Arrium steelworks to get back to full production tomorrow

Image: Fairfax

Full production is expected to return at Arrium’s Whyalla steelworks tomorrow, following the September 28 South Australian blackout.

The Australian reports that grid operator ElectraNet has allocated 80 megawatts of electricity to the steelworks and iron ore mine in SA.

A spokesman for Arrium administrators KordaMentha told The Australian that the allocation allowed for full production, “but there’s no buffer.”

Last week KordaMentha said that 40 megawatts of power had been restored to the steelworks, and production was back to about 80 per cent capacity.

The administrator has estimated that the interruption has caused losses of about $30 million.

They have also said that the blackout has not affected the sale process of the assets of the Arrium group of companies, which went into administration in April, owing $4 billion.

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