Chinese steel output will continue to increase modestly, BHP Billiton is predicting, contrary to some analysts’ predictions.
According to a report today, there is about half a dozen parties currently interested in Moly-Cop, and whether the grinding media business is bought or floated is expected to be known in October.
A senior Chinese official has said Chinese steel demand peaked two years ago, and called Australia’s attitude to steel dumping “ridiculous”.
The first batch of steel to be used to upgrade the fast-tracked Adelaide-Tarcoola rail line upgrade will be produced at Arrium’s Whyalla steelworks today.
The two-day Group of 20 leaders’ summit has agreed to the creation of a “steel forum”, which would monitor China’s pledge to cutting its steel output, though the issue remains economically sensitive within Australia.
According to the administrator involved, a deal on pay reductions for Arrium workers could come as soon as this afternoon.
Bluescope Steel, which announced a 160 per cent lift in its annual profits yesterday, has said it needs to continue cutting costs and be “competitive and profitable producer” if it is to keep the Port Kembla steelworks open.
The uncertain future of the Whyalla’s main employer, the Arrium steelworks, continues to trouble the city, with a significant capital injection needed to make the plant competitive again.
An informal meeting was held last night at Whyalla, with Arrium administrator KordaMentha briefing an audience and explaining the need for a new pay agreement and energy solution to assist with the sale.
Morgan Stanley will run the sale process for Arrium Australia – the steel and iron ore group minus Moly-Cop – with the mandate to pursue a trade sale rather than ASX listing.
An IPO for Arrium’s grinding media business, Moly-Cop, could come soon, according to reports that say a sale is supported by fund managers.
About 25 jobs at Bluescope Port Kembla’s slabyard will be lost as automated processes are brought in.
Servicing, Maintenance and Welding (SMW) Group provides field servicing, maintenance and emergency repair and rebuild services to customers in Central Queensland. The company also provides complete plant and equipment management, supported by a range of mine site compliance activities. In response to SMW’s desire to make its large welding workshop more efficient, BOC and its … Continue reading New gen robots cutting weld time by up to 90 per cent
In a move that could help reinvigorate the metal production industry in Australia, CSIRO and Enirgi Group have joined forces to develop and commercialise an affordable and low-emission technology for producing magnesium metal. The CSIRO-developed technology, known as MagSonic, produces magnesium using up to 80 per cent less energy and up to 60 per cent … Continue reading Low-cost magnesium developed by CSIRO
Union representatives will meet Arrium administrators KordaMentha today, with administrators wanting Whyalla steelworks workers to accept a 15 per cent pay reduction. AAP reports that Australian Workers Union branch secretary Peter Lamps said the workers had already made sacrifices. Discussions were continuing. “I would suspect when you start getting closer to that bedrock, negotiations will … Continue reading Administrators want Whyalla steel workers to take 15 per cent pay cut
Bluescope has made its fourth profit upgrade in a year, greatly assisted by improved steel margins in the US. The Australian Financial Review reports that it was the second profit upgrade in as many months, and the June half earnings before interest and tax were revised from May’s estimate of $270 million to $340 million. A … Continue reading Bluescope upgrades half-year profit, assisted by US margins, acquisition
The South Australian government and SA senator Nick Xenophon have urged the new federal government to secure the long-term future of the Whyalla steelworks.
Senator Nick Xenophon had an hour-long meeting with prime minister Malcolm Turnbull yesterday, telling the PM that it is vital the country retains a steel industry.
Arrium administrator KordaMentha will hold parallel sales of the Arrium’s mining consumables and its steel, mining and ports businesses, with operations at the Whyalla steelworks “stabilised”.
Arrium’s Moly-Cop grinding media business has lodged an application with Chilean environmental authorities to double capacity at its Mejillones plant.