Quaker poised to start $19.8M expansion
Wednesday, May 21, 2008
MIDDLETOWN — Quaker Chemical Corp. officials announced at the Butler County Port Authority meeting Tuesday, May 20, that they are ready to move on the $19.8 million expansion project at the Middletown facility, which has been in the works for several years.
Sean Fraunfelter, financial director for the port authority, said the company should break ground on the 12,000-square-foot addition in August.
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The expansion will triple production at the blending plant located on 3431 Yankee Road.
The plant employs 40 and Quaker officials said that number could double within the next three years.
Quaker will transfer all production, except for metalworking fluids, from its Detroit plant to the Middletown site.
This includes production of steel, cleaner and hydraulic fluids, the company said.
The centralization of the company's operations in the new Middletown facility will allow it to lower manufacturing costs and improve Quaker's cash flow by $3 million annually, said Ronald Naples, company chairman and CEO.
The expansion, funded in part by a $3.5 million Ohio Department of Development loan and $10 million in industrial bonds through the port authority, is Quaker's third investment in the facility since acquiring it from United Lubricants in 2002.
Company officials said the expansion should be completed in 2009.
Fred Sansom, global director for operations at Quaker, said the company appreciates the efforts made by the city of Middletown and the port authority "to bring this project to fruition" after numerous delays due to funding issues.
Quaker manufactures process chemicals primarily for the steel and metalworking industries.
