South Branch-based Gales Welding
and Septic Cleaning Ltd., with Provincial Government support, is
acquiring casting technology that will help it begin to manufacture its
own line of cement septic tanks. With its new capability, the company
will be able to target growing product demand among building supply
retailers and contractors.
"Our investment is assisting
Gales Welding to extend the range of
services it offers — going beyond the sales, installation and
maintenance of septic tanks to include production," said the Honourable
Shawn Skinner, Minister of Innovation, Trade and Rural Development. "The
new ability to manufacture a much sought-after product is
an important step towards increasing the company's
competitiveness and import displacement. It will also enable the
company to guarantee its product and make arrangements for ongoing
maintenance, securing customer relationships."
Steel septic tanks are being
replaced with cement tanks to meet Canadian environmental
regulations. In response to the market shift, the company is using a
$36,000 term loan from the Provincial Government to develop the
fiberglass molds required for constructing the new style of tank.
"We are pleased with the support
from the Provincial Government towards the expansion of our operations,"
said Gerard Gale, Owner, Gales Welding and Septic Cleaning Ltd. "Our
expansion to supply the local market with our own line of concrete
septic tanks will not only benefit our business, it will also support
other businesses and foster new employment opportunities in our area. It
is also a platform for seeking new market opportunities in the future in
Atlantic Canada and the Eastern United States."
The company learned about the concrete casting process
by partnering with Turtle Tanks, a developer of containment applications
with a long history of success in British Columbia. The cement model
boasts a higher surge capacity and greater ex-filtration than steel, yet
holds the same capacity, making it more environmentally friendly.
"Assisting Gales Welding to
diversify and become a local manufacturer is a significant initiative
that will not only benefit the company, but the local area as well,"
said the Honourable Joan Burke, MHA, St. George's - Stephenville
East. "The company's expansion will create spin-off business
opportunities for local suppliers and enable the
company to extend the essential services it brings to rural
areas."
Established in 1993, Gales Welding and Septic Cleaning
Ltd. is located in South Branch in the Codroy Valley, servicing
customers from Rose Blanche to Gallants to the Port au Port Peninsula.
This initiative was funded through the Small and
Medium-Sized Enterprise (SME) Fund, which, through Budget 2010: The
Right Investments — For Our Children and Our Future, has nearly $14
million available for investment. Administered by the Department of
Innovation, Trade and Rural Development, the fund is available for
start-up, modernization, or expansion of a business venture in key
growth sectors.