Martifer-Hirschfeld

n June 22, 2009, the much anticipated ground breaking ceremony of Martifer-Hirschfeld Energy Systems took place. The ceremony marked a milestone in the venture that first originated across the sea in Martifer’s Portuguese headquarters, when the company decided that the American market was a great opportunity awaiting them. After long months of debating the location of their initial manufacturing facility, the decision made in June of 2008 was officially announced on September 9, 2008 by Texas Governor Rick Perry to the public.

The moment was celebrated by all the parties of interest, including the economic development agencies that helped facilitate the process. Agencies such as the San Angelo Development Corporation, the San Angelo Chamber of Commerce, the City Council and others were responsible for putting together the incentive package that ultimately helped recruit the company to West Texas. In addition, the Angelo State University - Small Business Development Center and the Texas Workforce Solutions helped facilitate the company’s transition into their new location in San Angelo by providing much needed advice and assistance.

After deciding to expand across the Atlantic Ocean, Martifer Energy Systems started its selection process by studying wind maps of North America and quickly focused on Texas as a prime potential location, stated Pedro Dinis, the Executive Director of Martifer Group Energy Systems, in a press release after the initial decision was made official in 2008. Although the initial idea was to carry out the project on its own, Martifer decided that partnering up with a local company would provide a strategic advantage in meeting the goals of its venture.

On June 19, 2009, the partnership between Hirschfeld Industries and Martifer Energy Systems was officially announced and created Martifer-Hirschfeld Energy Systems. The ground breaking ceremony was attended by Richard Phillips, President Hirschfeld Industries; Pedro Dinis, Executive Director Martifer Group Energy Systems; Dennis Hirschfeld, CEO Hirschfeld Industries; and Jorge Martins, Co-Founder/Vice CEO Martifer Group, amongst others. Below are some of the incentives awarded to the company.

Martifer incentives
Incentives and other considerations provided by public and private entities as enticement for Martifer Energy Systems to expand into San Angelo.

City of San Angelo:

  • $1.35 million at a rate of $6,000 for every job created up to 225.
  • $280,000 for purchasing land along Old Ballinger Highway.
  • $1 million for construction of rail spur into plant site.
  • $3 million in tax abatements over the next 10 years, waived permit fees and utility connection costs.

Tom Green County:

  • About $2 million in tax abatements over the next 10 years.

State of Texas:

  • $945,000 incentive from the Texas Enterprise Fund.
  • $200,000 allocation by Texas Department of Transportation for environmental study on railroad bridge replacement
  • $3.5 million possible allocation by Legislature for bridge replacement
  • $5 million possible allocation by Legislature for additional railroad improvements

Private sector:

  • $5 million possible match from Texas Pacifico Railroad of money allocated by Legislature for railroad improvements. Terms of any allocation and match are still under negotiation.
  • Total: $22.275 million

Workforce numbers:

  • Capital costs (building and equipment): $40 million
  • Initial workforce: 110 employees by the end of 2009
  • Permanent workforce (by 2011): 225
  • Origin of workforce: Some senior managers from Portugal, most managers and labor from United States, exact locations determined per applicant.
  • Average salary: $31,500 for initial wave, $34,000 when fully employed.

Plant data:

  • Size of lot: 32 acres
  • Size of building: First phase of 170,000 square feet by 2009, second phase will double it by 2011.
  • Departments: Five: Logistics, quality, production, engineering and administration
  • Initial tower production: 35 in 2009, 120 in 2010
  • Permanent tower production: 400 per year beginning 2013
  • Each wind tower uses:
  • 302,000 pounds of steel plate
  • 44,000 pounds of aluminum
  • 6,600 pounds of galvanized steel