$200 million investment by Montupet to bring more jobs to Northern Ireland.

BELFAST--(AutomotiveWire)--Nov. 21, 1995--A multinational auto components manufacturer will invest more than $200 million in Northern Ireland to create the largest independent aluminium foundry in Europe, Sir Patrick Mayhew QC MP, Secretary of State for Northern Ireland, said today.

The expansion by the French-owned Montupet Group will create 1,360 new jobs at Dunmurry in West Belfast over the next six years, bringing the total Montupet investment in Northern Ireland to almost $350 million and the employment target to 2,287 by the turn of the century.

"This is the biggest and most significant investment in Northern Ireland since the cessation of paramilitary violence," Mayhew said at a news conference.

"There is no doubt that Northern Ireland is an increasingly attractive production base - particularly for companies in the high value automotive components sector," said Stephen Magnan, chairman of Montupet.

The Industrial Development Board (IDB) for Northern Ireland has offered Montupet up to $85 million toward the costs of this expansion project. The assistance will be available to the company when it achieves its employment target under the existing agreement with IDB.

IDB Chairman John B. McGuckian, who was in New York today, welcomed the investment.

"This is a project of the utmost significance, which secures the commitment to Northern Ireland of a major international automotive industry leader well into the next century," McGuckian said.

Mayhew said that the Montupet project, together with the increased level of interest by multinational companies around the world, is a clear indication that the ceasefires have removed the single major obstacle to substantial new levels of inward investment.

"Investments such as this are increasing the employment opportunities required to build prosperity for all our people, particularly those in areas of greatest disadvantage," Mayhew said.

"It will provide additional opportunities for local people to gain experience and skills from a project which will place Northern Ireland at the forefront of new die-casting technologies."

Mangan said the project is an integral part of a new business strategy to maintain and develop Montupet's leading position in the aluminium casting of components for the automotive industry worldwide.

"The investment will mean Northern Ireland will be a major part of a series of strategic product development partnerships which we are forming with major European car makers to ensure the continued profitable growth of our business," Mangan said.

"Car companies are increasingly seeking partnerships to share the costs of new model programs. They want partners who can provide access to new technology and supply quality guaranteed components which are also competitively priced.

"Although we had other location opportunities open to us, we chose to locate the expansion project at our operation at Dunmurry because of the high quality of products already produced here at a profit, together with the availability of easily trained staff.

"Other equally important factors were the very positive ongoing support that we have received from the IDB and the Northern Ireland Training and Employment Agency, and the excellent incentives package that has been made available by the IDB," Mangan said.

Montupet (UK) was established in Northern Ireland in 1989 and currently employs 400 people at its Dunmurry facility, where they produce cast aluminium cylinder heads for Ford's "lean burn" Zeta engines and cast aluminium wheels for Ford, Renault, Citroen and Peugeot.

A further 40 people are employed at a Montupet sister company in Mallusk, BS Tooling, which supplies molds for tooling at Dunmurry.

CONTACT: Public Communications Inc.

Bill Currie, 312/558-1770