THE VIRGINIAN-PILOT
Copyright (c) 1995, Landmark Communications, Inc.
DATE: Thursday, March 9, 1995 TAG: 9503090408
SECTION: BUSINESS PAGE: D1 EDITION: FINAL
SOURCE: ASSOCIATED PRESS
DATELINE: CHARLESTON, S.C. LENGTH: Medium: 57 lines
Nucor Corp. chose South Carolina over Virginia on Wednesday for a new $500 million steel mill which will bring with it 600 jobs averaging $55,000 a year, state and local officials confirmed.
``This is a 10. This is the big fish. It's the No. 1 opportunity we've been looking for with the base closure,'' Berkeley County Supervisor Jim Rozier said.
Gov. David Beasley's office said the formal announcement of one of the largest industrial investments in the state history would come Thursday in Moncks Corner.
``If they're saying that, I have to go along with what they're saying,'' said Kenneth Iverson, Nucor's chairman and chief executive. ``This is a great new project and of course we're all excited about it.''
Iverson said that the mill is expected to create up to 500 jobs for suppliers and others in the community.
But Rozier said the total impact would be closer to 2,500 jobs for the area.
Charlotte, N.C.-based Nucor had narrowed its choices to West Point, Va., and the site outside Charleston for the mill which will manufacture flat-rolled sheet steel for cars and appliances.
In January, the company appeared to be leaning toward the Virginia site. At the time, Nucorsaid it was not receiving the tax and electric rate breaks it needed to locate in South Carolina.
South Carolina lawmakers later passed legislation which would allow Santee Cooper, the state-owned electric utility, to give Nucor the rate breaks it needed by selling power directly to the company.
Negotiations continued through late Tuesday night. A letter of intent to come to South Carolina was signed Wednesday morning, said T. Graham Edwards, the president and chief executive officer of Santee Cooper.
He said the power rates clinched the deal for South Carolina.
Under the agreement, Santee Cooper will provide Nucor a ``real time'' rate where power will be priced each hour of the day. Than means Nucor will be able to reduce power use to save money during peak periods such as hot summer afternoons.
The plant's power bill will be about $2 million a month.
``Over the last week, I felt like we were getting close and talks were improving,'' Edwards said. ``I think they did want to come to South Carolina because they already have a plant here.''
Iverson would not discuss why the company selected South Carolina over Virginia. ILLUSTRATION: Map
by CNB