BRANTFORD, Ont.—The Federal Economic Development Agency for Southern Ontario (FedDev Ontario) is lending as much as $10 million to Brantford, Ont.’s Patriot Forge Inc. as the metal products maker builds a new plant.
Patriot Forge is spending roughly $63 million to build a new 320,000-sq.ft. forging plant in Brantford, nearly doubling the company’s output.
The “vast majority” of the investment will go toward purchasing state-of-the-art forging equipment, according to FedDev Ontatio.
Patriot Forge expects to create 75 new full-time jobs during construction and completion of the new plant, as well as 86 full-time jobs within five years of its opening.
“Our government remains focused on creating the conditions and delivering the support needed for job creators like Patriot Forge to grow and prosper,” local MP Phil McColeman said in a statement from the federal agency.
“(This) announcement will support Patriot’s plan to undergo a major expansion and create more than 150 high-quality jobs right here in Brantford, and is another sign that our local economy is strengthening.”
Founded in 1926, Patriot Forge is one of the largest open die forging businesses in Canada.
It manufactures heavy-duty industrial components for a number of industries, including defence, aerospace, and oil and gas.
“Patriot Forge is looking forward to implementing the new machining and forging skills that it has developed for the benefit of its customers,” company chair and founder John Dimitrieff said. “This FedDev Ontario contribution has been a key to making this investment possible.”
The FedDev Ontario loan is being delivered through the Investing in Business Growth and Productivity (IBGP) initiative, which is aimed at helping established businesses expand their operations, invest in productivity improvements and compete globally.
IBGP funding is available for eligible small and medium-sized firms and not-for-profit industry associations or regional economic development organizations.
Earlier this month, FedDev Ontario announced loans totalling $9.2 million for two other Ontario-based manufacturing firms.
The agency said it was loaning $4.2 million to Barrie, Ont.’s Wolf Steel Ltd. to help the fireplace maker expand.
FedDev Ontario also announced a $5-million loan to Koss Aerospace as that company buys new equipment to produce larger structural aerospace components for OEMs.