OneSteel Ltd (ASX:OST) says it will face an annual cost of around $115 million for a carbon price of $25 a tonne if they don’t receive any compensation from the government. This would threaten its Whyalla steelworks in South Australia.
Steel makers are warning of plant closures and the loss of 15,000 jobs if a carbon price is introduced.
BlueScope Steel Ltd (ASX:BSL) chief Paul O’Malley warned his company would have to shut its Port Kembla steelworks if it didn’t receive significant compensation.
OneSteel reported a half year net profit of $119.5 million to 31 December 2010.
