An aluminium company has bought the former Electrolux factory and announced plans to invest $30 million to create a manufacturing operation to supply developments in Sydney, Melbourne and Brisbane.
Sydney-based A-Tech Australia will build an extrusion plant in part of the Edward Street site and will lease the rest of the complex to other companies.
A-Tech will make aluminium windows, doors, curtain walls, facades, pergolas and skylights in Orange for residential and business developments.
Company executive Barry Barakat said it would potentially create many jobs.
"In the short term it will be between 25 and 30 [jobs] and hopefully as many local people as possible," he said.
"We will be out in the market looking to try and find some lessees, some complementary businesses, so hopefully they will bring some employment to the area as well. Conceivably you could see hundreds of jobs being created in this area."
Conceivably you could see hundreds of jobs being created in this area.Barry Barakat, A-Tech Australia executive
A-Tech has lodged the first development application for the site, to install concrete footings for the plant's machinery, with Orange City Council.
Installation work is due to start before the end of the year with the factory likely to open next year.
Mr Barakat said the company's equipment would fit into two existing warehouses and alleviate the need for major construction at the site.
He said the company had been talking to the council for two years.
"The company viewed a number of potential sites. This particular site with its location and proximity to the railway line and the initial response from council was quite positive [for us]," he said.
"A-Tech in the first phase intends to establish an extrusion operation for aluminium to be followed by complementary businesses such as powder coating and recycling."
He said the company wanted to create local manufacturing of aluminium products to tackle overseas imports.
"This is a completely new direction for A-Tech. A-Tech has not had the extrusion capability in Australia and this is a new venture for us and we are delighted to bring back manufacturing to the area," he said.
"It comes at a time when there is a substantial, significant deficit in domestic production of aluminium for the building industry. Most of the supply currently comes from China.
"We are hoping to just make a dent in that capacity in the domestic market. Traditionally the largest users of our products have been large developers. The Sydney, Melbourne and Brisbane developer market."
He said setting up the extrusion, powder coating and recycling operations would cost $30 million.
"If [an] expansion takes place and we have additional extrusion machines, which we hope to do, then that figure will significantly increase," he said.
This is a new venture for us and we are delighted to bring back manufacturing to the area.Barry Barakat, A-Tech executive
Mr Barakat said the proximity of the new Southern Feeder Road and the ability to use the adjacent rail line to transport products to major cities had attracted them.
"We have done our due diligence. We just think that given the demand in Australia for aluminium and the capacity for the local suppliers to provide that difference we have a bit of comfort that we should be OK," he said.
Mr Barakat said they would be importing automated, high-specification European machinery.
The company has also been working with the EPA about managing previous contamination at the site.
A-Tech's headquarters is in Condell Park, it has a factory in Milperra and facilities in China and employs up to 100 people.
Orange mayor Reg Kidd said it was great news for the city.
"I'm over the moon about it. You can't tell me too many other places in NSW and Australia at the moment where manufacturing is moving to a regional centre," Cr Kidd said.
Council employment and economic development committee chair Cr Tony Mileto said it was expected A-Tech would be lodging several DAs for the factory.
"I'm sure local residents will be welcoming the news that a disused factory will be a hire activity and source of jobs once again," he said.
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