Texas foundry to expand and modernize

GE Oil & Gas to invest $60 million in its gray iron ductile foundry in Lufkin, Texas.

GE Oil & Gas, Houston, has announced plans to invest $60 million to expand and modernize its foundry operations in Lufkin, Texas. The Lufkin foundry produces iron castings, which are used to make Lufkin beam pumping units and Lufkin power transmission equipment.

GE says it plans to demolish 30,000 square feet of the foundry’s existing 515,000 square feet and construct 72,000 square feet of new buildings. The company also plans to refurbish the remaining facilities at the site.

The Lufkin foundry originally began operating in 1902. GE notes that while there have been various upgrades to the foundry, the investment would provide the site with modern technology and practices to reduce emissions and boost production efficiency in an increasingly competitive global marketplace.

“We chose to invest in modernizing and improving our existing foundry because of the rich history and dedicated, skilled workforce associated with the Lufkin operation here in Texas,” says Jerome Luciat-Labry, president of Well Performance Services for GE Oil & Gas. “The goal is to make the facility as efficient as possible and help strengthen the competitive position of our business around the world. We are excited about continuing to support manufacturing jobs in the United States and especially here in Angelina County where Lufkin Industries began.

“By having its own foundry, GE Oil & Gas has a strategically integrated supply chain that allows the company to more rapidly meet the needs of its customers, particularly in the fast-growing unconventional oil and gas sector,” adds Luciat-Labry.

As currently proposed and pending government approvals and permits, construction would be carried out in four phases commencing in 2016. Under that schedule, construction is expected to be completed in about three years, the company says.

The foundry manufactures gray and ductile iron castings. The foundry is capable of producing about 72,000 tons of gray and ductile iron castings each year.  About 87 percent of the foundry’s products is used to supply GE’s own Lufkin factories, while the remainder is sold externally to other customers.