Cinis Fertilizer To Build New $109.2 Million Green Fertilizer Production Plant, Creating 65 Jobs in Hopkinsville

Project comes as part of agreement to recycle waste from battery producer Ascend Elements

FRANKFORT, Ky. (Dec. 12, 2024) - Today, Gov. Andy Beshear congratulated Cinis Fertilizer, a Sweden-based producer of green fertilizer, on plans to locate a new $109.2 million production plant in Christian County, a project that will create 65 new full-time jobs.

"Kentucky has worked hard to ensure that we see investment and job creation in every corner of the state, and Hopkinsville has continually been a hub for both," said Gov. Beshear. "This investment from Cinis Fertilizer builds on the economic growth Christian County has seen in recent years, and I'm excited to see this company thrive in its New Kentucky Home."

The company will construct a new facility at 200 Recharge Blvd. in Hopkinsville, with construction beginning mid-2025. The operation will recycle waste salt from battery production at the nearby Ascend Elements facility to produce low-carbon fertilizer. New jobs created at the facility will include, among others, process operators, warehouse personnel, process engineers and general administration.

This announcement from Cinis Fertilizer follows Ascend Elements' recent partnership with SK ecoplant to locate a $65.8 million lithium-ion battery recycling facility in Hopkinsville, a project that is creating 60 new full-time jobs in the area. The operation will recycle approximately 56,000 electric vehicle batteries per year with construction having begun in November 2023 and set to be completed by January 2025.

"We are very excited to be taking a first step outside the Nordics and continuing our expansion by establishing our next production facility in Hopkinsville," said Cinis Fertilizer founder and CEO Jakob Liedberg. "We will recycle waste streams from Ascend Elements to produce an environmentally friendly mineral fertilizer, enabling a more sustainable agriculture. We are grateful for the warm welcome we have received in Kentucky and look forward to becoming part of the community and contributing to the future of Hopkinsville."

Cinis Fertilizer was founded in Lund, Sweden, by Liedberg, a chemical engineer. With his background in the fertilizer industry, Liedberg knew of its benefits to agriculture and society but recognized that production wasn't sustainable and began to pursue strategies to decarbonize the agriculture industry. He saw potential for cross-fertilization, solving the waste issue and circularity for traditional industries while decarbonizing plant nutrition. Today, Cinis Fertilizer is producing their upcycled fertilizer in Sweden and has agreements in place to recycle waste from several battery manufacturers, including Ascend Elements. The company's patent-protected technology uses half as much energy as today's dominant production method, and the result is a potassium sulfate fertilizer with a low carbon footprint, enabling sustainable agriculture.

Christian County Judge/Executive Jerry Gilliam thanked the company for its commitment to the region: "Christian County is excited to welcome Cinis Fertilizer to our region with the company bringing Swedish innovation intersecting with Southwestern Kentucky's proven agricultural leadership and production. We thank company leadership for their commitment to invest in our region and are confident that they'll enjoy the logistical benefits and cost savings advantages while operating in Southwestern Kentucky."

Hopkinsville Mayor James Knight welcomed the company to the community: "The city of Hopkinsville welcomes Cinis Fertilizer to our community and region. We are honored company leadership chose our community for their over $109 million investment and subsequent creation of up to 65 new jobs once the company is fully operational in Commerce Park II. More important, we pledge ongoing support to ensure the company's success for decades to come."

Carter Hendricks, executive director of the South Western Kentucky Economic Development Council, mentioned the advantages to locating in the area: "Cinis Fertilizer's decision to choose Commerce Park II continues to demonstrate that our region has the location, workforce, business environment and quality of life to help companies succeed from announcement through every anniversary. We are thankful to the company's leadership, Gov. Beshear, the Cabinet for Economic Development, TVA, our local governments, education, workforce and utility partners for their continued support and professionalism as we work with world class companies like Cinis Fertilizer."

John Bradley, TVA senior vice president of economic development, mentioned the parties that worked together to make the project possible: "TVA and Pennyrile Rural Electric Cooperative Corp. congratulate Cinis Fertilizer on its decision to establish operations in Christian County. Helping to support companies, like Cinis Fertilizer, that are creating jobs and investment in the region is at the core of TVA's mission of service. We are proud to partner with South Western Kentucky Economic Development Council, city of Hopkinsville, Christian County and the Kentucky Cabinet for Economic Development to further that mission and celebrate this announcement together."

Cinis Fertilizer's investment and job creation build on the best four-year period for economic growth in state history.

Since the beginning of his administration, Gov. Beshear has announced more than 1,000 private-sector new-location and expansion projects totaling nearly $35 billion in announced investments, creating roughly 58,000 jobs. This is the highest investment figure secured during the tenure of any governor in the commonwealth's history and $13.5 billion more than the next highest total.

The robust job creation has been accompanied by rising wages across the commonwealth. The average incentivized hourly wage in 2022 and 2023 topped $26 in consecutive years for the first time.

Gov. Beshear has announced some of the largest economic development projects in state history, which have solidified Kentucky as the electric vehicle battery production capital of the United States: Ford Motor Co. and SK On's transformative $5.8 billion, 5,000-job BlueOval SK Battery Park in Hardin County; AESC's $2 billion, 2,000-job gigafactory project in Warren County; Toyota's $1.3 billion investment in Scott County; Shelbyville Battery Manufacturing's $712 million investment, creating 1,572 jobs in Shelby County; and INFAC North America's $53 million investment in Taylor County, among others.

The Governor's administration also secured the largest General Fund budget surplus and Rainy Day Fund, as well as the most jobs filled in state history. Last year, Kentucky set the record for the longest period with the lowest unemployment rates in state history.

Kentucky also secured rating increases from major credit rating agencies Fitch Ratings, S&P Global Ratings and Moody's Investors Service.

In March, Site Selection magazine ranked Kentucky third nationally and first in the South Central region for economic development projects per capita in its 2023 Governor's Cup rankings. In April, Site Selection placed Kentucky second in the South Central region and in the top 10 nationally in its 2024 Prosperity Cup ranking, which recognizes state-level economic development agencies for their success in landing capital investment projects.

Gov. Beshear announced a Supply Kentucky initiative with the goal of boosting job growth, reducing costs and providing more security in the supply chains of our Kentucky companies. And last month, the Governor announced a new initiative, called New Kentucky Home, to increase economic investment, attain and attract talent, and increase tourism across the state.

To encourage investment and job growth in the community, the Kentucky Economic Development Finance Authority (KEDFA) today preliminarily approved a 15-year incentive agreement with the company under the Kentucky Business Investment program. The performance-based agreement can provide up to $1.5 million in tax incentives based on the company's investment of $109.2 million and annual targets of:

• Creation and maintenance of 65 Kentucky-resident, full-time jobs across 15 years; and
• Paying an average hourly wage of $38, including benefits, across those jobs.

Additionally, KEDFA approved Cinis Fertilizer for up to $250,000 in tax incentives through the Kentucky Enterprise Initiative Act (KEIA). KEIA allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development and electronic processing.

By meeting its annual targets over the agreement term, the company can be eligible to keep a portion of the new tax revenue it generates. The company may claim eligible incentives against its income tax liability and/or wage assessments.

In addition, Cinis Fertilizer can receive resources from Kentucky's workforce service providers. Those include no-cost recruitment and job placement services, reduced-cost customized training and job-training incentives.

For more information on Cinis Fertilizer, visit Cinis-Fertilizer.com.

A detailed community profile for Christian County can be viewed here.

Information on Kentucky's economic development efforts and programs is available at CED.ky.gov. Fans of the Cabinet for Economic Development can also join the discussion at facebook.com/CEDkygov, on Twitter @CEDkygov, Instagram @CEDkygov and LinkedIn.

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