GFG Alliance to Build Mammoth Steelmaking Facility in South Australia

SEATTLE (Scrap Monster): The British Gupta family-owned GFG Alliance has revealed ambitious plans to construct one of the biggest steelworks of the world in Whyalla, South Australia. The company will transform the existing Whyalla steel plant into one of the competitive steel production facility in the world through installation of state-of-the-art technologies and equipment.

According to Sanjeev Gupta, Executive Chairman, GFG Alliance, the announcement marks a major milestone in the Whyalla Transformation Program. The company has already signed an engineering contract with China’s CISDI towards construction of blast furnace. Also, it has reached agreement with Italian heavy equipment maker Danieli for the mill. The signed contracts are worth around A$600 million, Gupta noted.

The investment will be financed by group’s own resources and finance from vendors. GHG Alliance also expects funding through government subsidies. The construction phase of the plant is expected to generate thousands of job opportunities. The plant will be designed, built and commissioned over the next four-year period. Once operational, it will focus on production of steel slabs, booms and billets. The strategic location of the plant will ensure easy access to the vast iron ore and coal resources in the region.

The new plant will have most advanced environmental controls, in order to ensure bare minimal carbon emissions.