One of the three pending industrial recruitment projects that the Somerset-Pulaski County Development Foundation has been working on in recent months will be locating in Pulaski County.

Governor Matt Bevin announced Friday that ShellTech LLC plans to manufacture ammunition shell casings in Eubank.

A newly-formed subsidiary of Shell Shock Technologies LLC, ShellTech’s new factory represents a $3.2 million investment that will create 50 full-time jobs. It will produce lightweight, nickel-alloy and aluminum NAS3 cartridge cases designed by its Connecticut-based parent company.

State Senator Rick Girdler welcomed both to the community. “The creation of new jobs in our region is always celebrated news, and I wish ShellTech the best in this endeavor and thank the company for this new investment,” he said.

ShellTech is purchasing the former SIG SAUER plant off Ky. 452. The property consists of a 14,000 square-foot facility on 11 acres.

“Our new high-volume manufacturing facility in Eubank, Ky., will give us the scale necessary to accelerate the market introduction and commercialization of Shell Shock’s NAS3 case technology,” Craig Knight, president and CEO of both Shell Shock Technologies and ShellTech, stated.

Founded in 2015, Shell Shock is a component manufacturer supplying shell cases to the shooting sports market, as well as to U.S. and foreign ammunition manufacturers, law enforcement, military and other government agencies. The company introduced the NAS3 technology last year and sales have since grown exponentially.

The two-piece cases use a nickel-alloy cylinder mated to an aluminum base. The NAS3 design offers multiple advantages including corrosion resistance. They are some 50 percent lighter than traditional brass casings and can be picked up with a magnet after firing.

“What an exciting opportunity we have in locating ShellTech in Pulaski County,” Judge-Executive Steve Kelley said. “This company will revolutionize an industry standard by manufacturing superior shell casings using aluminum, and will have enormous upside potential for growth in the aluminum industry. We are proud to partner with such an innovative and professional group of entrepreneurs, and we anticipate great success in the coming years. Opportunities like this happen once in a lifetime, so we are very fortunate to be involved in this venture.

SPCDF Executive Director Martin Shearer said ShellTech should begin operations within two to three months. According to Bevin’s announcement, it will begin with assembling 9 mm cases before adding 5.56 mm, .308, .45 ACP (Automatic Colt Pistol), 380 and .40 S&W (Smith & Wesson) cases along with a selection of other popular pistol and rifle calibers.

“Kentucky welcomes this investment by ShellTech, the newest member of our state’s booming engineering and manufacturing sector,” Gov. Bevin stated. “Their decision to locate in the commonwealth and bring excellent jobs to our communities reflects positively on our state. I am grateful for their site selection and look forward to their success in the months and years ahead.”

State Representative Tommy Turner noted the positive impact ShellTech could have on the region.

“My district has suffered a lot through the downturn in the economy, but it’s nice to see that we are rebounding,” Rep. Turner stated. “Further, I am happy to see a company making shell casings has decided to invest in our region. As a hunter myself, it is nice to see a company in the ammo business coming to our community.”

“We’re extremely grateful for the support provided by the commonwealth of Kentucky, Pulaski County and various regional and local development agencies,” Knight stated. “We appreciate their belief in Shell Shock’s technology, development plan and potential. We’re also looking forward to getting involved in, and giving back to, the local community.”

The Kentucky Economic Development Finance Authority (KEDFA) preliminarily approved the company in June for up to $800,000 in tax incentives through the Kentucky Business Investment program. The performance-based incentive allows a company to keep a portion of its investment through corporate income tax credits and wage assessments by meeting job and investment targets. ShellTech can also receive job services through the Kentucky Skills Network.

In addition to Judge Kelley, Rep. Turner and Sen. Girdler, Shearer expressed gratitude for the efforts of Rep. David Meade, the magistrates with Pulaski County Fiscal Court and Brett Traver of SKED (Southeast Kentucky Economic Development.