Greensteel Australia will invest AUD 500 mln to build Australia’s first new steel mill in more than 30 years at the former BHP Newcastle Steelworks site in Mayfield, New South Wales. The all-electric plant, expected to start operations in January 2028, will mark the return of steelmaking to the Hunter region.
The mill will have an annual production capacity of 600,000 tons of finished steel, initially producing reinforcing bar, with wire rod and coil planned in later phases. The project is expected to create more than 200 direct jobs, with additional employment during construction and across local supply chains.
The company said the investment was supported by the Australian Federal Government’s “Future Made in Australia” policy and the New South Wales government’s industrial and housing initiatives, which encouraged domestic steel manufacturing.
The facility will use electric induction furnace technology supplied by Italy’s Danieli, eliminating the use of natural gas in the steelmaking process. Greensteel Australia said the technology will produce no direct COâ‚‚ emissions while allowing the plant to operate using electricity, including renewable energy.
Site refurbishment is scheduled to begin later this year, with major equipment deliveries expected from October 2027 ahead of commissioning in January 2028.
Greensteel Australia said increased domestic production is expected to reduce Australia’s reliance on imported steel, improve supply security and support demand from the housing, transport and energy sectors. The company added that details of the second development phase for the Mayfield site will be announced in the coming weeks.