The Lufkin foundry, which began operating in 1902, produces iron castings used to make Lufkin beam pumping units and Lufkin power transmission equipment.
GE plans to demolish 30 000 sq ft of its existing 515 000 sq ft facility and build 72 000 sq ft of new buildings.
The company will also refurbish the remaining facilities at the site.
The facility upgrades will create a simplified production process flow, improve employee working conditions and provide customers with improved quality and delivery schedules.
“We chose to invest in modernizing and improving our existing foundry because of the rich history and dedicated, skilled workforce associated with the Lufkin operation here in Texas,” said Jerome Luciat-Labry, president of Well Performance Services for GE Oil & Gas. “The goal is to make the facility as efficient as possible and help strengthen the competitive position of our business around the world. We are excited about continuing to support manufacturing jobs in the United States and especially here in Angelina County where Lufkin Industries began.”
Design work for the project is expected to begin this year. Pending government approvals and permits, construction will be carried out in four phases starting in 2016, with construction expected to be completed in about three years.
GE acquired Lufkin Industries in 2013 for approximately US$3.3 billion.
