One company's plans to expand using state funding will help create jobs in Austin and the surrounding area.

Caterpillar Inc. recently announced that it will receive $1.175 million from the Texas Enterprise Fund to expand the company's hydraulic excavation manufacturing plant. The company plans to invest more than $100 million into the project.

The additional funding will allow Caterpillar to create 238 jobs and the expansion itself will result in the creation of more than 500 jobs. The company currently employs about 2,085 people in Texas. The expansion will double the number of employees making excavators.

"Texas is the best place in the nation to grow your business, and nobody knows that better than the companies that are already here in the Lone Star State," Gov. Rick Perry said. "This Texas Enterprise Fund investment in Caterpillar will help create good jobs for Texans, and this expansion is proof that our combination of low taxes, reasonable regulations, fair legal system and world-class workforce is working to attract and retain the best employers in the world."

Construction on the 600,000-square-foot facility will begin in September, and once complete, the manufacturing operation will triple the company's current capacity of hydraulic excavators.

Caterpillar saw sales and revenues of $32.4 billion during 2009, making the company the leading manufacturer of construction and mining equipment, diesel and natural gas engines, and industrial gas turbines in the world.

Labels: Jobs in Austin