Gas Pipeline to Expand and Add Jobs

Feb 1, 2012

Southern Star Central Gas Pipeline will expand its presence in Owensboro and construct a second facility for its headquarters expansion. The nearly $5.3 million project will help create up to 20 new jobs over the next few years, according to a press release from Gov. Steve Beshear's office. Southern Star is an interstate natural gas transmission and storage system spanning approximately 6,000 miles and serves customers in seven states.

The Owensboro headquarters, located at 4700 Highway 56, currently employs 167 Kentuckians full-time. The expansion project, which is expected to be completed by the end of the year, will include additional office space, training and conference facilities and records storage in eastern Daviess County.

“The incentives provided by the Commonwealth help ensure we can continue to grow here,” Jerry Morris, president and chief executive officer for Southern Star, said in the press release. “We’ve found Owensboro to be a good location for our corporate headquarters. This community provides a great quality of life for our employees. From Owensboro, we are able to provide effective support to our Midwest-based customers and employees. We’re proud to provide so many professional-level positions for the community and excited about adding to those numbers.”

To encourage the investment in Owensboro, the Kentucky Economic Development Finance Authority preliminarily approved the company for tax incentives up to $275,000 through the Kentucky Business Investment program.

KEDFA also approved Southern Star for tax benefits up to $100,000 through the Kentucky Enterprise Initiative Act, which allows approved companies to recoup Kentucky sales and use tax on construction costs, building fixtures, equipment used in research and development, and electronic processing equipment.

“Thank you, Southern Star, for your confidence in our community,” Daviess County Judge-Executive Al Mattingly said. “This capital investment will create new good-paying jobs for our citizens, and the resulting increase in the tax base will help all concerned.”