HUGOTON, Kan. (AP) -- Kansas Dairy Ingredients plans to construct a new production facility in southwestern Kansas, investing $20 million and creating 60 jobs within two years.

Officials with the company announced their plans Monday during an event in Hugoton, where the plant will be built. The project will also create about 150 temporary construction jobs.

The plant will process some 1 million pounds of milk per day to produce dairy products when it opens later this year. It will expand to 2.5 million pounds by the end of 2013. Expansion at the plant will allow for cheese production and other dry milk ingredients.

Kansas Dairy Ingredients is based in Missouri but intends to move its business operations to Kansas City, Kan.

Kansas officials said the plant would boost the state's dairy industry.

Copyright 2012 The AP.