The NSW Government has granted planning approval for a refurbishment of BlueScope’s 60-year-old plate mill, aiming to boost production, invigorate the state’s economy, and create new local jobs.
This development marks a significant endorsement of NSW’s local steel operations, promising an estimated $650 million economic stimulus, the government said in a media release.
The upgrade will enhance production capability and capacity at the Port Kembla site, where steel slabs are processed at 1300 degrees Celsius, to meet increased demand in the construction, renewable energy, and defence sectors.
The multimillion-dollar project includes replacing two existing furnaces with newer, more energy-efficient alternatives, upgrading infrastructure, and modernising processing equipment.
This modernisation will also reduce environmental impacts, significantly cutting fuel consumption.
The project is set to boost production capacity from 430,000 to 600,000 tonnes annually, inject $650 million into the NSW economy, and create 95 full-time construction jobs at peak times along with 18 additional operational positions.
The State Significant Development approval will enable BlueScope to support the emerging renewable energy sector in the Illawarra by producing more high-quality steel plates, aiding the state in achieving its Net Zero by 2050 target.
In a broader show of support, the government has also announced the formation of a ‘whole of government’ Working Group, chaired by the Minister for Planning and Public Spaces and Member for Wollongong.
This group will coordinate decision-making for the largest industrial land reactivation proposal in the world, akin to transforming land use in Sydney CBD from Circular Quay to Central Station, potentially providing employment for up to 30,000 people.
Minister for Planning and Public Spaces and Member for Wollongong Paul Scully remarked, “Port Kembla Steelworks is an important part of Wollongong with a history of steelmaking of nearly 100 years. This major project represents the most comprehensive upgrade of the plate mill since it was built in 1963.”
He added, “Much of the original plant is still in use today including the original reheat furnaces, and 6 decades later, this upgrade is needed to modernize operations and increase efficiency.”
Scully also highlighted the broader impact, “Combined with the reline of the number 6 blast furnace and the approved jetty upgrades, these investments signal a strong future for steelmaking in the Illawarra.”
“I look forward to this upgrade getting underway and these new highly skilled job opportunities being offered to the local community,” he remarked.
Chief Executive of Australian Steel Products Tania Archibald emphasised the strategic importance, stating, “This project is a testament to BlueScope’s vision to be a vibrant, modern, and sustainable manufacturer in Australia.”
Works are set to commence in July 2024 and will take three years to complete.
For more information, visit the NSW Planning Portal.
