ST Tissue plans to expand use of former IP mill

Published 1:51 pm Wednesday, September 28, 2016

ST Tissue LLC is bringing 50 new jobs and investing $35 million into its plant in the southern end of Isle of Wight County.

Gov. Terry McAuliffe traveled to Isle of Wight Tuesday to make the announcement.

ST Tissue LLC, a manufacturer of high-quality tissue, towel and napkin products, will add a new tissue machine and hard wound towel line that will increase existing capacity by more than 45,000 tons annually. Virginia successfully competed against Wisconsin for the project. {mprestriction ids=”1,2,3,4,5,6″}

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 “In 2013, ST Tissue resurrected a former paper mill and converted it into a leading paper products manufacturing facility that continues to grow and thrive in Isle of Wight County,” said McAuliffe, speaking at the event.

International Paper, once one of Isle of Wight’s largest tax revenue sources, closed its paper mill operation in 2010. Two years later, the mill began manufacturing fluff pulp. Later that year, ST Tissue, as a subsidiary of Tak Investments Inc., began using a portion of the mill to manufacture recycled tissue.

Today, ST Tissue provides bath tissue, paper towels and napkins, which are sold to channels such as food service, lodging and office buildings. ST Tissue’s facilities produce its own 100 percent-recycled fiber, and have the capability to manufacture products with very high post-consumer fiber content.

 The Virginia Economic Development Partnership worked with Isle of Wight County and the city of Franklin to secure the project for Virginia. McAuliffe approved a $167,500 grant from the Commonwealth’s Opportunity Fund to assist Isle of Wight and Franklin with the project. The company is eligible to receive state benefits from the Virginia Enterprise Zone Program, administered by the Virginia Department of Housing and Community Development. ST Tissue will also be eligible to receive sales and use tax exemptions on manufacturing equipment. Funding and services to support the company’s employee training activities will be provided through the Virginia Jobs Investment Program.

 “We in Isle of Wight County, together with our neighbors in the city of Franklin, heartily embrace the expansion of ST Tissue,” said Rex Alphin, chair of the Isle of Wight County Board of Supervisors. “This multi-million dollar investment and the addition of many excellent jobs underscores the confidence business leaders have in the Hampton Roads region, and bodes well for the future of our communities.”  {/mprestriction}