PERTH (miningweekly.com) – South Australian Treasurer, State Development, Finance and Mineral Resources and Energy Minister Tom Koutsantonis said on Wednesday that the state government was continuing its work to save embattled iron-ore and steel producer Arrium.
ASX-listed Arrium earlier this month went into voluntary administration after lenders rejected a $927-million recpitalisation plan.
Koutsantonis told delegates at the Paydirt South Australian Resources & Energy Investment conference that the state government had established a steel task force to try and identify opportunities for restructuring, and co-investment to secure the long-term future of the Whyalla steel operation.
“I want to assure you that the government, through the steel task force and in collaboration with the commonwealth government, is doing everything it can to secure Whyalla’s future.
“We cannot be a nation with a huge iron-ore reserve that doesn’t produce our own structural steel, it’s a question of national sovereignty.”
Koutsantonis said that he was heartened by the number of suppliers and customers, including mining giant BHP Billiton, which have come forward to pledge their support for the Whyalla operations.
Arrium currently employs some 7 000 staff across Australia.