An idled steel castings foundry in Keokuk may come to life again and create 200 jobs with approval of state incentives.

The Iowa Economic Development Board on Friday approved $1 million in loans and additional tax breaks to reopen the former Keokuk Steel Manufacturing Co. The plant was closed in March when its owner India-based Sanmar Group moved production to Mexico.

A new company called Keokuk Mills plans to reopen it to make steel products for manufacturers of agricultural, construction and utilities equipment. The new company has budgeted $6 million to get the plant running again and plans to pay $14.39 an hour.

At its peak the plant had 550 employees but when it closed permanently employment was around 220.

Keokuk Steel Castings announced it would close in December 2015. The company ran for 79 years and blamed falling demand in the oil and gas industry for its demise.

 

Source : kwqc.com

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