BlueScope appointed adviser to Whyalla Steelworks

BlueScope Steel has confirmed that the administrators of the Whyalla Steelworks group have appointed BlueScope as a steelmaking advisor.

BlueScope says that it will provide in-kind technical and operational support in an advisory capacity to the administrators as they seek to secure ongoing operations at the steelworks.

BlueScope is not committing any capital or other corporate support to the administration process. BlueScope says it has also not made a decision to participate in any sale process or purchase any assets at this stage.

“BlueScope has a longstanding history with the Whyalla Steelworks, and we know its people and assets well. We recognise the ongoing importance of Whyalla to the Australian economy and sovereign capability,” said BlueScope’s Managing Director and Chief Executive Officer, Mark Vassella. “This is a difficult time for the steel industry in the Asia Pacific region, but we are in a position to help. Accordingly, we will provide a team of experts from Port Kembla Steelworks to assist the administrators [to] work through their process.

“Our position as an adviser will also help inform our potential participation in any future sale process, noting any decision would be subject to BlueScope’s rigorous capital assessment process and return-on-investment hurdles.”