ARI (ASX) Ann: Agreement Signed to Save Arrium Australia and Whyalla

Originally posted by kevmac ↑

went into the care of administrators and betrayed by the government resulting in these true blue assets falling into foreign ownership. Was taken without a democratic vote from its 80,000 owners on its future
charged a huge fee for their service but wonder if they achieved huge price for all of these
MOLYCORP – sold 1.6 bill
ARIUM MINING - exports approximately 12 million tonnes per annum of hematite ore, primarily to China. mining operations in the Middleback Ranges, South Australia. own export port facilities at Whyalla port's capacity now 13Mtpa.
ONESTEEL REINFORCING - is Australia's premier supplier of steel reinforcing solutions with 35 branches around Australia.
ONESTEEL METALCENTRE - is Australia's only truly integrated steel supplier, with an extensive network of 49 branches covering all major cities and regional areas
AUSTUBEMILLS - Australia's largest steel pipe and tube manufacturer with manufacturing facilities in Acacia Ridge (QLD) and Newcastle (NSW)
MIDALIA STEEL - is Western Australia's foremost supplier of steel products and operates 10 branches throughout metropolitan and rural areas.
EMRAILS - Australia's premier rail stockist have over 100 distributors throughout Australia and New Zealand. have supplied overseas markets such as: China, Korea, Indonesia and Philippines.
ONESTEEL RECYCLING - 1.4 million tonnes of ferrous and non-ferrous scrap metal operates from 22 locations in Australia and three in Asia, as well as from six Trading Offices in key supply and sales market regions across the globe.
ONESTEEL ROD BAR & WIRE - approx 2.5 million tonnes per annum and country's only manufacturer of Rod Bar and Wire products The business operates across five manufacturing locations:
· Newcastle Rod Mill (NSW)
· Newcastle Wire Mill (NSW)
· Geelong Wire Mill (VIC)
· Jindera Wire Mill (NSW)
· Laverton Rod Mill (Melbourne, VIC)
· Laverton Steel Mill (Melbourne, VIC)
· Laverton Bar Mill (Melbourne, VIC)
· Sydney Steel Mill (NSW)
· Sydney Rolling Mill (NSW)
ONESTEEL WHYALLA STEELWORKS - 1.1 million tonnes of raw steel every year

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Everyone of those Arrium businesses is profitable and will be for years to come unless IO drops below US$35 a ton.

If a business like Arrium cannot be returned to trading after entering administration and off loading a $1.5 billion dollar asset then no business can while KordaMentha are administrators and the big 4 banks are creditors.

The fee bonanza is just way too much of an incentive to sell the assets, no matter who the buyer is and what the purchase price settles at.