas supply. It will procure water (800 gallons per minute) from the local water district and dispose of it in the Mosheim Sewer system.
The local Greene County Commission on Feb. 22 voted unanimously to approve the site’s rezoning from agricultural and industrial to heavy industrial. Austin was to submit air and water permit applications in March, and after an expected four-month review process to start construction in July or August, with the plant being in production by the end of 2012.
Austin says potential vendors for the new plant should send information via e-mail to usnitrogeninfo@austinpowder.com, or by mail to: Austin Powder Co., Attn: Greeneville Project, 25800 Science Park Drive, Suite 300, Cleveland, Ohio 44122.