CORE Industries, a logistics company in Theodore, has announced plans to build an $8.75 million storage and processing facility for wood pellets, in partnership with CM Biomass, a European biomass fuel provider.

“Core Industries’ investment project will not only add good-paying jobs at its existing site in Theodore but also support the operations of nearby CM Biomass, providing a mutual benefit,” said Alabama Commerce Secretary Greg Canfield in a news release. “It’s always great to see a company with roots in Alabama decide to launch an expansion — it’s a reflection of success.”

The facility will be built on the CORE Industries’ campus on the Theodore Industrial Canal. According to a release from the Mobile Chamber, the new facility is projected to create 28 new jobs over the next five years and will include two new warehouses, each about 57,600 square feet.

As incentive for the expansion, CORE Industries gets a 10-year non-educational ad-valorem tax abatement and a non-educational sales-and-use tax abatement for the duration of construction of the facility. The first abatement is valued at around $370,000 and the second at around $200,000, according to Nancy Hewston, Vice President of Communications and Advocacy for the Mobile Chamber.

“We are always excited to see new jobs coming to the Mobile area and companies continuing to grow their operations locally,” Mobile Mayor Sandy Stimpson said in the release. “Core Industries is a leader in maritime and logistical services, and this latest agreement with CM Biomass is another example of companies seeing Mobile’s potential as an unrivaled logistics hub.”