Sandvik and Alpha Metallurgical Resources to build new $25 million West Virginia factory

Sandvik and Alpha Metallurgical Resources (AMR) will build a new $25 million factory for rock bolt and resin capsule manufacturing in West Virginia, according to a statement from the governor’s office. The planned 100,000-square-foot factory is expected to create 120 new jobs.

According to the governor’s office, the factory will be operated by a joint venture between Sandvik and AMR and support Sandvik’s Ground Support division, which produces bolts, cables, and other industrial equipment used for stabilizing ground for mining operations.

Sandvik will hold a 51% stake in the business, with AMR owning the rest, in addition to a long-term exclusive supply agreement.

AMR is a Tennessee-based mining company that mainly produces coal, including metallurgical coal used in blast furnaces. Sandvik Group is an industrial technologies company that includes among its offerings products for manufacturing and mining tools.

What people are saying

"Re-entering the U.S. ground support market with a local manufacturing presence is strategically important, and this initiative will allow our Ground Support business to strengthen customer relationships, shorten lead times and build a scalable platform for long-term growth in North America," said Mats Eriksson, President of Sandvik Mining.

"Creating this joint venture with Sandvik is a step in securing our supply chain by manufacturing more of our mining materials here in Central Appalachia," said Andy Eidson, Chief Executive Officer of Alpha Metallurgical Resources. "We are excited about the expected benefit to Alpha and, more broadly, to West Virginia."

“This partnership between Sandvik and Alpha Metallurgical Resources is another sign that West Virginia is competing and winning in the manufacturing and energy sectors,” said Governor Morrisey. “This new manufacturing facility will strengthen critical supply chains, support high-paying jobs, and reinforce West Virginia’s role as a leader in industrial production and energy development.”

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