Phillip C. Powell, 38, 822 W. Church St., Brazil, was arrested at approximately 4:50 a.m., following a search of his home.
"I think today went pretty well," Clay County Sheriff Mike Heaton said.
In addition, nine firearms were located at the residence, as well as items consistent with dealing methamphetamine and drug paraphernalia.
Officials stated a search of the residence turned up "at least two prior incidents of methamphetamine manufacturing as well as chemicals and equipment needed for another clandestine methamphetamine laboratory."
Heaton said officials with the Clay County Sheriff's Department had been gathering intelligence for at least a month regarding the operation. He added it remains an ongoing investigation and additional arrests could take place.
"He's the only one being charged at this time," Heaton said.
The Indiana State Police Clandestine Lab Team was called to the residence to assist with the cleanup.
Powell was arrested and booked into the Clay County Justice Center on preliminary charges of Manufacturing Methamphetamine (a Class B felony), Possession of Methamphetamine (a Class D felony), Maintaining a Common Nuisance (a Class D felony), and Possession of Precursors (a Class C felony).
In addition, a warrant from Vigo County was also served on Powell for failure to appear on a prior charge of possession of methamphetamine.
At press time, Powell remained incarcerated at the justice center on a $25,000 cash-only bond.
Other agencies responding included the Clay City Police Department, Brazil City Police Department and Indiana State Police Department.