Teal-Jones Group to invest $21 million and create 67 new jobs in Henry County
RICHMOND — At events in Martinsville and Kinsale, Governor Ralph Northam today announced that British Columbia-based Teal-Jones Group is investing a total of $31.75 million to expand sawmill and dry kiln operations at two recently acquired lumber mills in Virginia. At Pine Products Inc. in Henry County, the company will invest $21 million and create 67 new jobs and at Potomac Supply, LLC in Westmoreland County, the company will invest $10.75 million and create 59 new jobs. Virginia successfully competed with Oklahoma and Washington for the projects, which will include new equipment and updates to the facilities. The company is committing to source 100 percent of its net new timber purchases from the Commonwealth, which over the next four years is expected to top $100 million.
“This major investment by Teal-Jones Group in Virginia’s forestry industry is evidence of the world-class workforce, critical infrastructure, and abundant natural resources that make our Commonwealth the best place for business,” said Governor Northam. “Wood products companies across all parts of the world continue to deepen their roots in Virginia, and we are thrilled to see this momentum continue with Teal-Jones Group’s decision to expand in the Commonwealth. Together, these projects will bring new jobs and economic vitality to our rural communities and help create the markets needed for sustainable forest management.”
In operation since 1946, Teal-Jones Group is the largest privately held forest products company operating on the West Coast of Canada. The family-owned company, headquartered in Surrey, British Columbia, operates eight mills in Canada, as well as mills in Antlers, Oklahoma, and Suma, Washington. Combined, these projects represent the company’s largest new investment in the United States to date.
“Teal-Jones Group’s decision to create a total of 126 new jobs and nearly triple its lumber production in two rural regions of the Commonwealth is a tremendous win for Henry and Westmoreland Counties, Virginia’s forestry sector, and the industry employees and forestland owners,” said Secretary of Commerce and Trade Brian Ball. “Abundant raw materials and an advanced logistics infrastructure have made Virginia the location of choice for wood products companies from around the world, and we are thrilled that an international company of Teal-Jones Group’s caliber will make this significant investment in the Commonwealth.”
The Teal-Jones facilities in Virginia manufacture dimensional Southern yellow pine lumber in a variety of grades and sizes. Most product is kiln-dried and sold to a variety of manufacturers, retailers and wholesalers, both domestic and international, for use in a wide range of construction and project applications. The company’s investments in state-of-the-art sawmills, dry kilns, and other manufacturing equipment will help ensure a strong market for forestland owners in the region.
“With 62 percent of the Commonwealth covered by forestland and two-thirds of that land privately owned, having a robust forest products industry in Virginia is crucial for strong rural economies and to incentivize landowners to actively manage their lands,” said Secretary of Agriculture and Forestry Bettina Ring. “I am thrilled with today’s announcement by Teal-Jones and look forward to a long partnership with them to support and grow Virginia forestry, which is the Commonwealth’s third-largest private industry.”
“We have absolutely amazing crews down here in Virginia, and the community support and welcome from Henry County and Westmoreland County during the transition has been incredible,” said Dick Jones, CEO and President of Teal-Jones Group. “Every step of the way, the folks at VEDP, VDACS, and the local economic development arms have been looking for ways to help us build a stronger foundation for our mills and employees. We plan on putting down deep roots here in Virginia and want to thank Governor Northam, the Commonwealth, and Henry and Westmoreland counties for welcoming us with open arms and making us feel at home.”
Partnering closely with the Martinsville-Henry County Economic Development Corporation and Westmoreland County, the Virginia Economic Development Partnership (VEDP) collaborated with the Virginia Department of Agriculture and Consumer Services (VDACS), the Virginia Department of Forestry, and The Port of Virginia to bring both projects to Virginia. Governor Northam approved a $200,000 grant from the Commonwealth’s Opportunity Fund (COF), as well as a $200,000 grant from the Governor’s Agriculture and Forestry Industries Development (AFID) Fund, to assist Henry County in securing the project. The Governor also approved grants of $125,000 each from the COF and the AFID Fund to assist Westmoreland County with the project.
The company is eligible to receive Sales and Use tax exemptions on manufacturing equipment, as well as benefits from The Port of Virginia Economic and Infrastructure Development Zone Grant Program for the projects. Teal-Jones Group also qualifies for state benefits from the Virginia Enterprise Zone Program, administered by the Virginia Department of Housing and Community Development. Funding and services to support Teal-Jones Group’s job creation will be provided through the Virginia Jobs Investment Program (VJIP).
“Henry County is thrilled that Teal-Jones chose to become a part of our community and now will expand operations here,” said Jim Adams, Chairman of the Henry County Board of Supervisors. “The company is a great fit for our workers, and we look forward to continuing our partnership for many years to come.”
“I am pleased that Teal-Jones Group has chosen to expand its Potomac Supply facility in Kinsale,” said Darryl Fisher, Chairman of the Westmoreland County Board of Supervisors. “Growth at Potomac Supply means additional jobs and investment in our county and they continue to have a very significant and growing economic impact in the Northern Neck.”
“The timber industry has always been and continues to be a very important industry sector in the Northern Neck Region,” said Jerry W. Davis, Executive Director for the Northern Neck Planning District Commission. “These growth plans are consistent with the region’s ‘Comprehensive Economic Development Strategy,’ and we are grateful to Teal-Jones Group for making this investment in Westmoreland County.”
“This announcement will result in jobs and economic investment in Virginia, and we are happy to join Henry and Westmoreland counties and VEDP in welcoming Teal-Jones Group to Virginia,” said John F. Reinhart, CEO and Executive Director of The Virginia Port Authority. “Teal-Jones is a world-wide exporter of forest products, and The Port of Virginia is ready to serve as the company’s East Coast gateway to world markets. We are looking forward to working with the company’s logistics team to promote and export Virginia forest products around the globe.”
“On behalf of The Harvest Foundation, it is my honor to welcome Teal-Jones Group to Martinsville-Henry County,” said David Stone, Chairman of The Harvest Foundation Board of Directors. “We look forward to the company’s longstanding success, and we are thrilled that Teal-Jones Group has chosen to locate in our beautiful community and acquire a developing business with strong roots. Martinsville-Henry County is a unique locale with a rich population of dedicated, hardworking residents. We welcome the exciting opportunities that Teal-Jones Group will bring to our area.”
“Forestry has a strong presence in Virginia’s agricultural landscape,” said Congressman Morgan Griffith. “Teal-Jones’ decision to invest $21 million and create 67 new jobs in Henry County embraces our strength in forestry and will provide a significant boost to the local economy. It is also a tribute to our area’s workers and economic strengths.”
“The agriculture and timber industries are two of the largest employers in our region, and are the backbone of Southside’s economy,” said Senator William Stanley. “Teal-Jones Group’s partnership with the citizens of Henry County is not only a ‘natural fit,’ but also will be a successful mutual endeavor, both now and for years to come. I want to thank my friend Governor Northam for utilizing the AFID Fund to make this happen. I was proud to have been the Chief Sponsor of the AFID Fund bill nearly 10 years ago, and this economic opportunity fund continues to strengthen our community and local agriculture and timber industries.”
“Southside Virginia is the ideal place for this type of investment,” said Delegate Les Adams. “With our strong and enduring agricultural heritage coupled with the exceptional work ethic of our people, this expansion is poised for success.”
“I am thrilled to see Teal-Jones Group investing in Potomac Supply, LLC in Westmoreland County to create 59 new jobs,” said Congressman Rob Wittman. “Potomac Supply, LLC is committed to providing top-quality products and services to its consumers, and I hope this investment will be the beginning of a promising partnership with Teal-Jones. The Commonwealth remains the best place to do business in this nation and I will continue supporting pro-growth policies that allow hardworking Virginians to thrive.”
“I am confident that Teal-Jones Group’s significant investment in Potomac Supply’s Westmoreland County facility is just the beginning of a mutually beneficial partnership that will bring more jobs and economic opportunity to the region,” said Senator Ryan McDougle. “The company’s decision is a testament to the great community and business-friendly environment that Westmoreland County and Virginia have to offer.”
“We are thankful for the investment in our community,” said Delegate Margaret Ransone. “Potomac Supply has been a family-oriented business for our region for generations. We appreciate Teal-Jones Group investing in the expansion of this profitable company. We are fortunate to have such a large manufacturer in our rural community providing good jobs with benefits to our families. We continue to enhance employment opportunities for younger families to remain in the rural community, and investments in our existing manufacturers like Potomac Supply is critical for our success.”
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