Governor Whitmer announces investment of US$5.5 million for projects in the Upper Peninsula | News, sports, jobs

Governor Gretchen Whitmer announced a $5.5 million investment in Upper Peninsula projects, including Northern Hardwoods, which will use the funds for a new biomass boiler and backpressure steam turbine at its Atlantic Mine facility. (Photo courtesy of Northern Hardwoods)

LANSING — Today, Governor Gretchen Whitmer and the Michigan Economic Development Corporation (MEDC) announced business investments and community revitalization projects in Michigan’s Upper Peninsula that will represent more than $5.5 million in capital investment and protect 85 good-paying jobs in the region.

“Today’s projects will generate more than $5.5 million in investment and protect 85 good-paying jobs in Houghton and Schoolcraft counties,” said Governor Whitmer. “From an upgrade to reduce operating costs and emissions at a wood mill to more housing in downtown Manistique, we are moving forward with our comprehensive economic development strategy to win projects, invest in places and support people. We will continue to work to add more tools to our economic development toolkit so we can help more companies expand and support developers as they build more affordable housing. Together, we will continue to prove that Michigan is the best place to live, work and invest.”

“Today’s announcement reinforces Team Michigan’s commitment to people, projects and places by supporting business development, ensuring job retention and focusing on community revitalization efforts in the UP,” said MEDC Senior Vice President of Regional Development Matt McCauley. “We applaud the commitments of Northern Hardwoods and Cedar Street Real Estate in their efforts to succeed in Michigan.”

Northern Hardwoods Lumber has announced plans to invest in and install a new biomass boiler and backpressure steam turbine at its Atlantic Mine facility in Houghton County. Investing in facility improvements will provide the opportunity to reduce operating costs and greenhouse gas emissions, leading to a more energy-efficient process. The investments will also add longevity to the company’s operations and the maintenance of 85 jobs in the city. Without this investment, the company would have to close its doors at the end of the current boiler’s life cycle.

The company is anticipating $4,750,000 in capital investment supported by a $250,000 grant from the Michigan Strategic Fund’s Michigan Business Development Program. The 85 jobs that will be protected as a result of this investment will have average wages of $23.76 per hour plus benefits, $4.50 per hour above the regional average wage. In addition to support from MSF, the company also received a $1,000,000 Wood Innovations Grant from the United States Department of Agriculture (USDA).

The investment in Northern Hardwoods further expands how Michigan is positioned to compete and win projects that create and protect good-paying jobs, while also positioning the state as a leader on climate action through the MI Healthy Climate Plan and policies federal macroindustrial policies such as the CHIPS Act, the Reducing Inflation Act, and the Infrastructure Investment and Jobs Act.

“Northern Hardwoods continues its long history of providing good-paying jobs by processing some of Michigan’s highest-value lumber from the hardwood forests of the Upper Peninsula,” said Jeff Ratcliffe, Executive Director of the Keweenaw Economic Development Alliance. “We are proud to support their continued investment in our community and appreciate MEDC’s financial support of Northern Hardwoods’ efforts to improve capacity and efficiency and continue to be a major employer in Keweenaw.”

The company’s parent company, JM Longyear, is a privately held company in the Upper Peninsula of Michigan that acquired Northern Hardwoods Lumber, LLC in 2015. Northern Hardwoods is a hardwood lumber mill originally built in 1969 that currently produces 20 million square feet per year .

“Northern Hardwoods is deeply grateful for the support of the Michigan Economic Development Corporation,” said Cody Meier, Director of Financial Planning and Analysis at JM Longyear. “The project to install a new biomass boiler and steam turbine will allow us to continue operations, retain our talented workforce and further utilize the renewable resources that Michigan’s Upper Peninsula offers.”