The Southeast region (Alabama, Florida, Georgia, Mississippi, and Tennessee) can look forward to strong activity in capital expenditures with over 600 projects planned, totaling $60.7 billion, according to research conducted by Industrial Info Resources. These expenditures include building new plants and electrical generating units, expansions, and upgrades and rebuilds at plants currently in operation.
Among the largest planned projects, 15 have have a minimum total investment value (TIV) of $1 billion and an aggregate TIV of $28.9 billion, or 47.6 percent of all future projections.
Over $11 billion will be spent for unit additions at nuclear power plants and construction of a 1,100-megawatt (MW) nuclear station on a greenfield site. Other projects above the $1 billion range include a vehicle assembly plant and a steel mill complex, notes Industrial Info.
From January 2007 until the end of the year, 428 projects are expected to begin construction, with 188 starting in 2008. Industrial Info estimates the expenditures for 2007 at $19.45 billion, and $41.24 billion beyond January 2008.
The Power Industry will become the leading industry for spending in the Southeast area, as it plans to invest more than $35.66 billion in electrical generating plants across the region.
Expenditures for other markets in the area include Industrial Manufacturing at $9.13 billion, Metals and Minerals with $4.76 billion, Terminals for $2.32 billion, Pharmaceutical & Biotech at $2.16 billion, and Alternative Fuel with $2.07 billion, Industrial Info reports.
Of the five states in the region, Florida is the leader in terms of combined total investment value, with $23.07 billion. Georgia comes in second with $13.55 billion, followed by Alabama with $11.89 billion, Mississippi with $7.61 billion, and Tennessee with $4.56 billion.