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| Whyalla steelworks |
Steel Giant Steps In to Assist Administrators
BlueScope, Australia's largest steel manufacturer, has been appointed as a steelmaking advisor to KordaMentha, the administrators overseeing the Whyalla steelworks in South Australia. The appointment aims to provide technical and operational guidance as efforts continue to secure the future of the steelworks.
BlueScope’s Role in Whyalla’s Future
Mark Vassella, managing director and CEO of BlueScope, emphasized the company’s strong historical ties with the Whyalla steelworks.
“BlueScope has a long-standing history with the Whyalla steelworks, and we know its people and assets well,” Vassella stated. “We recognize the ongoing importance of Whyalla to the Australian economy and sovereign capability. This is a difficult time for the steel industry in the Asia Pacific region, but we are in a position to help.”
A team of experts from Port Kembla Steelworks will be deployed to assist KordaMentha in evaluating operational strategies for Whyalla. However, BlueScope has clarified that its role is strictly advisory at this stage, with no commitment to investment or corporate support in the administration process.
Government Support and Industry Outlook
BlueScope’s advisory role aligns with the broader government support for the region. A $2.4 billion support package from the South Australian and Federal Governments is progressing as planned, with funds directed towards sustaining jobs and bolstering SA’s steel sector. The package was announced in February following the financial troubles of OneSteel Manufacturing, the owner of Whyalla steelworks, which was placed under administration due to operational challenges.
While BlueScope has not yet committed to participating in a potential sale, Vassella indicated that their advisory role could provide valuable insights should the company choose to explore such an option.
The future of Whyalla steelworks remains uncertain, but with the involvement of a major industry player like BlueScope and strong government backing, efforts are underway to stabilize and secure the facility’s long-term operatio
