A specialized steel producer expects to create 40 full-time positions after receiving state assistance Monday to expand its Youngstown operations.

The Ohio Tax Credit Authority, meeting in Columbus, approved a 1.126%, seven-year Job Creation Tax Credit for Vallourec Star LP’s project. During its monthly gathering, the authority approved 12 projects overall that are expected to generate 1,126 new jobs and retain 2,686 jobs across the state.

“Since coming to Youngstown in 2002, Vallourec has been a true partner and leader in driving economic growth in our city and region,” said Andy Resnick, a spokesman for the city of Youngstown. “Today’s announcement, combined with millions in recent economic investment in our city, is another strong vote of confidence in Youngstown’s skilled workforce and our city’s readiness to compete in the global economy.”

According to the authority’s news release, Vallourec’s expansion will produce more than $2.3 million in new annual payroll. The company looks to “manufacture a newly developed and industrialized production line and meet increased demand from the North American market.”

Vallourec is a significant player in the energy industry. Headquartered in France, the multinational company employs 13,000 workers in 20 countries, according to its website. Its Mahoning Valley facility straddles Youngstown and Girard along U.S. Route 422.

Girard officials discussed Vallourec at the Monday night city council meeting.

Councilman John Moliterno, D-at Large, said Vallourec’s plans to add onto the building and hire more people will benefit the area.

“This is all very good and positive from our standpoint. It is certainly good news for the city and the schools,” Moliterno said.

“We have a great relationship with Vallourec and what they are planning continues to keep that relationship going and continues to engage us,” Moliterno said.

Girard Mayor Mark Zuppo said he will be attending a ribbon cutting next week.

“It’s all good and thumbs up for this project. Vallourec has been a great beacon of light here in the Valley, especially for Youngstown and Girard,” Zuppo said.

He said the addition and more jobs will help bring more stability to the area.

Zuppo said Girard will support Vallourec with whatever it may need. He said the company has shown its support for the community, including helping the city with a cleanup day along Route 422 last month.

“The company puts their money where their mouth is,” Zuppo said.

“Vallourec’s proposed expansion reflects continued confidence in the Valley’s workforce and business environment,” said Guy Coviello, president and CEO of the Youngstown / Warren Regional Chamber. “This investment would strengthen our industrial foundation and grow the local supply chain at companies like Brilex Industries and City Machine Technologies.

“This also would further solidify the Valley as the supply chain capital of the Utica Shale.”

Resnick said the city welcomes “their continued partnership that strengthens jobs, supports families and builds opportunity across our region. With companies like Vallourec showing their commitment to Youngstown, our momentum only grows.”

Vallourec representatives did not respond to a request for comment.

The authority said the 12 approved projects will result in more than $2 billion in investment throughout the state, along with $73 million in new payroll.