Ann: NRW Half Year Results Presentation, page-8

Yes to the hats off Xuefeng ..
And I haven’t had a full look at the results yet, but addressing the One Steel issue and trying to ‘settle’ the story there in my mind;
Firstly posters here were correct on noting all the debt has accrued since June 30.
Then on November 7, Golding ceased work.…..

(I figure they must have only kept going those four months due to ‘promises, promises’ :/ )​

They started up again, a month later on 7 December on receipt of four million bucks a ‘Standstill Agreement’ (“by which parties agree to stand limitation periods still – allowing them to take their time to explore whether an amicable settlement is possible rather than needing to commence proceedings right away.” [ref])
And… “various security documents including a guarantee and indemnity from both Liberty Primary Metals Australia Pty Ltd (LPMA) and Whyalla Ports Pty Ltd (Whyalla Ports), and obtaining first ranking security over certain assets of Whyalla Ports and the shares in Whyalla Ports, and a commitment of $70 million paid from financing activities announced.”
The West notes above: “NRW indicated in its financials that $82.5 million had been racked up in receivables when it agreed to restart work on December 6 on the condition OneSteel cough up $4 million and provide a guarantee for $70m. Penalty interest rates were also cranked up from 5.3 per cent to 13 per cent.”

FWIW the announced ‘financing activities ’ related to GFG’s November loan from a global credit fund [19/11/25 GFG Alliance secures $150 million loan to pay staff and suppliers and fund repairs at Whyalla steelworks ]
….except the end of the year came and went, Golding was not paid, and then on January 15 GFG suddenly ended the contract, (so I guess the good faith relating to the standstill agreement was completely one-sided on Golding’s part :/)

… FWIW it was two days before that, on 13/01/25 we were told NRW CFO, Richard Simons, had suddenly retired.​

Then;
… “19 February 2025, the South Australian Government appointed KordaMentha as Administrators over OneSteel.
Golding is owed approximately $113.3 million in trade receivables and contract assets.”

@Xuefeng181855 , I suspect the guarantee on the $70 million along with the 13% interest charge might have gone kaput on the notice of administration?
But on the bright side the contract was reinstated for another year.

And as far as impact goes, NRW has decided not to recognise the debts?
“There has been no earnings impact of the above events recognised by the Group during the period with no specific allowance being recognised…”


Except the massive bulk of the debt was incurred in the last half, and was in relation to moneys due well before November when Golding stopped work?
And no financial provisions were made in the half yearly report?
The West wrote:
... “ the Jules Pemberton-led contractor has not set aside any provisions to cover losses from the work done should it fail to recover the cash through securities held over OneSteel”

Maybe someone could explain why this should be so please?
And no provision made for bad weather events either despite that the report says earnings were impacted by rainfall up to December, and I thought floods had continued in Queensland through to February? (maybe I am wrong in the geography here?)


Cheers and thanks in advance.