A handful of residents went before the Queen Creek Town Council Wednesday night to question why they had received no notification that a South Korean company plans to build a multibillion-dollar electric vehicle battery manufacturing facility in the town.
One speaker accused the council of trying to “Californize” Arizona by bringing such types of businesses to the area. Another expressed concern about the plant being close to residential areas and what that could do to home values.
Andrea Gillispie said she had no idea the plant was coming to the town until she read a newspaper article about it.
“I’m thinking, ‘Who are these people and how did this get here and what was I doing that I missed it?’” she told council. “The part that really gets me is there are all these new homes and developments, and nobody had a chance to be prepared to make any sort of decision as far as the residents go. I don't think it was fair to the residents of Queen Creek who have really invested their families, their churches, their values, all of that and not be told one thing about who is this company, how did they get here, who are they and who decided this.”
Resident Linda Doty echoed concerns that the public was not made aware of the plant or that any environmental impact studies have been conducted or at least presented to the public.
“AOC (U.S. Rep. Alexandria Ocasio Cortez, D-NY) can stop Amazon in New York but we're going to bring a South Korean company here?” Doty said. “And where was the environmental impact study? Why wasn't that brought to everyone in this community? I’ve only lived here three years, and never would I have ever imagined something like this being built in the middle of my community. There has to be something on paper telling everyone how they are going to be impacted and why this was done behind closed doors because we certainly weren't advised.”
LG Energy Solution has entered into a deal with the town of Queen Creek and Pinal County to build a $2.8 billion manufacturing facility. The facility, generally located on the northeast corner of Ironwood and Germann roads, will bring approximately 2,800 new full-time jobs to the area. Production is expected to start in 2024.
The company is a subsidiary of the massive LG Group, the South Korean firm that makes everything from washers and dryers to electronics and batteries.
The Queen Creek Town Council approved the deal at its March 16 meeting. Councilors Emilena Turley and Leah Martineau were the only “no” votes on the resolution.
It likely will cost the town more than $45 million to play host to the facility between funding rights of way and forgoing fees on permits and taxes, according to city documents.
The 650-acre parcel in Queen Creek that LG Energy Solution is looking at to build its plant goes up for auction later this month.
The Arizona State Land Department auction takes place at 11 a.m. Tuesday, April 19, in the 1891 Historic Pinal County Courthouse at 135 N. Pinal St., Florence in the Ceremonial Courtroom.
The land up for auction is on the northeast corner of Ironwood Drive and Germann Road. The minimum bid is $84,444,000
According to a LGES press release, the Queen Creek plant “will be the first cylindrical-type battery manufacturing plant in North America, solely invested by the Korean battery manufacturer.”
"With the establishment of our new Arizona plant, LG Energy Solution aims to deliver unparalleled consumer value in the rapidly growing cylindrical battery market," stated Youngsoo Kwon, CEO of LG Energy Solution in the release. "LGES will provide the most dependable, competitive and advanced products to rise as the best business partner that our clients value and trust."
LG Energy Solution will build and operate the production facility on approximately 300 acres, part of the larger 650-acre parcel, in Queen Creek, if it is the successful bidder at the auction.
“The land is presently owned by the state of Arizona and will be sold by ASLD at auction pursuant to the ASLD’s auction process. Project will commence construction on approximately 1 million square feet of advanced manufacturing and related support with an estimated completion of Dec. 31, 2024,” a town council staff report states.
The development agreement with Queen Creek provides specific requirements that LG Solution must meet, including:
Required improvements that include an approximate 1 million-square-foot manufacturing plant, with management, distribution, offices and administration facilities at a projected construction cost of $2.8 billion.
Employment objectives of at least 2,800 new, high-income jobs in the town. Donation of rights of ways to the town valued at over $3.6 million.
Queen Creek is not the only place where LG Energy Solution is planting its flag. According to an Associated Press report, the electric vehicle battery maker plans a $1.7 billion expansion in western Michigan that will add up to 1,200 jobs by 2025.
Janet Perez News Editor | Queen Creek &
San Tan Valley @AzNewsmedia
Meet Janet Janet Perez joined Independent Newsmedia as editor of the Queen Creek Independent and Florence Independent in 2020. She started her career in 1989 with the Gannett-owned El Paso Times. In 1992, she moved to Tempe and has worked in newspapers, magazines, radio and television. She left Arizona for three years to work at New Mexico State University and Baylor University before returning to work at Arizona State University. Missing the business, she went back to journalism in 2017.
Community: A long-time pet owner, she supports animal welfare causes.
Education: University of Texas at El Paso with a BA in journalism and a minor in political science.
Random Fact: She had a head full of random facts.
Hobbies: Reading, watching documentaries, cooking and playing with her dogs.
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