Nov. 18—In what could be an economic development bonanza for the Pikes Peak region, a high-tech company that employs several hundred people in Colorado is eyeing Colorado Springs for an expansion that could bring more than 1,000 jobs and an investment of over $1 billion to the area.

The Colorado Economic Development Commission on Thursday approved nearly $3.9 million in financial incentives to help entice the company to develop a manufacturing plant in the Springs — money that would be added to a $111 million pool of incentives already assembled by local business and government officials, according to information prepared for the commission by state Office of Economic Development & International Trade staffers.

Neither the Colorado Springs Chamber of Commerce & EDC nor city government economic development officials would comment on the project. A timetable for when the company would decide where to locate its project wasn't known.

The company, described by state officials as "a global leader in electronic materials and process solutions for the semiconductor, life sciences, and other high-tech industries," is considering the Springs for a plant that would produce products sold to the semiconductor industry.

The project would have an estimated $631 million capital investment and employ 597 workers in its first phase, and could grow to more than $1 billion and 1,000 employees in a second phase, Office of Economic Development officials told the commission.

The company is looking to develop the facility in Colorado Springs' enterprise zone, which covers various areas of the city and offers tax breaks as a way to attract new employers.

The company — which currently has 8,800 employees, 504 of whom are in Colorado — is considering one other market, which state officials didn't identify. The company's name also wasn't disclosed and its project was assigned the code name "Garnet"; protecting a company's identity is standard practice by state officials when they compete to woo a new business or employer.

Denver news media outlets reported the company's new facility would be 1 million square feet, and that it has a three-decade presence in El Paso County.

A tech company that would have the financial wherewithal and capability to develop a 1 million-square-foot facility, and that has a 30-year history in El Paso County, points to Microchip Technology, headquartered in Chandler, Ariz. The company employs several hundred people at a semiconductor plant on Colorado Springs' southwest side and announced plans this year for a $40 million retooling of the facility.

Microchip, which also operates in Arizona and Oregon, bought the Springs plant in 2016 after it had been operated by San Jose, Calif.-based Atmel Corp. since 1989.

A Microchip spokesman couldn't be reached for comment Friday.

In April, the Colorado Economic Development Commission also approved more than $12 million in tax credits for a semiconductor manufacturing company that was considering the addition of at least 644 jobs in El Paso County. It's unknown if that project, which was dubbed Project Salsa, is related to Project Garnet.

The possible addition of the new plant and investment of up to $1 billion with 1,000 employees via Project Garnet would inject life into Colorado Springs' tech and chipmaking industry.

For decades, the Springs was a hub of semiconductor manufacturing; names such as Honeywell, NCR, United Technologies, Ramtron and even Intel were part of the city's thriving semiconductor industry before they closed operations and, in many cases, moved work out of the country.

The company behind Project Garnet "is considering Colorado for its talented workforce, proximity to supply chain, business-friendly tax environment and the state's commitment to supporting development of the semiconductor industry, including the governor's stated interest in supporting companies seeking to access federal funding sources through the CHIPS Act," Office of Economic Development officials told the Economic Development Commission.

The CHIPS Act, which stands for Creating Helpful Incentives to Produce Semiconductors and Science, became law in August; the bipartisan federal legislation attempts to encourage funding for the construction of microprocessor manufacturing facilities in the United States, among other initiatives.

At the same time, the Colorado Springs Chamber & EDC and several local entities have put together incentives "valued at over $111 million" for Project Garnet, state officials said. "This package includes funding from the city of Colorado Springs, rebates from the Colorado Springs Utilities, the creation of a new Urban Renewal district, the Colorado Springs Deal Closing Fund (funded by the city and administered by the Chamber & EDC) and other sources."

State officials also said:

— Project Garnet jobs would pay an average annual wage of $69,096 and include managers, technicians, chemists, engineers and warehouse operators.

— The state's incentive of $3,880,500 would come from its performance-based Strategic Fund Job Growth Incentive program and be paid out over five years. The incentive works out to $6,500 per net new job.

— The state's payment is contingent on the creation of the initial 597, full-time jobs at a minimum average annual wage of $68,614, which represents 130% of the average annual wage in El Paso County.

—The new jobs must be in place for one year before the state pays out any financial incentives.