O-I Glass broke ground Friday on its first new facility in nearly two decades. The Bowling Green, Kentucky, plant is designed to leverage its modern glassmaking technology and serve its premium spirits business in proximity to “the Bourbon Trail.” Announced last July, the up-to-$240 million investment in a 160,000-square-foot facility is expected to create 140 jobs.
The first phase of construction is slated for completion in mid-2024. O-I’s Scott Lachmiller, who is serving as the facility lead, said during the groundbreaking event that hiring is already underway.
This will be O-I’s first facility purposely built for its modular advanced glass manufacturing asset, or MAGMA, technology. The company has touted MAGMA as a key innovation for the company going forward that will reduce the environmental footprint of production through a flexible, modular approach featuring a smaller melter. The company expects MAGMA will “enable advanced technologies, including ULTRA light-weighting potential, on-off capability, and can include feed-forward and feed-back control loops to promote premium quality glass,” according to the announcement.
O-I believes the technology will set “new standards in sustainable glass manufacturing.”
“This facility will showcase our next-generation capabilities, from a new modular batch system, the MAGMA melter, and new forming machines to sustainability advancements and the look and feel of the factory itself,” said CEO Andres Lopez. “Here, in Bowling Green, in proximity to the Bourbon Trail, this state-of-the-art facility will demonstrate the value of near-location and will be a key hub for future customer collaboration.”
This project received $5 million in state tax incentives, said Lt. Gov. Jacqueline Coleman during Friday’s event. “We are betting on O-I Glass and they are betting on Kentucky,” Coleman said.
O-I is set to update investors on the latest operations and financial results in an upcoming April 26 earnings call.
Other packaging companies have also recently announced expansions in the Southeast. In neighboring Tennessee, TPC Printing & Packaging last week announced a $21 million expansion in Chattanooga for production of high-end luxury packaging. And Berry Global on Friday announced it’s expanding its leading stretch film manufacturing facilities in Lewisburg, Tennessee, by 25,000 square feet.
