LANSING, Mich. — A sawmill in the Upper Peninsula will invest $4.75 million to invest in and install a new biomass boiler and a back-pressure steam turbine at their facility in Atlantic Mine, Houghton County, Michigan.

Northern Hardwoods Lumber said that its investments in upgrades to the facility will provide the opportunity to reduce operating costs and greenhouse gas emissions leading to a more energy-efficient process. Investments will also add longevity to the company’s operations and the retention of 85 jobs in the city. Without this investment, the company would have to close its doors at the end of the current boiler’s lifecycle.

The company is being supported by a $250,000 Michigan Business Development Program grant from the Michigan Strategic Fund. In addition to MSF support, the company has also been awarded a $1 million Wood Innovations Grant from the United States Department of Agriculture (USDA). The 85 jobs that will be protected as a result of this investment will have average wages of $23.76 per hour plus benefits, $4.50 per hour above the regional median wage.

In addition to the sawmill project, Cedar Street Real Estate plans to invest $820,000 in redeveloping a former bank in downtown Manistique. The vacant building will be restored and transformed into a mixed-use space with three residential apartments with the help of a $250,000 grant from the Michigan Strategic Fund.

Governor Gretchen Whitmer and the Michigan Economic Development Corporation (MEDC) announced business investment and community revitalization projects in Michigan’s Upper Peninsula that will represent over $5.5 million of capital investment and protect 85 high-paying jobs in the region.

“From an upgrade to lower operating costs and emissions at a lumber plant to more housing in downtown Manistique, we are moving forward with our comprehensive economic development strategy to win projects, invest in places, and support people," Gov. Whitmer said. "Let’s keep working to add more tools to our economic development toolkit so we can help more companies expand and support developers as they build more affordable housing. Together, we will keep proving that Michigan is the best place to live, work, and invest.”

The company’s parent, JM Longyear, is a privately held company in Michigan’s Upper Peninsula that acquired Northern Hardwoods Lumber, LLC in 2015. Northern Hardwoods is a hardwood sawmill originally built in 1969 that currently produces 20 million board feet per year.

“Northern Hardwoods is deeply grateful for the support of the Michigan Economic Development Corporation,” said Cody Meier, Director of Financial Planning & Analysis at JM Longyear. “The project to install a new biomass boiler and steam turbine will enable us to continue operations, retain our talented workforce, and further utilize the renewable resources that the Upper Peninsula of Michigan offers.”