Ice cream manufacturer Wells Enterprises, part of the Ferrero Group, has cut the ribbon on the first two (of four) phases of its $425 million plant expansion and renovation in Dunkirk, N.Y., according to a release from the company. The ribbon-cutting ceremony celebrated the opening of the facility’s new employee center and new production lines.

On the production side, the Dunkirk expansion began late last year operating a “first-of-a-kind Segregated Compound Facility,” the company said. The operation combines Wells’ ice cream capabilities with Ferrero’s global confectionary expertise (Ferrero Group acquired Wells in 2022) to manufacture chocolate, and it is the only Ferrero facility of its kind in the U.S. It uses new, proprietary technology and highly customized capabilities focused on quality production, the company said in the release.

The new employee center replaces a facility that was more than 75 years old, updating breakrooms, cafeteria space, training rooms, offices and other employee amenities in a three-story structure.

Phase 3 of the expansion, which is currently under construction, adds more production lines to the facility, and Phase 4 will expand processing capabilities (including raw materials, the company said). All four phases are expected to be finished in 2028, adding a total of 270 permanent jobs and bringing the facility up to 350,000 sq. ft. The Dunkirk facility will be able to produce about 20 million cases annually, five times higher than previous capacity, on somewhere between 11 and 15 production lines.

The Dunkirk transformation and expansion project was first announced in August 2023 as a $250 million investment, and in July 2024, Wells announced a significant boost to the capital expenditure, turning it into a $425 million expansion project. Wells purchased the Dunkirk facility in 2019.