Posts Tagged ‘Christine Logan’

Article courtesy of the Las Cruces Sun-News

By Brook Stockberger/Sun-News Business Editor

LAS CRUCES – “Las Cruces, manufacturing hub!”

Well, southern New Mexico’s largest city might not gain that moniker anytime soon, but the reality of an operating Spaceport America north of town and the start of construction on a $400 million Union Pacific Railroad facility south of town, has spurred increased interest in Las Cruces among manufacturing and logistics companies.

According to a recent quarterly report, the Mesilla Valley Economic Development Alliance says that 65 percent of all new leads are in the manufacturing sector.

“This is a great area to be growing in because manufacturing/logistics generally involves paying local people and local suppliers to make things that people outside the region pay for,” said Christine Logan, economic development administrator for the city of Las Cruces.

L&M Radiator and Alaska Structures both moved into town and created manufacturing jobs. That was welcome news that came on the heels of a stretch last decade in which Las Cruces lost Parkview Metals, Rea Wire Magnet Wire and manufacturing jobs with Taylor Precision Products. “Both of these companies moved from El Paso to Las Cruces,” Logan said. “A big factor was that we had facilities here that they could move into and expand their operations. A recurring theme in the city’s economic development efforts has been the need for existing industrial space.”

Minnesota-based L&M had a facility in El Paso, but outgrew that location and turned its eyes north across the state border. “Our business has seen a tremendous amount of growth over the last year,” L&M Radiator President Dan Chisholm said when the company decided to move. L&M, which makes cooling systems for heavy machinery, is leasing about 52,000 square feet of manufacturing and warehouse space on South Valley Drive.

In addition, TE Connectivity, an electronics component manufacturer, will relocate 100 jobs to its Santa Teresa plant from El Paso. “In the next three years, we’re hoping those 100 jobs grow to 250,” said Jerry Pacheco, vice president of the Border Industrial Association.

According to the city’s most recent economic development report, the manufacturing business category makes up just 1 percent of the businesses and 4 percent of the jobs.

Still, Davin Lopez, president and CEO with MVEDA, said that the area is increasingly showing up on companies’ radar. MVEDA works to bring companies to Doña Ana County and to help those already here expand. “We continue to see manufacturing leads increase as a percentage of total leads developed,” Lopez said. “This category also includes logistics companies. Whereas this category accounted for approximately 39 percent of all leads in the last fiscal year, we have seen it grow to 65 percent of in the first quarter of this year.”

Both Logan and Lopez said that the Union Pacific facility in Santa Teresa plays a major role. “Over the past 12 to 18 months, we have received greater interest from manufacturing and logistics firms due to the Union Pacific announcement,” Lopez said. “A $400-million-plus investment catches attention both regionally and nationally.

“It has enabled us to not only showcase opportunities in and around the Santa Teresa region but also to bring greater attention to the Las Cruces region where we happened to have existing facility space that fits the needs of some of these companies,” he said.

“We are getting more attention lately because, No. 1, we had vacant facilities to accommodate companies,” Logan said. “No. 2, there is pent-up demand for manufacturing space since no one wanted to expand or relocate in the worst of the economy and, No. 3, the proximity to the Union Pacific intermodal facility makes this a great place to locate a manufacturing facility.”

Brook Stockberger can be reached at (575) 541-5457

Las Cruces Bulletin photo by Samantha Roberts

Article courtesy of the Las Cruces Bulletin

By Samantha Roberts

You have to see it to believe it. The research on algae biofuel at Sapphire Energy could change the world, literally. Research and development measures at the compound could lead to replacing millions of gallons of transportation fuel a year with pond scum.  Currently, New Mexico is a leader in the world in terms of algae-based production because of its environmental conditions.

“Algae like the hot weather and lots of sunshine,” said Tim Zenk, vice president of corporate affairs for Sapphire Energy. “It even likes the slightly cooler temperatures during a New Mexico winter.”

“Algae also like brackish water,” said Denise Gitsham, Sapphire’s director of corporate affairs and legislative council. “Southern New Mexico has an abundance of salty water perfect for algae growth. And we are only using land that can’t be used for other purposes. We are not competing for drinking water or agricultural land. “We are creating the first above-ground renewable oil field.”

These reasons have led Sapphire Energy to name Las Cruces as its research and development facility, a component that will remain when the Columbus, N.M., site, which is currently under construction, is completed. Sapphire Energy started in 2007. The company has 155 employees across three facilities and more than 50 employees in Las Cruces.

“Sapphire purchased 10 acres at market value and promised to invest $6 million and create 30 jobs in three years,” said Christine Logan, economic development administrator for the City of Las Cruces. “In exchange, the city made 90 acres available at no cost. Sapphire surpassed their (promise) short of a year and a half.”

Las Cruces serves as a testing and development center, operating plot farms. The area is small in comparison to commercialization of the algae product and what will be done in Columbus but large by world standards, Zenk said. “We understand the business principles to make commercialized algae biofuel successful,” Zenk said. “We know we have to be concerned about crop protection, (fuel) extraction and crop yield as well as the biology and engineering behind the process. “Historically, 99 percent of crude oil has come from diatoms and algae. If Mother Nature can do this naturally, then so can we in petri dishes. And then take that to small ponds, to large ponds and to commercialization.”

Currently, the Las Cruces facility is operating at four different levels – petri dishes, small ponds, runway ponds and large ponds. The Columbus facility will have more large ponds connected back to back. “Our (final) goal is to produce 5,000 gallons of oil per acre per year,” said Bryn Davis, New Mexico operations manager.

Once the biofuel is capable of being produced on a large scale, Zenk said Sapphire’s initial target client will be the U.S. Department of Defense (DOD). “The DOD has led the way for every energy change,” Zenk said. “There is strategic planning going on right now for the next (energy) transition. There will be an opportunity to be at the forefront of this technology, and a big proposal will soon be released by the U.S. Navy asking for large scale efforts to supply biofuels.”

The Navy is going to look at communities with the technology and the community support. They don’t want to push a technology on a community that doesn’t want it. Therefore, it is very important for the Las Cruces community and southern New Mexico to rally around our efforts and see the benefits for all sectors.”

Zenk said the request for information was due at the end of September. “The (request for proposal) will be released around the beginning of next year,” he said.

The Columbus site is expected to open by the spring or summer of 2012 with 100 acres and will spread over 300 acres upon final completion in 2015. Columbus is expected to produce 100 million gallons of diesel fuel per year. At phase three, the Columbus site will be a demonstration facility that Sapphire hopes to use as an example, attracting investors.

“At that scale, the site will demonstrate operations for a larger facility,” Davis said. Davis said there is little time to talk about algae because developments are happening so quickly. “We are competing with other nations,” he said. “When we broke ground in Las Cruces, I was already shopping for the land in Columbus. We have to think about the next step because there is not a lot of time.”

“China’s No. 1 objective is to develop a new source of energy,” Zenk said. “It is us versus them. We can fight over energy or develop a new source. It is the only hope for our military.”

New Mexico State University also has a large role to play in Sapphire’s success.

“Our goal is to create a center of excellence with advanced biofuels,” said City Councilor Nathan Small.

Currently, more than $15 million has been invested into the Las Cruces community, and Sapphire Energy has hired more than 50 people – many NMSU and Doña Ana Community College graduates – for the Las Cruces facility. Spin-off business will also be created through growth of Sapphire and commercialization of the algae biofuel.

“We use a large amount of CO2,” Zenk said. “To produce one gallon of algae fuel, we use about 20 to 25 pounds of CO2. Finding a consistent source of carbon dioxide is crucial. The pipeline in Lea County is very valuable to us. I can also see a business in managing CO2.”

Gitsham said she expects to see more graduates of NMSU and DACC staying in southern New Mexico as a result of the work at Sapphire.

“We are still at the dawn of the algae business,” Zenk said. “The biology is only four years old, and there is still a lot more ahead of us. If someone told you they knew everything about algae biology, they are probably lying.”

Article courtesy of Las Cruces Sun-News

By Brook Stockberger

LAS CRUCES – A Minnesota-based company that manufactures large radiators and other cooling systems plans to set up a location in Las Cruces in the building that used to house the Coca-Cola Bottling Co. at 2100 S. Valley Drive.

Edgar Lopez of Investment Management Associates Inc., and a board member of the New Mexico Border Authority, said that L&M Radiator Inc. of Hibbing, Minn., could hire as many 60 workers by July and ultimately as many as 200 as the facility operates multiple shifts.

“They make huge, industrial-sized radiators,” said Lopez, whose company performs property management and retail development. Lopez’s company represented the bank after the building was repossessed, he said. Eventually L&M Radiator, which mothballed a plant in El Paso two years ago, took interest in the location.

“These will be great jobs,” Lopez said. “Not just minimum-wage jobs, but skilled jobs.”

Christine Logan, the city’s economic development administrator, and Davin Lopez, CEO and president of the Mesilla Valley Economic Development Alliance, confirmed the news. Lopez said his organization can be of assistance to the company.

“We are currently looking to work with them on job training dollars and federal job hiring incentives,” Lopez said.

A message left with L&M Radiator’s home office was not returned by Tuesday afternoon. Lopez said he expects the company to soon issue a news release about hiring plans.

L&M Radiator laid off 67 workers in 2009 at its plant at 6966 Market St. on the east side of El Paso. The plant had been in operation in El Paso for 30 years. A downturn in the oil/gas and mining industries – L&M’s main customers – coupled with the recession substantially reduced sales, the company reported at the time.

L&M Radiator, which also has locations in Mexico, Australia and Germany, makes cooling systems for heavy machinery, buses, oil field equipment and others. It sells products under the brand name MESABI flexible core heat exchangers.

Vic Kolenc of the El Paso Times contributed to this report.

Brook Stockberger can be reached at (575) 541-5457.

Article courtesy of the Las Cruces Bulletin

Bulletin Staff Report

About two dozen Mexican investors will meet with local business owners and industry experts during the Hispano Chamber of Commerce de Las Cruces’ Reverse Trade Mission Friday, March 18, at the Las Cruces Convention Center, 680 E. University Ave.

According to the Hispano chamber, the objectives of the mission are to showcase the potential growth areas in the Las Cruces region to foreign investors; introduce foreign investors to existing businesses in the area and provide an opportunity to expand their product lines and create joint-ventures; introduce foreign investors to entrepreneurs in the Las Cruces region; and to create new jobs in the Las Cruces area.

“This is a first for the Hispano chamber, but it’s an event we plan to hold every year to remind foreign investors of the opportunities our area has to offer,” said Peter Ibarbo, Hispano chamber board member and chair of the chamber’s Economic Development Committee. “We are expecting 25 investors from Mexico to come to the area and tap into local resources and expertise in a mutually beneficial, business-to-business setting.”

Investors will explore local industries related to hotel and tourism development, café and restaurant development, product distribution center development, maquiladora supplier development, alternative energy infrastructure development and real estate development.

The day will begin at 1:30 p.m. with a lunch session for the investment delegation featuring welcoming remarks from John Munoz, Hispano chamber president, and Ken Miyagishima, Las Cruces mayor. Introductions by Las Cruces Economic Development entities will be given by Kevin Boberg of the Arrowhead Center and Christine Logan of the City of Las Cruces Economic Development Department.

A pre-qualified business-to-business session with potential business partners and associates will take place from 2:30 to 5:25 p.m. From 5:30 to 6 p.m., local attorneys will speak on tax and fiscal issues regarding bi-national business activities and business immigration visas.

U.S. Rep. Steve Pearce has been invited to give the opening remarks for the 6 p.m. dinner, to be followed by a presentation on the Spaceport America supply chain by Wayne Savage, chair of the Commercial Space Committee for the Greater Las Cruces Chamber of Commerce. Odes-Armijo Caster of the Albuquerque- based Sacred Power Co. will talk about solar energy initiatives and developments in New Mexico.

Individual ticket prices are $17.50 for Hispano chamber members, which includes full access to business-to-business sessions and dinner, and non-member ticket prices are $25 for access to the business-to-business sessions only, $35 for business- to-business sessions and dinner and $27.50 for dinner only tickets.

To learn more or to purchase a ticket, call Ibarbo at 621-5240 or email peter@ibarbogroup.com.

Article courtesy of Las Cruces Sun-News

By Steve Ramirez

LAS CRUCES – To buy or lease? That is the question for SunEdison. The answer could mean at least an additional $1 million profit to the city.

In consecutive weeks, SunEdison, a global leader among solar companies, has entered into one-year options with the city of Las Cruces to either buy or lease city land to develop and operate a solar generation plant. Monday, the Las Cruces City Council unanimously approved a proposed sale agreement with the company that could bring as much as $1.2 million to the city’s West Mesa Economic Development Fund.

Last week, the council approved a lease agreement that has the possibility of raising as much as $2.3 million during a 30-year term stipulated in the agreement. Those proceeds would go to the city’s Airport Fund.

Both agreements include one-year options to enable company officials and engineers to conduct feasibility and technical tests to determine the best location for the solar generation plant. The option year is also expected to provide SunEdison with enough time to learn if a proposed power purchase agreement with El Paso Electric is approved by the New Mexico Public Regulation Commission. Those options include a $1,000 payment to the city, and there is a provision that if another option year is needed, SunEdison would pay the city $1,500 for the extra year.

Christine Logan, city administrator for economic development and revitalization, clarified to the council and city administrators there will only be one solar generation plant. “Contrary to prior information, it’s important that the public understands that there is potential for only one solar project on the West Mesa,” Logan said. “The purchase agreement is one of two options SunEdison is considering, and they will pick one of them.”

SunEdison has entered into a planned power purchase agreement with El Paso Electric. That agreement calls for SunEdison to sell 24 megawatts of solar power to the utility. El Paso Electric Co. provides electricity to about 80,000 customers in southern New Mexico, most in Las Cruces.

The proposed power purchase agreement has been submitted to the New Mexico Public Regulation Commission, and Jared Schoch, Southwest Regional Sales Manager for SunEdison, said company officials are hopeful PRC approval could happen within the next few months. “We’re hopeful there will be a decision by the end of December,” Schoch said.

If the purchase power agreement gets PRC approval, SunEdison would be able to increase its solar power production in North America by more than 21 percent. According to the company’s website, it currently manages more than 112.5 megawatts of photovoltaic solar power plants in North America, not including the 24 megawatts it wants to produce for El Paso Electric.

To produce 24 megawatts of photovoltaic power, Logan said SunEdison would probably need a generation plant of 150 to 170 acres. The location for the potential facility at the West Mesa Industrial Park is south of F&A Dairy and adjacent to a city wastewater treatment plant that serves the industrial park.

But whether SunEdison buys or leases city land, city officials still believe the deal is worth consummating. “This is a good project to go with,” Councilor Gill Sorg said.

Some residents aren’t as concerned about the city selling or leasing the land, as much as they have questions about how the proposed generation plant will affect their future monthly electric bills. “I haven’t heard, and would like to know, if this solar generation plant is going to be able to lower our bills,” said Kyle Ivery, a retired draftsman who has lived in Las Cruces for about eight years. “It makes complete sense that a company like that would be interested in coming to Las Cruces. But I hope there’s some kind of incentive or motivation to help out the local guy who lives here.”

Steve Ramirez can be reached at (575) 541-5452.