Australia needs steelmaking to remain onshore, says the federal government. Photo: Tima Miroshnichenko/Pexels
The sale of Whyalla Steelworks is now under way amid strong interest in low emissions steel production from global steelmakers, says the South Australian Government.
South Australian Premier Peter Malinauskas told local media that there are at least 33, mostly overseas, parties who had shown interest including from India, Japan and South Korea.
“There is still a long way to go to secure a new buyer for the steelworks. However, the start of the formal sale process with the establishing of a data-room for prospective buyers is a major milestone in this important process,” he says.
Some prospective buyers have been given access to the secure data room to allow for initial due diligence and to prepare non-binding indicative offers.
MORE STAFF EMPLOYED
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- Administrator KordaMentha says an extra 75 staff have been added across
core areas of the steelworks, including blast furnace operations, steelmaking and finishing. - Recruitment is continuing for new roles, including in mobile
maintenance and diesel mechanics. - Five apprentices have been employed already with recruitment under way
for 27 more apprentices for OneSteel Manufacturing to start next year.
- Administrator KordaMentha says an extra 75 staff have been added across
In February, the steelworks was put into administration by the SA Government then quickly received a $1.9 billion state-federal funding rescue package.
The federal and state governments are turning the steelworks into a commercially viable, low-emissions, ‘pit to port’ iron and steel facility.
“Whyalla has long been at the heart of South Australia’s industrial strength – and now it has the potential to deliver sovereign steelmaking for the long term,” Malinauskas says.
SA Minister for Energy and Mining Tom Koutsantonis says “the heartbeat is returning to the heart of Whyalla”.
“The creation of new jobs at the steelworks is a genuine sign of this vital operation finding a new lease of life and that sends a clear and strong signal to the market as the sale process is now formally under way.”
Earlier stories:
Economic zone plan for Whyalla unveiled as cash starts flowing to OneSteel creditors – NewsCop
PM, SA Premier unveils $2.4bn rescue, green iron package for Whyalla Steelworks – NewsCop
NATIONAL IMPORTANCE
Federal Industry Minister Tim Ayres has no doubts about the importance of the steelworks.
“Australia’s steel industry is critical to the Australian economy and the community of Whyalla,” he says.
“Through the Future Made in Australia agenda, the Australian Government wants to ensure steelmaking capacity remains here onshore.
“There is real opportunity to manufacture iron and steel using Australia’s abundant ore and renewable energy to set up this industry and the Whyalla steelworks for the decades to come.”
BUSINESS SUPPORT
As part of a $100m assistance package, 61 South Australian business creditors – many based in Whyalla – received more than $15m to keep their doors open.
In the steel town, 57 small businesses dependent on the steelworks have received $570,000 in grants to compensate for a shortfall in revenue.
Avid Engineering is one such local business benefiting from this support.
In early 2025, Avid was down to five staff as its owner drew on personal savings to keep the business afloat.
Since it received a grant, Avid has employed 27 full-time staff and 13 casual workers, including former employees of Ferretti International.
