In an economic climate that does not favor new large investments in manufacturing, St. James Parish learned Wednesday it would be the site of a $3.5 billion iron and steel production complex that could bring 1,250 new jobs to Louisiana.

Nucor Corp., the nation’s largest steel manufacturer, told a group of state and local leaders that they plan to roll out a five-phase manufacturing facility on 4,000 acres of sugar cane fields along the Mississippi River in Convent. The project is slated to begin early next year with construction of a $750 million direct reduced iron plant.

Gov. Bobby Jindal said the first phase would add 150 permanent jobs to the area in addition to about 500 new construction jobs. He said that by the end of the five-phase plan, which includes an additional reduced iron facility, a pellet plant, a blast furnace and coke oven and an eventual steel mill, the facility would add 1,250 direct jobs and another 4,800 indirect jobs to the local economy. Jindal called it a huge win for the state and a huge win for St. James Parish.

Along with the guarantee of new jobs, the facility is also expected to bring a tremendous financial windfall to the state’s economy. LSU economists estimate that the facility could generate more than $560 million in new tax revenue, which includes more than $122 million for St. James Parish alone. The average salary for new plant employees would be as much as $75,000 plus benefits.

The facility adds a lot to the St. James region, but it also brings the prospect of new jobs and new revenue at a time where the state is starting to struggle. Louisiana has taken a series of economic hits that include the elimination of jobs at NASA’s Michoud Assembly Facility, as well as the pending closure of Northrup Grunman’s Avondale shipyard. The state is also struggling to rebound from the BP oil spill, which has hurt the state’s fishing industry and blemished its tourism image.

Nucor’s decision offers a sweet bit of good news and shows that industry is willing to invest in the state.