NEW LIMERICK – Gov. John Baldacci was on hand Wednesday at the groundbreaking for the installation of $100 million worth of new equipment at the Louisiana-Pacific Corp.’s oriented strand lumber production facility.

The plant, which has been producing oriented strand board since 1982, will be converting its processes to the new engineered wood technology during the next year. It is estimated that the project will bring 40 to 50 new jobs to the plant that now employs 124 people.

“LP chose the New Limerick facility as the site of its high-tech expansion because of the quality of the work force here in Maine,” Baldacci told the 50 people at the groundbreaking. “Maine’s workers are an extremely valuable asset to our economy, and I thank LP for recognizing that we have the best work force in the nation here in Maine.

“This is the most significant investment by the company,” Baldacci said later at Frenchville. “The business climate is good for the company and they are pleased to make this investment in the southern Aroostook County community and work force.”

The groundbreaking Wednesday was attended by about 50 people, including employees and officials of the company and economic development leaders in the area.

The investment will convert part of the facility into a manufacturer of engineered wood product, oriented strand lumber, used in home construction. The plant will be LP’s first to produce OSL and one of the few OSL plants in North America when it begins production in late 2007.

The oriented strand board typically came in 4-by-8-foot sheets, but the oriented strand board is produced in the same dimensions as traditional lumber.

Founded in 1973, LP is a leading manufacturer of premium building products in North America. The company makes home-building products at 29 plants throughout the United States, Canada and Chile.

Once in operation, the plant will serve as the exclusive manufacturer of the LP product while also becoming one of the few producers of OSL in the country.

The OSL investment includes new buildings and new equipment. In addition to new jobs, which pay $35,000 to $40,000 a year, to run the new plant, more than 300 construction workers will be employed while the facility is built.

“This investment puts New Limerick-Houlton at the forefront of LP’s future and strengthens the future of the mill,” Baldacci said. “It also brings job stability to northern Maine.”

The governor said that after talking with company officials, the expansion is being done in Aroostook County because of the facility’s experienced work force, support from the community, a good supply of wood in northern Maine and the facility’s expertise in strand technology.

Baldacci said LP could have placed the new plant anywhere, but they chose Maine, northern Maine.

“We are proud of that fact,” he said.