Gov. Ivey awards grant to Two Rivers Lumber in Kellyton
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Two Rivers Lumber Company currently operates a sawmill in Demopolis near where the Tombigbee and Black Warrior rivers meet. Last year the company committed to opening a second sawmill in Coosa County, with production expected to begin this year. Photo courtesy of Two Rivers Lumber
By Christa Jennings
Senior Staff Writer
Gov. Kay Ivey has awarded a $180,000 grant to support the construction of a new sawmill operation in Coosa County. The industry is expected to employ 130 people.
The grant to Alexander City will enable the city to provide water and sewer services to Two Rivers Lumber Company which is constructing a $115 million sawmill at the Lake Martin Regional Industrial Park near Kellyton.
Two Rivers Lumber Co. currently operates a sawmill in Demopolis that employs 145 people.
“Forestry is a big business in Alabama, and the construction of the Two Rivers Lumber sawmill in Kellyton demonstrates that the industry is strong in our state and continues to create new job opportunities,” Gov. Ivey said. “This plant will have a significant economic impact for Coosa and Tallapoosa counties and beyond. I am pleased to support this project.”
Two Rivers Lumber is being built on a 110-acre site in the industrial park off U.S. Highway 280 and McClellan Drive. Alexander City supplies water and sewer infrastructure to the industrial park.
Two Rivers is expected to begin production at the Kellyton plant sometime this year.
Although Ivey’s announced grant is going to Alexander City, Coosa County is excited about what it means for Two Rivers and its establishment near Kellyton.
“This grant is an extension of the sewer and water that Alexander City had already put into the industrial park,” Coosa County Commission Chair Lamar Daugherty said. “Lake Martin Area Economic Development worked closely with Alexander City and the elected officials there to get the extension in to further that project.”
Daugherty added that Coosa County’s contribution to that project is going to be the bridge across Cat Creek at the industrial park. He explained that Alexander City’s contributions were going to be the gas, sewer and water, which is what the recent grant is for.
However, Daugherty and the county are still excited about what the project means for Coosa County and the employment opportunities that the sawmill operation will provide once it’s in production.
“I am thrilled that they chose Coosa County, and so far they have been an absolute pleasure to work with,” Daugherty said. “Denise Walls with the Lake Martin Economic Development Alliance has been instrumental in this whole process, from the site selection to working with the people to securing the grants for Alexander City. She has been a godsend to Coosa County. I’m looking forward to them hiring employees, and I think it will be very beneficial to Coosa and the surrounding communities, as well.”
Two Rivers was established in 2017 by the owners of McElroy Truck Lines and Sumter Timber, both based in west Alabama. The Demopolis sawmill plant currently produces 200 million board feet per year.
The Alabama Department of Economic and Community Affairs is administering the grant from funds made available by the U.S. Department of Housing and Urban Development.
“This project, which will provide economic benefits and new jobs for the Coosa County and Alexander City areas, was made possible by a collaboration of many partners,” ADECA Director Kenneth Boswell said. “ADECA joins Gov. Ivey and local leaders in support of this project.”
Ivey notified Alexander City Mayor Curtis “Woody” Baird that the grant had been approved. Local funding of $190,000 has been pledged for the project.
Last April it was announced that Two Rivers planned to invest $115 million to build a state-of-the-art sawmill in Coosa County as the company’s second operation in the state. It was further announced at that time that after considering other locations, the company settled on the industrial park near the Town of Kellyton for its second site and that the company had committed to creating 130 jobs over a one-year period at the new Coosa County sawmill.
The positions will pay an average annual salary of just more than $51,000, according to data from the Alabama Department of Commerce.
Positions at the Coosa County sawmill will include operators for the sawmill and planer mill sections of the facility, shipping and receiving, maintenance technicians, and heavy equipment operators, as well as others.
Like the original Demopolis location, the Coosa County facility will specialize in the production of southern yellow pine dimensional lumber.
Last April it was initially reported that Two Rivers hoped to be in operation in the Lake Martin Regional Industrial Park by this August. The company still anticipates beginning production at Kellyton’s sawmill sometime this year, although an exact time frame has not been provided.
ADECA administers a wide range of programs supporting law enforcement and traffic safety, economic development, energy conservation, water resource management, and recreation development.
