Ground has been broken on a $12.5 million expansion at Postle Extrusion in Cassopolis.

It was announced last week by Sen. John Proos, R-St. Joseph, that the parent company, Postle Aluminum, had received a $400,000 Community Development Block Grant from the Michigan Strategic Fund.

Postle Aluminum CEO Kevin Robinson said he is pleased with the grant and happy to be able to expand at the Cassopolis location.

“We are very excited about the project, which will create around 40 new jobs,” Robinson said. “The grant helps a lot. It’s a substantial project for us.”

Postle Extrusion employs 125 people at the Cassopolis facility, on Edwards Street.

Corporatewide, Postle Aluminum, based in Elkhart, Ind., employs close to 400 people. It provides parts for the recreational vehicle market, fencing and specialty/cargo trailers.

Currently, there are three aluminum presses in Cassopolis. The 52,000-square foot expansion on approximately 3 acres, will house a new extrusion press and all the equipment that goes with it, plus a vertical wet-coat paint line for aluminum.

The $400,000 grant will be for on-the-job training for the wet-coat paint line production.

“This news means jobs and is outstanding news for people of Cassopolis and the entire Southwest Michigan community,” said Proos, R-St. Joseph. “I applaud the Cassopolis leaders for working together with the Michigan Strategic Fund, the Michigan Economic Development Fund and Postle Aluminum to make possible this invaluable training opportunity. I also want to thank Postle Aluminum for making a multi-million dollar commitment to the Cassopolis community and the entire state.”

The project is also a boost for Cass County.

“We welcome the expansion project of Postle. The county has focused on business expansion over the last year and this is a great opportunity for our county,” County Administrator Louis Csokasy said.

“Postle Aluminum has been a great corporate citizen for our county and we are proud that Postle chose Cass County as its expansion location,” Eileen Toney, Cass County Economic Development Corp. chairman said.

Postle Aluminum purchased the Cassopolis facility in 2006. Robinson said an improving economy made it possible for the expansion.

“We are very happy with Cassopolis and the workforce there,” he said. “That is why we made the decision to stay there.”

Robinson said he estimates between six and eight months of construction and start-up.