17 February 2026

Early works are underway on a transformative mining project that will help secure the future of steelmaking in Whyalla. Stage One of the Magnetite Expansion Project (MEP1) in the Middleback Ranges is set to secure the supply of magnetite required by the Whyalla Steelworks, with geotechnical drilling for planned construction activities already underway at Iron Duke, around 56 km from Whyalla.

The project’s potential is underpinned by a world-class magnetite resource – critical for future ambitions to transition to green iron and steel. Once delivered, the project will facilitate magnetite production of up to 2.5 million tonnes per year, providing long-term certainty for the Whyalla Steelworks.

Realising the expansion project would underpin an additional 20 years or more of additional mine life and continuity for more than 300 jobs.

The project is supported by a $20 million loan jointly funded by the Australian and South Australian Governments. This loan forms part of the $275 million funding package announced last July, with costs shared equally between both governments.

It comes as the sale of the Steelworks enters the final stage of binding bids, with five domestic and international industrial groups shortlisted after interest from more than 70 parties worldwide.

More than 10 site visits have taken place from international delegations, including from Japan, Korea, India, Vietnam and Europe.

The five shortlisted proponents are now undertaking detailed technical, financial and operational due diligence ahead of the submission of binding bids expected within months.

All this follows the South Australian Government’s decision to place the steelworks’ owner GFG Alliance into administration exactly one year ago this week.

The Australian Government and South Australian Government together funded a historic $2.4 billion support package, including financial assistance for local suppliers.

This decisive action has secured the future of the Steelworks, restored confidence in Whyalla and opened the door to genuine international competition for a new owner that will see steelmaking capability retained in South Australia.

Since this intervention, the Steelworks operation has achieved its best open pour billet casting performance since the asset was commissioned in 1999.

In November, the Finished Goods team dispatched close to 8,500 tonnes of product in just three days, the highest result in a decade, while Steelmaking achieved the highest 24-hour production result for a specific casting type since the caster was constructed.

The recovery continues with 27 new local apprentices commencing work with OneSteel Manufacturing this month.

This follows the successful completion of 23 apprenticeships at the end of 2025 through OneSteel Manufacturing’s Workforce Development Program. Just five apprentices were employed at OneSteel the previous year.

In total, more than 70 apprentices are currently employed across OneSteel Manufacturing’s operations in Whyalla, reinforcing the scale of long-term workforce investment in the region.

Trade apprentices in Whyalla will also now be able to complete more of their training locally thanks to a significant investment from the South Australian Government in new training equipment and the expansion of key training courses in the region.

A $967,000 upgrade to equipment at TAFE SA Whyalla, including new computer numerical control (CNC) machining, hydraulics and pneumatics training infrastructure, has been jointly funded by the South Australian Government and OneSteel Manufacturing.

The Ferretti Building has been repurposed as the new training centre, bringing an existing industrial facility back into productive use and ensuring apprentices train on full scale, industry grade equipment that closely reflects the tools used in real steelmaking and advanced manufacturing environments.