Pittsylvania megasite wins $1.3B battery separator project

Tennessee-based Microporous will invest $1.3 billion to build its battery separator manufacturing facility at the Southern Virginia Megasite at Berry Hill in Pittsylvania County, Gov. Glenn Youngkin announced Wednesday. The company expects the project to create 2,015 jobs.

The megasite’s first tenant, Microporous will develop Lot 1 at the park in two phases, with each phase being about 500,000 square feet. According to a news release from the governor’s office, the state anticipates Lot 2 of the megasite will be under consideration for Microporous’ potential future expansion. Virginia successfully competed with North Carolina for the project.

During the ceremonial groundbreaking for the project, Youngkin nodded at the controversy created in 2023 after word broke that the governor had pulled the Southern Virginia Megasite out of the running for a $3.5 billion Ford Motor Co. electric vehicle battery factory over national security concerns that a Chinese company would be involved in its operation.

“I want to say it very clearly,” Youngkin said Wednesday. “This is an American company using American technology that will hire American workers and supply American companies.”

For more than eight decades, Microporous has produced separators for lead-acid batteries, the oldest rechargeable battery technology, which is typically used in vehicles and to power grid systems. The company’s headquarters are in Sullivan County, Tennessee, near Bristol, Virginia. It also has a facility in Austria.

At the megasite, Microporous plans to expand into creating battery separators for lithium-ion batteries, which are used in electric vehicles, energy storage systems and other applications.

Microporous CEO John Reeves said Wednesday that the facility will be at the forefront of clean energy. “We are driven by commitment to innovation, sustainability and growth, and today marks an extraordinary step in that journey,” he said.

The company’s Berry Hill manufacturing facility will be fully operational by 2026, according to Reeves.

The Southern Virginia Megasite at Berry Hill is owned jointly by the City of Danville and Pittsylvania County through the Danville-Pittsylvania Regional Industrial Facility Authority (RIFA). Leaders in the two counties have worked to make the site a reality since 2008.

Pittsylvania County Board of Supervisors Chair Darrell Dalton called Microporous’ selection of the megasite “a testament to how two localities work together [to] pull themselves out of economic hardship, to where they’re generating optimism for the future.”

Vic Ingram, chair of the Danville-Pittsylvania Regional Industrial Authority and a member of the Pittsylvania County Board of Supervisors, considers Microporous selecting the megasite for its facility as the start of something great.

“We were once known as the world’s largest tobacco market and home of Dan River Mills, or Dan River Fabrics,” he said. “Many of us vividly remember those tobacco fields, but moving forward, we will be known nationwide, if not worldwide, for advanced manufacturing technology,” he said.

State Del. Danny Marshall, R-Danville, a commissioner on the Virginia Tobacco Region Revitalization Commission’s board, noted Wednesday that the commission has invested over $60 million in the project. “And we’re looking forward to getting returned with great paying jobs and great investments here,” he said.

Last year, the U.S. Department of Energy announced Microporous was among seven recipients of federal funding totaling $275 million designed to strengthen the country’s clean energy supply chains. The majority of the selected projects were planned to be in or adjacent to disadvantaged communities. Microporous was tapped to receive the largest chunk of those federal dollars: $100 million.

In a news release distributed Wednesday, U.S. Sens. Mark R. Warner and Tim Kaine, D-VA, noted that Microporous’ Virginia facility will also be eligible for “additional federal incentives because it falls within an area designated that has been designated an ‘energy community’ by the Inflation Reduction Act.”

For several years, progress at the megasite at Berry Hill had stalled because the U.S. Army Corps of Engineers would not issue a permit to grade the land unless a tenant had been secured. Warner and Kaine worked with the U.S. Army Corps of Engineers and advocated for the work to be permitted.

“This is a testament to years of hard work and collaboration, including working in a bipartisan way to address permitting challenges at economic development sites in Southside,” Kaine stated. “With major federal investments from the Bipartisan Infrastructure Law and smart moves to cut red tape, it’s clear our work is paying off.”

The Virginia Economic Development Partnership worked with the Danville-Pittsylvania County RIFA, Pittsylvania County, the City of Danville, the Southern Virginia Regional Alliance, the Virginia Tobacco Region Revitalization Commission and the General Assembly’s Major Employment and Investment Project Approval Commission to secure the Microporous project.

Microporous will be eligible to receive an MEI Commission-approved special appropriation of up to $60.6 million for the company’s investment of more than $1.3 billion and the creation of more than 2,000 jobs, subject to the approval of the Virginia General Assembly, according to a news release from the governor’s office. Additionally, the company is eligible to apply for state grants from the Port of Virginia.

The Virginia Talent Accelerator Program, a program run by VEDP with higher education partners, will provide recruitment and training services to the company.