The sale of the Whyalla Steelworks has advanced to its final stage with two bidders shortlisted, marking a key step in the transition of one of South Australia’s major industrial manufacturing assets.
In a news release, the South Australian Government and the Australian Government confirmed the process has progressed following the decision to place the former owner into administration last year, describing it as a necessary intervention to secure the steelworks’ long-term future.
They said the action has helped restore confidence in Whyalla and attracted international interest in maintaining sovereign steelmaking and manufacturing capability in South Australia.
More than 70 parties initially expressed interest in the sale, with five domestic and international industrial groups progressing to the binding bid stage earlier this year before two were shortlisted to move forward. The shortlisted bidders have now been invited to submit final funding proposals as part of the competitive process.
The two governments are jointly investing up to $1.9 billion alongside a future owner to support the transformation of the site into a modern, low-emissions steel manufacturing facility, with ongoing administration funding also ensuring safe operations and payment of workers and suppliers during the transition period.
Minister for Industry and Innovation and Minister for Science Tim Ayres said the process was central to the broader industrial strategy. “A Future Made in Australia means making the things Australia needs here,” he said.
“The Whyalla intervention is central to that: securing sovereign steelmaking, backing workers, and building the next chapter of low emissions Australian manufacturing,” Minister Ayres noted.
South Australian Premier Peter Malinauskas said the shortlisted bidders were well placed to support the industry’s next phase.
“We are pleased to see two high quality bidders shortlisted for the sales process,” he said, adding that the transition would support a long-term, modern and lower-emissions sovereign steelmaking business while recognising the challenges involved in the sector’s transformation.
