Lawton City Council, economic development boards approve new Westwin agreement

A new redevelopment agreement with Westwin Elements is in place, following a series of meetings Tuesday among two economic development entities and the Lawton City Council.

The three bodies were approving an “amended and restated” agreement with the firm that plans to build a pilot plant in southwest Lawton to refine cobalt and nickel ore into a powder that has commercial and military/defense applications.

In addition, the Comanche County Industrial Development Authority (CCIDA) gave Westwin permission to begin construction on the 40-acre tract at Southwest 112th Street and Bishop Road, while the authority works with the City of Lawton to completes an annexation process on the land.

A.J. Arends, project manager for the pilot plant project, said crews were on site Tuesday doing the staging work that will allow them to begin construction as soon as Westwin Elements indicates it is ready. And, the City of Lawton already has 20-inch water pipe stacked on Bishop Road, to help a contractor hired by the City Council last week to lay 7,500 feet of new water main for the pilot plant site. That water project must be completed in 90 days under the terms of its contract with the City of Lawton.

The work is designed to help Westwin launch construction of what will be two buildings on the 40-acre tract including a 4,680 square foot steel building to function as a test facility to establish Westwin’s capabilities to refine cobalt and nickel ore and other critical elements. Under new terms in the agreement, Westwin is to start construction by July 1, 2024, and be completed by year’s end.

The fact that the complex will be the first of its kind in the United States is significant, said attorney Dan Batchelor, who with Lisa Harden has been helping local officials negotiate the terms of the new agreement. Batchelor cited the economic impact of the project if the pilot plant leads to construction of the full-scale refinery in Lawton. That full project could be a $1.4 billion investment, he said.

“The risk on the front end is relatively low,” Batchelor told the City Council before that body approved a resolution setting a series of documents into place, including the new redevelopment agreement and one allowing LEDA to borrow funds to provide $3 million up front for the construction project.

Batchelor said most of the changes in the amended and restated agreement are tied to the pilot plant, which he described as Westwin’s way of proving both the plant and its team. He said while there is some local risk in providing $3 million upfront, if the refinery doesn’t pan out, the community gets the land back and a building it can use for other economic development projects.

He said the fact that Lawton officials successfully participated in such a challenging process to create the nation’s first cobalt/nickel refinery puts the community in a good position when Westwin decides where its full-scale refinery will be built.

“Lawton should be a health contender,” Batchelor said.

Talking to CCIDA members, Batchelor said there is “great interest” in the project from commercial lenders/investors as well as the federal government. He said because of those applications, officials can expect that some of the money that Westwin will secure to finance the refinery will come from the federal sources and national defense.

Tuesday’s agreements – which also were signed by all three boards – represent weeks of work and negotiations by local officials, attorneys and Westwin. But, the fact that final redevelopment document wasn’t presented to all members of all three boards was the reason CCIDA member Eddie Dabney voted no. Dabney said he needed more time to review the documents, noting that as CCIDA’s newest members, he was not familiar with the terms as were members involved in decisions made earlier this year.