Joint media release with Premier of South Australia Peter Malinauskas.
The Australian and South Australian Governments are backing in their commitment to Whyalla, with a further $275 million to continue operation of the Whyalla Steelworks as it transitions to new ownership with a plan to deliver long-term sovereign steelmaking.
The funding will enable Administrator KordaMentha to maintain safe operations, pay wages and suppliers, and undertake critical works to strengthen the steelworks positions as a viable long-term asset for a new owner.
The Whyalla Steelworks is one of South Australia's most strategically important employers and a key part of Australia's sovereign manufacturing capability. The additional funding follows the formal opening of the sale process on 24 June 2025, marking a crucial next step in securing a sustainable future for the steelworks and the region.
Since the company was placed into voluntary administration in February, the Malinauskas Labor Government and the Albanese Labor Government have worked closely to keep the business running, support local jobs, and provide stability for the community.
This investment gives the Administrator and sales advisor 333 Capital time to progress negotiations and find the right long-term owner, while ensuring the people of Whyalla are backed every step of the way.
Governments welcome interest from all credible bidders and will engage, at the appropriate time, with any bidder who has a competitive plan for modern steelmaking in Whyalla. There is no preferred bidder.
Quotes attributable to Minister for Industry and Innovation and Minister for Science Tim Ayres:
"Today's funding announcement will give certainty to the thousands of people in Whyalla and surrounding communities connected with the steelworks.
"Impressive progress has been made at the Whyalla Steelworks over recent months, and I recognise the dedicated workforce for engaging with the challenge and hard work of turning it around.
"The Governments significant intervention has stabilised the steel works while keeping workers in jobs and keeping this critical Australian steelmaking asset running while the most suitable owner is found.
"The commitment to securing the most suitable owner will safeguard Australia's future steelmaking capability, ensuring Australia has the steelmaking capability it needs for the future."
Quotes attributable to Premier of South Australia Peter Malinauskas:
"This is another vote of confidence in delivering a long term sovereign steelmaking capability for our country.
"We took decisive action to place the steelworks in administration, and together with the Commonwealth, have worked in partnership to put Whyalla in the best possible position to realise its economic potential with a modern manufacturing capability.
"The steelworks has been stabilised, jobs are secure and the sales process is proceeding well.
"Australian customers are now returning to buy South Australian made structural steel.
"None of this would have happened without our intervention."
