The upgrades will boost yearly production by 85,000 tons, the company reported.

Work is expected to be completed by this fall.

And since the $140 million project was announced, the company reported it would also build a 2 million gallon ammonium thiosulfate terminal at the site.

“These investments reinforce our confidence in the future of the ammonia market and allow us to better serve our customers,” Scott McGinn, executive vice president of Koch Fertilizer, said in a written statement.

“You can only imagine that kind of investment in production capacity will lead to new jobs,” Mayor Matt Bemrich said.

The mayor described Koch Fertilizer as “a good local partner in Webster County and the greater region.”

He added that having a large number of contractors working on the plant will give the local economy a boost.

“The effects of a project like that reverberate throughout our economy,” he said.

Webster County Supervisor Mark Campbell estimated that as many as 1,500 employees of contractors could be working in the plant as the project progresses.

“That affects our restaurants, hotels, everything,” he said. “This is another opportunity for local businesses and it couldn’t come at a better time.”

“We’re excited that Koch Fertilizer continues to invest in Webster County,” Campbell said.

The project will increase production, improve safety and improve compliance with environmental regulations, according to Dennis Plautz, the chief executive officer of the Greater Fort Dodge Growth Alliance.

“It will increase production significantly to keep it cutting edge,” Plautz said.

The plant is located along Webster County road D20 between Fort Dodge and Duncombe.

Over the years, Koch Fertilizer has made numerous upgrades to the plant.

“We’ve made several investments to improve the customer experience and ensure the longevity of the Fort Dodge plant,” Shawn Campbell, the plant’s manager, said in a written statement. “Modification to our ammonia heating and pumping capability was a key improvement.”