As South Australia (SA) sets a pathway forward to revitalise the Whyalla Steelworks, this report argues it must remain steadfast in its ambition to leverage its leadership in renewables and comparative advantage in new energy trade. And do this by deploying capital at speed and scale into firmed renewable energy supply and build a first-of-a-kind (FOAK) green iron hub in the southern hemisphere.

The forced administration of the Steelworks in February 2025 provides SA, and Australia, a critical nation-building opportunity to pivot from fossil fuel-based steel to a model in which SA’s abundant, world-leading renewables and magnetite resources are deployed to produce green iron and steel in a global marketplace. This would enable the inevitable shift to a future of zero-emissions iron and steelmaking. The report asserts green iron is Australia’s single largest export industry opportunity in a net zero economy. 

Recommendations

• The SA Government must re-evaluate the cost and risk of lock-in of a gas ‘transition’ of the Whyalla Steelworks.
• Provide strategic, targeted support for a FOAK capital deployment in clean commodity production to scale firmed renewables and green hydrogen.
• SA must focus on enabling the broader SA green iron opportunity, making Whyalla a lighthouse green iron and steel project.
• Focus on scaling SA’s magnetite mining and export opportunity, leveraging established markets and enabling policy and infrastructure.