Latest news with #SanjeevGupta
News.com.au
13 hours ago
- Business
- News.com.au
Treasurer Stephen Mullighan spends big on Whyalla steel in 2025-26 South Australian budget
The troubled Whyalla steelworks, law and order and a bold bid to bring the mammoth COP31 climate conference to Adelaide are the big winners from South Australia's pre-election budget. Treasurer Stephen Mullighan has promised $650m over six years for the steel plant as part of a $2.4bn 'sovereign steel package' backed by the federal government. In his speech to the state parliament on Thursday afternoon, Mr Mullighan outlined where the money would go and said the allocation would preserve the state's industrial capacity. 'Our unprecedented intervention to place the Whyalla steelworks into administration has protected thousands of jobs, hundreds of businesses and ensured Australia remains a country that manufactures critical steel products,' he said. 'Under this government, South Australians will not be taken for fools by fast-talking businessmen that continually break their promises to our state … the ($650m) funding is for administration costs, investment in the plant to support the sale and for a comprehensive rescue package that safeguards the Whyalla community.' The state government took control of Whyalla from British steel magnate Sanjeev Gupta in February and administrators KordaMentha are working to secure a buyer for the integrated plant. Before the shock takeover, the steelworks suffered losses for months and the government grew increasingly sceptical Mr Gupta's GFG Alliance would meet its debt obligations. The steelworks is a core economic engine for Whyalla, a town of 22,000 people, and the state more broadly. It is Australia's only fully integrated steelmaking enterprise, producing slabs, billets, hot rolled structural steel and rail products. Thursday's budget comes about nine months before the Labor government, led by Premier Peter Malinauskas, will return to the polls in March next year. In a pre-election pitch, Mr Mullighan said the budget preserved the state's industrial capacity, supported farmers battling through punishing drought conditions and demonstrated the government's 'sound financial management'. 'We are the lowest taxing state on the mainland,' Mr Mullighan said. 'And we have kept our promise not to introduce new taxes or increase existing ones. 'We've done all this while returning the budget to surplus and improving the state's credit rating outlook.' The budget delivers a surplus of $179m for 2025-26 and forecasts a $369m surplus for 2026-27 and $458m for 2027-28. Those figures are predicated on gross state product growth rates of 1.75 per cent for 2025-26, and then 2 per cent for both 2026-7 and 2027-28. Net debt is expected to expand from $35.5bn in 2025-26 to $48.5bn in 2028-29. Law and order is also a big winner, with the budget delivering $172m over six years to accommodate additional sworn officers. The state aspires to have a total sworn force of 5000 officers by 2030-31. 'While crime rates have fallen over the course of this government, we continue to toughen laws, expand our prisons and equip our police and criminal justice system with the resources needed to combat crime,' he said. 'This budget provides the largest boost to police funding in the state's history.' A bid to lure the COP31 climate conference to Adelaide is also a standout allocation, receiving $8.3m. A $118m cost-of-living package includes a stark boost for students. The price of student metro card 28-day passes, which are used across Adelaide's bus, rail and tram network, will tumble from $28.60 to just $10. The change means a student catching public transportation will pay the equivalent of 25 cents a trip. The Liberal Party, led by Opposition Leader Vincent Tarzia, said the budget demonstrated Labor was 'out of money and out of ideas'. Mr Tarzia said the state was now confronting a 'debt iceberg', citing the $48.5bn figure as the largest in the state's history. 'The debt iceberg will sink the dreams of future South Australians' he said. 'What's abundantly clear is that Labor is completely out of touch with the needs of South Australians and instead, is frivolously whittling away taxpayer dollars on vanity projects that don't deliver any relief from sky-high energy prices, water bills and the housing crisis.
The Guardian
27-05-2025
- Business
- The Guardian
Liberty Steel's South Yorkshire operations lost £340m in four years
Liberty Steel's operations in South Yorkshire lost £340m in four years, according to figures that shine a light on the difficulties facing a business on the brink of liquidation that employs 1,450 people. The company, owned by the metals magnate Sanjeev Gupta, is desperately searching for investors or lenders before a 16 July deadline, after London's high court granted it extra time last week. Its South Yorkshire subsidiary includes an electric arc furnace at Rotherham, plus steelworks in Stocksbridge and Brinsworth. Court documents suggest that previous efforts in 2022 to sell the latter two sites to an unnamed venture capital fund or a 'Chinese conglomerate' came to nothing. The Guardian revealed last week that the Rotherham plant and a similar operation in Motherwell, Scotland, have not produced any steel for about nine months because of a lack of funds to buy vital materials, with staff on furlough on 85% of their salaries. The depth of the crisis has prompted Community, the biggest union representing steelworkers at the plants, to write to Gupta, a Dubai resident, asking for assurances of his ability to continue to run his businesses in the UK. If Gupta is unable to do so, the union 'will be forced to demand that you step aside', according to a letter seen by the Guardian from the general secretary, Roy Rickhuss. The UK steel industry is under severe pressure, with 2024 production slumping to the lowest since the 1930s. The government passed emergency legislation in April to take control of British Steel's two blast furnaces at Scunthorpe to prevent up to 2,700 jobs being lost within days. Another crisis is brewing at Liberty Steel, with some industry figures expecting the government to step in to ensure the plants keep running if they fall into liquidation – although it is not thought that the government will give financial support to Gupta's companies. Liberty Steel companies, grouped under Gupta's informal GFG Alliance, have not filed accounts since 2021, when the group was plunged into turmoil by the collapse of the lender Greensill Capital. Investors who backed Greensill are now seeking to recover $4.5bn (£3.32bn) lent to Gupta's businesses. Gupta has in recent months lost control of a series of his businesses around the world, including Liberty Steel's eastern European companies, the Whyalla steelworks in South Australia, and his metals trading business in the UK. At the same time, the UK's Serious Fraud Office is investigating suspected fraud, fraudulent trading and money laundering related to GFG's financing with Greensill. Gupta's ownership of the South Yorkshire operation – formally known as Speciality Steel UK (SSUK) – is also under threat, after a supplier issued a winding-up petition over unpaid debts, and a company plan to write off debts related to Greensill failed. That process gave a rare insight into the finances of Liberty Steel. Documents disclosed in court showed deep losses since March 2020 at SSUK, albeit with a slight improvement up to March 2024 as the company focused on higher-value aerospace and defence products for companies including Rolls-Royce and Airbus. However, the hiatus at the Rotherham site since last July means losses are likely to have risen again. Sign up to Business Today Get set for the working day – we'll point you to all the business news and analysis you need every morning after newsletter promotion In December, the company submitted to the court that it was insolvent, and would face compulsory liquidation if the restructuring deal failed. It is 'considered likely that a 'special manager' would be appointed' by the government's official receiver, the company said, as happened in 2019 when British Steel fell into liquidation. Jeffrey Kabel, Liberty Steel's chief transformation officer, said that despite 'substantial challenges, particularly for our colleagues at the Speciality Steel plants and their families, our commitment remains unwavering'. He said the business faced 'persistently difficult operating conditions in the UK steel sector', but Gupta had given 'over £200m in personal funding' to pay salaries during inactivity. 'We are actively exploring every viable option to avoid an uncontrolled liquidation and protect the business as a going concern,' Kabel added. Workers have lost confidence in Gupta, Community's leader said in his letter. 'Our members no longer believe what the company says,' Rickhuss wrote. 'We have had enough, and we will not accept you kicking the can down the road so that the businesses can limp on to nowhere.' Employees at the Rotherham and Stocksbridge sites who spoke to the Guardian said the mental health of workers and their families had been damaged by the long-running uncertainty over the future of the plant. Uncertainty across the group over the past nine months had prompted many workers to leave.
AU Financial Review
25-05-2025
- Business
- AU Financial Review
Billionaire Stokes family check out the up-for-sale Whyalla steel mill
The billionaire Stokes family's listed investment vehicle has taken an interest in the Whyalla steelworks, once owned by British industrialist Sanjeev Gupta and in the hands of administrators since the South Australian government moved in and seized control of the plant in February. That interest from SGH Limited, a $20.6 billion conglomerate which owns Boral and other big industrial plays, came in the form of a recent visit to the steel mill north-west of Adelaide by chief executive Ryan Stokes and chief financial officer Richard Richards.
AU Financial Review
25-05-2025
- Business
- AU Financial Review
Whyalla administrators in credit stand-off with Gupta's InfraBuild
The administrators of the Whyalla steelworks temporarily halted the delivery of steel to InfraBuild in a stand-off over payment amid tense relations between the two businesses associated with Sanjeev Gupta. The British industrialist lost control of the Whyalla steelworks earlier this year when the South Australian government seized control, appointing KordaMentha to run the business and prepare it for sale.
United News of India
22-05-2025
- Business
- United News of India
Two day training prog on Chemicals, Petrochemicals Industrial Safety begins
Chennai, May 22 (UNI) A two-day residential training program on 'Chemical and Petrochemicals Industrial Safety' was inaugurated by Dr. Sanjeev Gupta, Former Chief Scientist, Central Leather Research Institute here on Thursday. In all 114 participants from 66 Chemical and Petrochemical Industries which were identified as Major Accident Hazard Units (MAH) participated. The Central Institute of Petrochemicals Engineering and Technology (CIPET) is a premier National Institution functioning under the Department of Chemicals and Petrochemicals, Union Ministry of Chemicals and Fertilizers, and is an ISO 9001:2015 QMS certified, ISO/IEC 17025, ISO/IEC 17020 accredited premier National Institution fully devoted to Skill Development, Technology Support, Academic and Research (STAR) activities for the growth of Polymer and allied industries in the country. Under the country's action plan of Viksit Bharat@2047, the Department has prioritized strengthening the training required to ensure safety standards in the chemicals and petrochemicals sector. This initiative underscores the Union Government's commitment to ensuring safety, sustainability, and accountability in the chemicals and petrochemicals sector. It reflects a proactive approach toward fostering a secure and environmentally responsible industrial landscape, a PIB release said. The chemicals and petrochemicals industry plays a vital role in the economic growth of the nation. However, it also involves inherent risks, particularly in units handling hazardous substances. Ensuring robust safety protocols and training skilled professionals is essential to protect human lives and safeguard the environment. The Department of Chemicals and Petrochemicals is committed to enhancing the capabilities of professionals working in high-risk units. Through specialized training programs on chemical safety management, the aim is to equip mid-level management employees with the knowledge and tools necessary to maintain safety and prevent accidents. These professionals play a crucial role in managing daily operations, ensuring compliance with safety regulations, and implementing effective risk management strategies. The Department has taken initiatives to impart training on Chemical safety to all the 2393 MAH units across the country and CIPET : IPT - Chennai is conducting the programme today and tomorrow for the benefit of MAH industries across Tamil Nadu. UNI GV 1602
