TEMCO sale deal secures 250 jobs
AFTER more than a year of uncertainty for workers in Tasmania’s North, the sale of the TEMCO smelter at Bell Bay has been finalised.
The smelter’s new owners say their purchase is one of the cleanest ferrous alloy facilities in the world and in line with their push to be carbon neutral within 10 years.
The smelter’s future has been in doubt since 2019 when former owner South32 announced it was looking to divest its smelters in both Australia and South Africa.
GFG Alliance’s purchase was finalised this week and the company said its new Bell Bay plant would be an “upstream integration” for its Whyalla steel works and its plants around the world.
The company said the purchase was a significant step forward in its pursuit to be selfsufficient in the supply chain.
Under the deal, TEMCO will become part of Liberty Steel Group which is part of the GFG Alliance stable of mineral assets.
GFG Alliance Executive chairman Sanjeev Gupta said the acquisition secured the jobs of the smelter’s 250 workers. He said the company was committed to seeing Bell Bay and nearby George Town continue to play an important role in Australia’s steel industry.
George Town Mayor Greg Kieser said more companies were realising the opportunity that green energy and Bell Bay represent. “I want to compliment both the state and the federal government in their vision and leadership in creating a climate which is absolutely set for a higher level of investment and the prosperity and the jobs that these things are going to drive over the coming decades,” Mr Kieser said.
Mr Gutpa said he was proud to invest in a state like Tasmania which has plentiful supply of renewable energy resources.
The finalisation of the deal has been welcomed by Premier Peter Gutwein.
“As a major regional employer, the securing of the ongoing operation of the smelter and the site’s 250 jobs is welcome news, not only to TEMCO employees and their families, but also by the broader community,” Premier Gutwein said.
State Growth Minister Michael Ferguson said the government had worked to bring GFG to Tasmania to introduce it to a range of potential investment opportunities, including TEMCO.
“We’re pleased GFG’s detailed due diligence has provided it with the confidence to invest here and we look forward to TEMCO continuing to employ a significant number of Tasmanians,” he said.