Former Whyalla steelworks owner OneSteel Manufacturing, part of Sanjeev Gupta’s GFG Alliance, owed $18.5 million in state royalties when the plant was forced into administration last year, SA Treasurer Tom Koutsantonis allegedly confirmed.
According to ABC, the debt included payments for iron ore processed and exported from the facility.
Koutsantonis said disclosure was previously restricted by law but could now be made public.
The company had faced ongoing operational challenges, including a four-month blast furnace halt and market disruptions, which contributed to delayed royalty payments.
Despite the debts, the federal government had pledged $63.2 million to support the plant’s green steel upgrades, a move questioned by former SA Senator Rex Patrick.
Koutsantonis defended the timing of the administration and stressed the government’s priority remained the long-term security of Australian steelmaking.
Administrators are now seeking a new owner, with Bluescope leading an international consortium, while other GFG businesses remain under financial pressure.
Source: ABC.
