The Western Australian Government has committed a further $9.8 million to advance plans for a proposed low-emissions steel mill in Collie, a project it says could bolster Australia’s manufacturing capability while supporting the regional community’s transition away from coal-fired power.
The funding, announced by the Cook Labor Government, will support Generation Steel — formerly known as Green Steel of WA — as it progresses pre-development work for what is proposed to be Australia’s first low-emissions steel mill and Western Australia’s first steel recycling mill.
Allocated from the State Government’s $230 million Collie Industrial Transition Fund, the investment will be matched by Generation Steel and is intended to help the project move towards a final investment decision.
The latest commitment builds on a previous $4.5 million contribution from the WA Government and follows the completion of Generation Steel’s bankable feasibility study, which confirmed the project’s viability and supported its progression to the next phase of development.
According to the government, construction of the proposed mill could create up to 500 jobs in Collie, while up to 217 ongoing positions are anticipated once the facility becomes operational.
Premier Roger Cook said the project formed part of the government’s broader strategy to diversify the economy and create new industries in regional Western Australia.
“Collie has played a vital role in powering Western Australia for decades, and under my government, it will continue to do so,” Cook said.
“Not only is the town now home to Australia’s biggest batteries, but its future will be further bolstered by projects supported through Collie’s Just Transition, including Generation Steel’s steel recycling mill.”
“I want to keep WA’s economy the strongest in the nation by securing the State’s next generation of job-creating projects, and that’s exactly what this funding will help deliver.”
Energy and Decarbonisation and Manufacturing Minister Amber-Jade Sanderson said the project aligned with the government’s Made in WA agenda aimed at expanding the State’s manufacturing base.
“The Cook Labor Government is committed to a future that’s Made in WA, where we can unlock our State’s manufacturing potential,” Sanderson said.
“Today’s announcement is a major milestone for Generation Steel as they work to build WA’s first steel recycling mill.”
“Building a green iron industry in Collie will create quality jobs and diversify the local economy for generations to come.”
South West Minister Don Punch described the investment as another step in supporting economic opportunities in the region.
“This further investment marks the next step in securing Collie’s future, creating local jobs, and unlocking new opportunities across the South West,” Punch said.
“By backing projects like this, we are strengthening our economy and delivering more opportunities locally as part of our Made in WA plan.”
Collie-Preston MLA Jodie Hanns said the project could play a role in supporting workers affected by the transition away from coal-fired power generation.
“This funding support for Generation Steel, formerly Green Steel WA, is welcome news for local jobs in Collie,” Hanns said.
“This positions Generation Steel to be one of the key industries supported by the government to ensure a Just Transition for workers as we phase out of coal-fired power.”
Generation Steel executive director Don Johnston said the proposed facility would support domestic steel production and recycling capabilities.
“Generation Steel is bringing in modern technology and the innovation required for efficient Australian manufacturing,” Johnston said.
“This strengthens Australia’s sovereign steel industry, uses our scrap steel resources, and reduces reliance on steel imports.”
“We are committed to Collie, a town at the forefront of Australia’s shift away from coal-fired power.”
“We greatly appreciate the WA Government’s support for investment here for a stronger industrial future.”
