building a strong Future, together - OneSteel

Building a Strong Future, Togetheronesteel whyallaenvironmental and social responsibility report 07/08

ABOUT ONESTEELABOUT ONESTEEL WHYALLAOneSteel is Australia’s premiermanufacturer of steel longproducts and a leading metalsdistribution company, withrevenues in excess of $7 billionAustralian dollars. OneSteel andSmorgon Steel, two great namesin Australian steelmaking, arenow a single entity, with morethan 11,000 employees in over200 locations across Australiaand 13 offshore facilities. Fromminerals extraction through tometal recycling, the new, totallyintegrated OneSteel will delivercost and performance benefits toour customers and stakeholders.Australia’s recent resources boomhas driven growth across theminerals sector. In particular, China’shuge demand for steel in the lastfinancial year provided OneSteel withtremendous economic opportunities.Our challenge is to make sure weuse the wealth generated from suchopportunities to address the substantialimpacts the steelmaking industry hason the environment and society, and togive back to our local community.OneSteel’sSustainabilityObjectiveBy recognising and valuing theinterdependence of economic, socialand environmental considerations inour decision-making and balancingthese with the needs of stakeholders,we seek to derive furtheropportunities to improve long-term,sustainable business performanceand management.For further information onOneSteel, and to access our policies(Environmental, Risk and StakeholderCommunication) and Code of Conduct,please see www.onesteel.com.Built on the advantage of thesecure low cost iron ore suppliesfrom the Middleback Ranges,OneSteel Whyalla is the majorsource of both Special BarQuality (SBQ) and commercialgrade billet feed for the business.OneSteel Whyalla producesapproximately 1.2 million tonnesof raw steel each year. About 55%of that product is transferred byrail to OneSteel’s Rod, Bar andWire Mills in billet form for furthervalue-added processing. The balanceof the steel is either converted tofinished products in the Whyallarolling mill or produced as slab forexternal sale. These products servicethe construction and rail transportindustries, with OneSteel Whyallabeing the only manufacturer of railsin Australia.Key to OneSteel Whyalla’s growth hasbeen the completion of its conversionfrom hematite ore to magnetiteore under its $402 million ProjectMagnet in the past financial year.This conversion has extended the lifeof the plant, brought about significantenvironmental benefits, and created anew source of earnings by freeing uphematite reserves for export.OneSteel Whyalla is committedto the company’s shareholders, itsemployees and its customers andis focussed on making OneSteel awinning Australian company.OneSteel Whyalla’s Environmentand Social Responsibility Visionis “to have a positive impact onour community, economy, andenvironment by openly engagingour employees and stakeholderson key issues and delivering onour commitments”.

A LETTER FROM THE EXECUTIVE GENERAL MANAGERa year of achievementUnder Project Magnet, OneSteel has nowconverted the steelmaking process fromhematite to magnetite, bringing with itbenefits for OneSteel, the environmentand the local community.It has allowed us to almost entirely ceasethe crushing, screening, drying and grindingprocesses that for so long have stained the eastend of Whyalla in the now renowned ‘pellet plantred’. Ore now comes to the pellet plant in a wetslurry rather than dry on the back of wagons androad trains no longer deliver ore on a regularbasis. In addition, we can now make full use ofour export shed and have begun storing thenorthern stockpiles undercover. These initiativeshave extended the life of the Steelworks andhence secured the future of Whyalla until atleast 2027.Magnet also provides numerous boosts for theperformance of the business. The new magnetitestream will allow us to produce more steel forthe same amount of pellets whilst opening up ourhematite reserves for export.This has been great news for OneSteel Whyallaand has allowed us to bring about furtherinitiatives, including the Community Dust Targetwhich came into effect at the commencement ofProject Magnet early in the calendar year.Details of the target are provided in theenvironment section (pp 27-31), but I am pleasedto say that we recorded only one exceedence ofour target in the first half of the calendar year.This demonstrates the monumental differenceMagnet has made to our environmentalperformance and we expect this to continuallyimprove as we find new ways to further minimiseany negative impacts.Another initiative on the horizon is theCommunity Clean-up Project. Now that theimpact of red dust is nowhere near previouslevels, we can more effectively begin cleaning thehomes and properties of Whyalla’s dust-affectedcommunity. Acknowledging and committingto cleaning up the damage that fugitive dusthas caused over the years is a major, and veryimportant, change in our approach – OneSteelmust help make red dust a thing of the past forthose who have been affected.Demonstrating another major step forwardfor the business this year was an improvedrelationship with the Whyalla Red Dust ActionGroup (WRDAG). For many years our relationshipwith WRDAG has unfortunately been basedon conflict. However, I am pleased to say bothparties have shifted their stance and nowwork together to explore and deliver mutuallybeneficialoutcomes for the wider community.This collaborative approach is the only way tomove forward and bring about significantchange, and we look forward to addressing themajor concerns of WRDAG members throughoutthe clean up process.So where to from here? OneSteel Whyalla is allabout continual improvement in every aspectof the business, and we have begun numerousprojects to ensure this is achieved. Of majorsignificance is Project Magnet Phase Two, whichwill see us increase our export capabilitiesfrom 4.4 million tonnes this financial year tosix million tonnes by the 09/10 financial year.We have also begun exploration to increase ourhematite reserves and have already added 13million tonnes in the 07/08 financial year. We willcontinue to work to ensure any environmentalimpacts are minimised as a result of any increase.As further indication of our new approach, wehave started to monitor noise and dust impactsfrom trains so that current operations – and anyfurther ramp-up – will have minimal impact onthe community.We have all been part of some exciting timesin this past year. OneSteel Whyalla has takena significant step forward in the world market,helping spark a development boom in Whyallaand increasing confidence in the city’s future.In looking forward, we also face considerablechallenges. These include the need to minimise2

water usage from the Murray through watersaving initiatives, whilst maximising the useof Murray water through recycling and reprocessing,and the exploration of opportunitiesto produce our own water on-site using salt water.Energy efficiency and carbon emissions willalso require careful management and potentialinvestment. A study into how best to maximise thepower we produce on site is already underway.The recent changes in the global economy haveresulted in a rethink of the way we need tooperate. This, in the main, is about acceleratingimprovement programs that we had underwayin our budget and business plans. Key actionsinclude managing output in line with demand toreduce and control inventory levels, tight costcontrol, having the right mix between employeesand contractors, implementing structures thatensure people are focused on value-add activitiesand that we balance the short-term imperativeswith longer-term workforce planning. However,being conservative in the short-term and henceprepared for challenging times ahead will allowus to prosper in the long-term.have the trust of the people who have helpedmake us a success.We can not promise that we will always getthings right, every hour of every day. Howeverwe can commit to striving for improvement,learning from our mistakes and holdingourselves accountable to meet our targetsand commitments. This includes making ourpriorities clear and ensuring the communityis able to voice their concerns and provideinput into our continual improvement.This is a challenging time, and we lookforward to working with you to strengthenour future together.Mark Parry,Executive General ManagerOneSteel WhyallaWe will continue to work with the community aswe move forward, because the community andOneSteel Whyalla are equally reliant on eachother. We respect this relationship and will doeverything to strengthen it by demonstratingaccountability and transparency - ensuring wePrinciple Geologist Tony Cleeton, left, and SeniorMine Geologist Dave Clarke are part of the teamhelping OneSteel increase its iron ore reserves.3

LEAD TEAM PROFILESMark ParryExecutive General ManagerAge: 46Jim WhiteGeneral Manager Business SustainabilityAge: 58Alan TidswellGeneral Manager Human ResourcesAge: 53Gavin HobartGeneral Manager Mines and ExportAge: 38Mark joined OneSteel from BHP after workingin a number of roles since 1984. Prior to hiscurrent role, Mark was General Manager ofManufacturing Pipe and Tube. He has served asGeneral Manager of the joint venture companyBekaert-BHP Steel Cord and held the positionof Manager Geelong Wire Mill.His current role as Executive General Managerincludes full responsibility for OneSteelWhyalla, including the iron ore mine operations.Mark is also a member of the OneSteelExecutive Leadership Team.Highlight: Seeing a step-change reductionin Medical Treatment Injuries (MTIs) by bothemployees and contractors whilst successfullyfinalising Project Magnet construction,cut-over and transition.Jim joined OneSteel as part of the spin-outfrom BHP in 2000 and has spent 34 years inthe steel industry in a number of roles.His current role as General Manager BusinessSustainability involves product development,and defining new or upgraded operatingfacilities and environmental programs thatensure the prosperity of OneSteel Whyalla – andtherefore the local community – to at least 2027.Highlight: The conversion of the steelmakingprocess under Project Magnet, the economicrevival of Whyalla and a significant reductionin red dust.Alan has been the General Manager HumanResources at OneSteel Whyalla since July 2005.In his role, Alan is responsible for ensuring thefuture workforce needs are met to supportOneSteel’s strategic plans, providing high-levelstrategic advice to business unit leaders, anddeveloping and deploying strategies to ensureall employees have the required skills to meetthe needs of the business.Highlight: The successful partnerships weformed with both the University of SouthAustralia and TAFE SA through the reintroductionof the Engineering degree coursein Whyalla and the development of the SafetyTraining Centre.Gavin joined OneSteel in October 2001,starting as Manager Pellet Plant.His current role as General Manager Minesand Export is focussed on safely deliveringagainst business expectations to capitalise ongrowth opportunities brought about by ProjectMagnet, primarily related to the new exportiron ore business.Highlight: Being MTI free duringcommissioning of the Concentrator was amagnificent outcome, as was the 12-monthOneSteel employee MTI-free year for Minesand Export. Having the hematite supply chainfully operational eliminated ore trucks fromthe Whyalla community, and the clean up ofexternal ore stockpiles has translated intoa much cleaner operation in and around thepellet plant area.4

Gideon JanssenGeneral Manager CommercialAge: 48Gideon joined OneSteel Whyalla in July 2005after spending time with GM Finance and asa deal maker in mergers, joint ventures andtakeovers. His previous experience includesauditing, financial management, managementaccounting and corporate finance.As General Manager Commercial, Gideon isresponsible for the commercial function ofOneSteel Whyalla.Highlight: The significant decrease in ourMedical Treatment Injury Frequency Rate(MTIFR) which means we are injuring lesspeople. The decrease brings us closer to GoalZero. Also successfully implementing SAP MM,PM and Fi-Co, and making a significant profitwhile steadily increasing our contributions tothe profits of the greater OneSteel group.Graeme BarkwayManager MarketingAge: 55Graeme gained overseas work experiencein South Africa, Namibia and the UK beforereturning to Australia in 1981.In his current role as Manager Marketing forOneSteel Whyalla, Graeme is based in Lonsdale,Adelaide, with a small sales and marketingteam responsible for rail products and nonsteelproducts.Highlight: Whyalla achieving an MTIFRof 3.1 in a year full of challenge, changeand progress.Jon HobbsGeneral Manager ManufacturingAge: 48Jon’s previous roles have included VicePresident Operations of a compact steel millin Thailand, and Executive Works ManagerIronmaking for an integrated steelworks inSouth Africa.Jon has been with OneSteel since August2004, formerly as Director Project Magnetoverseeing OneSteel Whyalla’s $400million project, and now in charge of allmanufacturing aspects of the business.Highlight: The conversion of the pellet plant toa wet filtering process and the commensuratereduction in dust generation with the closure ofthe dry grinding facilities. This eliminated theemissions from the grinding mill wet scrubberstack as well as the dominant source of fugitiveemissions from the plant.Scott BourneProduct Manager StructuralsanMerchant BarAge: 37Scott joined OneSteel in 2005 after 10 yearsin industrial sales and marketing roles innumerous industries.His current role involves market andproduction development, distribution channelstrategy, development and deployment ofmarket offers and value propositions that meetcustomers’ needs, ensuring the prosperity ofOneSteel Whyalla now and into the future.Highlight: The last four months of 2007 wherewe averaged delivery performance to customersof 92%+. The challenge remains to achieve thatresult or greater on a consistent basis.5

OUR APPROACHHow are we strengtheningour future?OneSteel Whyalla’s relationship with thecommunity is an important one, and in orderfor it to continue to grow it must not betaken for granted.In recent years we have made a concerted effortto be more open and transparent to the peopleof Whyalla. We want to show that as well as beinga business that gives something back to thecommunity, we are also one that can be trusted.Over the years, OneSteel’s impacts on the cityhave been both positive and negative. While wehave made significant advances in recent years,we acknowledge there are still areas in which weneed to improve.There are three main areas in which we haveworked to strengthen our future:Strengthening RegionalDevelopmentThe recent mining and resources boom has had apositive impact on Whyalla and the surroundingregion, with many local companies benefiting fromthe increased activity.OneSteel Whyalla has continued to play an activeleadership role in the growth and development ofthe region, and in particular the city of Whyalla,through a close partnership / relationship withlocal, State and Federal governments, the WhyallaEconomic Development Board (WEDB) and theUniversity of South Australia (UniSA).Initiatives over the past 12 months have includednegotiating for the Engineering Degree to bereintroduced at UniSA in Whyalla, the successfulintroduction of the Get Set Youth Employmentprogram in Port Augusta and the opening of theSafety Training Centre in partnership with TAFE SA.We are now looking at helping UniSA establish aregional sustainability research centre based atits Whyalla campus that will undertake a varietyof programs focusing on the future of regional andrural centres in Australia.The continued involvement of the seniorleadership team of OneSteel Whyalla oncommunity committees and boards has enabledthe company to be an active and influential partof the region’s development and growth.These and more development initiatives arehighlighted on pages 20-22.Strengthening our relationshipwith the communityThe link between OneSteel and the communityhas continued to grow, with the past year beingno exception. One of the major achievements wasthe strengthening of our relationship withWRDAG. Both parties have sought to put an endto the acrimonious relationship we previouslyhad and provide a basis for a long-term, mutuallyrespectful understanding. Both OneSteel andWRDAG had to make a significant shift to come toan agreement and it will be the community whichultimately benefits.Members of WRDAG and the ECG have also helpedOneSteel develop its Community Clean-up Projectand we look forward to reporting further good newson this initiative in subsequent reports.Along with information provided in ongoing mediareleases, we continue to have open communityforums that keep people up-to-date on ourachievements, as well as the reasons for anysetbacks or mistakes.Turn to pages 20-22 to find out more aboutOneSteel’s involvement in the community.6

Strengthening ourenvironmental managementThis past financial year has seen perhaps thebiggest advancements in improving OneSteelWhyalla’s environmental performance to date.Project Magnet alone has significantly reducedthe fugitive dust problem that has taintedWhyalla for so many years.But this is just one of a host of improvementinitiatives that have seen our environmentalperformance go from strength to strength.These include: significantly reducing the numberof road trains moving through the city; triallingdust suppressants to reduce the amount of waterneeded on unsealed roads and watering roadsusing recycled process water; gradually relocatingthe northern stockpile material to the exportshed; reducing water usage right across OneSteelWhyalla; introducing the Community Dust Targetto be held accountable against; and introducingenvironmental excellence awards to recognise theoutstanding efforts of our employees.The benefits of these have already been seenand will continue to flow on in years to come.However we are continuing to explore ways inwhich we can ensure any negative impact on theenvironment is minimised.Pages 27-31 provide in-depth coverageof OneSteel’s environmental initiatives.Right: WRDAG Chair Ted Kittel, left, and OneSteelEGM Mark Parry shake hands to signify theimproved relationship between the two parties.Message from ted kittelI am pleased to report that the goodwill andgood communication between OneSteel andmyself for WRDAG Inc continues to positivelyflourish and grow, resulting in good outcomesfor both parties.OneSteel is engaging transparently withmyself in my role for WRDAG Inc in respectto the black dust problem currently causingconcern. OneSteel is systematically andscientifically investigating the source ofthe problem and I do expect a positiveoutcome eventually.The removal of all export hematite fromthe northern stockpiles is another positivestep forward in addressing dust emissions.The decommissioning of the number onescreening plant and the commencement ofthe demolishing process is also another majorpositive step forward.I look forward to further candidly engagingwith the ECG and OneSteel, and to actin a constructively critical way to assistthe company to address dust-relatedenvironmental issues.I am currently exploring ways with the ECGand OneSteel to have the company recognisethe importance and concern of the affectedcommunity for the recognition of the totallyrespirable dust load (PM10 recorded at theWalls Street TEOM Monitor) in tandem withthe Community Dust Target which reportsOneSteel’s contribution only.*Ted Kittel,ChairWhyalla Red Dust Action Group Inc.*These are the views of Ted Kittel. OneSteel itself will only beheld accountable for the dust it generates from its operations,which is where the Community Dust Target plays its part.However, OneSteel reports the Community Dust Target, aswell as the Walls Street and Schulz Reserve readings, to thecommunity each week to show the overall picture.7

Performance at a glanceOUR GOALSPERFORMANCE IN THE YEARSAFety1.To have a safe workplace that can achieve• Achieved the best safety statistics results on record and the best in OneSteel’s history. The end-of-year MTIFR for 07/08Goal Zero through no incidents or injuriesto our employeeswas 3.05 - well below the target of 4.3 and half the previous year’s figure of 6.1• Achieved more than 87% employee compliance with safety observations with more than 39,000 observations performed2.To have a significant improvement in our(compared to 86% and 20,000 in the previous year)contractor safety performance• Codes of Practice rolled out in line with the plan3.To achieve zero incidents or injuries.• Safety Leadership Phase One was mostly completedECONOMIC1.To make a positive contribution to the local• Successfully completed the $402 million conversion of the steelmaking process to magnetite under Project Magnet,and State economy, including employmentextending the life of OneSteel Whyalla to at least 20272.To help Whyalla address its current and• Freed up our hematite reserves for export, increasing exports from one million tonnes per year to 4.4 million tonnes in thefuture challengespast year and delivering a profitable new business in the process• Commenced Project Magnet Phase Two, already increasing our hematite reserves by 13 million tonnes• Increased the number of jobs by about 100, with a flow-on effect of support jobs in the community• Assisted with the migration of 20 overseas families to Whyalla• Capital expenditure continued at an accelerated pace• Worked collaboratively with WEDB on issues such as employmentPeople and1.To build and continually earn our social• Continued to grow and positively build our relationship with the ECG and facilitated having the Chairperson of WRDAG joinCommunitylicencethe ECG as part of OneSteel’s reconciliation with WRDAG2.To have a positive impact on the local• Worked collaboratively with the ECG in scoping the early stages of the Community Clean-Up Programcommunity• Proactively and openly shared information with the community through regular media articles including a monthly page3.To openly engage our employees andstakeholders on key issues and delivering onour commitmentsin the Whyalla News, the Community Connection newsletter delivered to all households, and a third Community Forum usinga more interactive approach• Sponsored numerous organisations, individuals and events that benefited the community, our workforce and their families,with particular emphasis on education, youth, sport, arts and the disadvantagedEnvironment1.To mitigate and minimise the negative• Commissioned the Concentratorenvironmental impacts of OneSteelWhyalla’s operations, including thefollowing:• Converted the pellet plant to magnetite feed, resulting in crushing and screening operations taking placeat the mine site, significantly reducing fugitive dust• Ceased the use of road trains for transporting ore for exporta. Dust management (significant• Progressed with a program to reduce coke ovens’ marine dischargereduction in red dust)• Undertook extended dust binder trialsb. Pellet plant successfully convertedto magnetite feedc. Water usage• Established and implemented the new Community Dust Target• Removed export materials from the northern stockpiles• Established inaugural environment categories in the first ever Safety and Environmental Excellence Awards• Established a water awareness campaign, including an environment awareness package for leaders• Commenced clean up and remediation of the redundant pellet plant areas8

OUTCOMES• Recorded world-class safety performance with record results• Although we have reduced the number of medically-treatedinjuries, on average one person sustains an injury in theworkplace each day. Although many of these are only minor,we want to significantly reduce this number.KEY (relates to ‘Our Goals’)1.2.3.PLANNED INITIATIVES• Continued roll-out of safety Codes of Practice• Attendance of all leaders at ongoing safety leadership programs around employee engagement• Increasing number and quality of safe behaviour observations• OneSteel Whyalla representation at the 2009 National OneSteel Safety Excellence Awards• Ensured a profitable OneSteel operation in Whyalla• Contributed to the city’s continuing economic resurgence1.2.• Project Magnet Phase Two – significantly increasing our hematite reserves for export• Continuing to manage employee turnover and workforce planning through various programsincluding Goal 100, Get Set, apprenticeships, traineeships and cadetships• Continued the journey to earn our social licence andlearned a lot along the way. Whyalla continues to growand prosper and the city’s future looks bright1.2.3.• Commence the Community Clean-Up Program in partnership with the ECG• Continue community sponsorship and donations in the areas of youth, education, sport,the arts, underprivileged and major events which benefit the community as a whole• Hold a fourth community forum, publish regular Community Connection newsletters andcontinually increase our openness and sharing of information with the Whyalla community• Identify and develop ways to better communicate and engage with our employees on allissues, including those impacting the environment and the Whyalla community• Improved dust management – primarily through thecut-over to magnetite – resulted in a significantreduction in red dust• Successfully converted the pellet plant to magnetite feed• Water usage still needs to be further reduced1a.b.c.• Roll out environment awareness training to all leaders within the business• Close the northern stockpiles• Continue clean up and remediation of the pellet plant area• Commence phase two of the removal of redundant structures at the pellet plant• Facilitate an independent assessment of dust-affected properties• Significantly reduce freshwater usageAchieved/significantimprovement on previous yearProgressing according to planNo significant improvementor declineDecrease in performance fromprevious year/unsatisfactory outcome9

The year in reviewFirst half of the year…Moreemployees, less dustJuly-December 2007Local employment figures received a boost earlyin the financial year as OneSteel took on another27 apprentices, bringing the total to 147 in thepast 12 months. The apprentices were employedacross four disciplines – electrical, fitting andturning, instrumentation and boiler making.Add to this the reintroduction of cadetshipsin partnership with UniSA, and OneSteel hasmade huge inroads in reducing Whyalla’sunemployment rate. In July 2005 - prior toProject Magnet - OneSteel Whyalla employed1240 employees. That figure has now grown bymore than 500 to reach 1758.Government, the target aims to deliver year-onyearimprovements as the benefits of Magnetcome on-line. It specifies the number of daysOneSteel can exceed a certain level of fugitivematter in the air, starting with 10 days in 2008and working down to five by 2011 and beyond.OneSteel Whyalla found another environmentalissue to contend with as water savings becameparamount across the State. As one of thebiggest water users in South Australia, wesought new ways to reduce our impact on theRiver Murray, starting with our water carts.A portable standpipe was introduced, allowingall water carts to access the recycled dam,thereby suppressing dust on unsealed roads usingrecycled water. This is expected to reduce waterusage by more than 600 megalitres per year.The Department of Health released its WhyallaHealth Impact Study, which revealed highernumbers of health problems in Whyalla Norrie (anarea far removed from the Steelworks) than in areasin close proximity to OneSteel’s operations.OneSteel itself conducts regular internalhealth studies and past studies have shownno health issues associated with red dustwithin our workforce.Local residents had an exciting glimpse into thefuture with the pellet plant running on magnetitefrom early December. This signalled the beginningof the end for the fixed crushing and screeningcircuits which for decades had coated the eastend of town in red dust, and the beginning of anew, cleaner era for Whyalla and OneSteel.In August there was a significant move forward inthe relationship between WRDAG and OneSteel.Both parties showed flexibility in shiftingtheir views, resulting in an agreement to worktogether to jointly improve environmental issuesand impacts upon the affected community.Fugitive dust efforts came to fruition courtesyof the removal of 90 percent of the northernstockpiles’ peak stock level. The area was stillone of the biggest sources of fugitive dust,so the reduction was a significant step in thelead-up to the stockpiles being stored in thefully-enclosed export shed.Further to this, we reinforced our confidencein Project Magnet by declaring we would beheld accountable to a Community Dust Targetupon completion of the project. Developedin conjunction with the ECG and StateBen Wittwer, left, and Justine Jasper have kickstartedtheir engineering careers by securing placesin the reintroduced cadetship program this year.10

Second half of the year…Project Magnet comes to lifeJanuary – June 2008The second half of the financial year sawour long-term investment in Project Magnetreach final commissioning. This was one ofthe most significant events in the historyof the Steelworks and signalled a new,environmentally-conscious era.Crushing, drying and screening now take placeout at the mine, ore comes to Pelletising as awet slurry rather than in wagons, the northernstockpiles are beginning to be stored fullyundercover, and an upgraded shiploader is avast improvement, all helping keep fugitive dustto a minimum. The full cut-over was celebratedin March with the OneSteel board, the StateGovernment and other representatives attendingan official ceremony at the Iron Duke mine site.Water reductions continued with various dustsuppressants trialled to aid with dust controlon unsealed roads. Dust suppressants work indifferent ways, but all serve to reduce the potentialfor dust to be stirred up by passing vehicles.Water mapping was also undertaken to find otherpotential areas for water savings across the site.Road trains were a major issue in the 06/07financial year, so it was with a great sense ofrelief that Whyalla residents witnessed thefinal trucked delivery of iron ore for export intothe northern stockpiles on February 1. This cutout a major portion of road train traffic alongPlayford Avenue, which is now a cleaner, saferand less active stretch of road.Our pellet plant demolition and remediationplan kicked off in February, with the early stagesof the number three screening plant removalgetting underway. This is just one of manyredundant areas that will be removed to ensurea major source of fugitive dust is gone forever.An unusually long hot-spell caused problemsin March, and OneSteel introduced severalinitiatives to minimise the resultant fugitiveThese two photos display the significant difference theconversion to magnetite has made to the operation of thepellet plant. Fugitive dust has been considerably reduced(below) since the project was completed earlier this year.11

The year in review cont.Environment Awareness Leader Sara-Kate Stacey examines one of the dust monitors which keepstrack of OneSteel’s fugitive dust performance. Only one exceedence of the Community Dust Targetwas recorded in the first half of the calendar year despite some trying weather conditions.dust impacts. This included ceasing the use ofthe number one screening plant and the cartingof centrix material. However dust was stillabove acceptable levels during this period.Despite these problems, OneSteel was able toavoid any exceedences of the new CommunityDust Target until April. While happy with onlyrecording the one exceedence for the year toJune 2008, we were keen to learn from it andprevent it re-occurring.The appearance of a different type of fugitivematter also became a talking point in thecommunity. Samples were sent to Adelaide forindependent analysis and characterisation,with the majority of the material deemed to bekish – shiny flakes which are primarily carbonin the form of graphite. It occurs when carbonis released from molten iron, with the primarysource believed to be the dumping of hot metal.While some people in the community expressedconcerns about possible health impacts, nonehave been found within our workforce in relationto kish, even to occupational exposure levels.However, we still seek to minimise any off-siteimpacts through the continual improvement ofour processes and environmental controls, andwill continue to keep the community informed ofany potential impacts.Key achievements• Project MagnetThe three-year project was commissionedand brought on line, signalling one ofthe most significant milestones in theSteelworks’ history. This extensiveundertaking was a major achievement byall those involved and will now lead to amultitude of spin-offs for both OneSteeland the local community. These includemaking more steel for the same amount ofpellets, opening up a new stream of revenuethrough exporting hematite, associatedflow-on effects for the local economy, andnumerous and significant environmentalbenefits.• Record safety figuresThe past financial year saw OneSteel Whyallapost its lowest safety figures on record, withboth employees and contractors well belowMTIFR targets. This included Engineeringrecording the best performance of anydepartment with an MTIFR of 0.0.• Dust reductionOne of the main flow-on effects of Magnetwas a significant reduction in fugitive dust.Now that red dust is no longer pouring outof the pellet plant, the level of stainingat the east end of Whyalla has alreadynoticeably decreased. This significantimprovement in amenity, coupled with theremoval of all export material from thenorthern stockpiles, has resulted in a vastlydifferent Steelworks compared to this timelast year. This has been a major win for bothOneSteel and local residents.12

• Export oreMagnet opened up an entirely new sourceof revenue which we have been able tocapitalise on. With the Steelworks nowfed by magnetite, our hematite resourcesare available for export, so we set aboutsigning four long-term export contractswith Chinese customers. We alsoimplemented new methods to allow us toincrease our export ore from one milliontonnes per year to 4.4 million tonnes in the07/08 financial year – a massive boost giventhe spike in iron ore prices at the time.• Road staining improvementThe ceasing of trucked ore for export tothe northern stockpiles has resulted in asignificant decrease in road train trafficalong Playford Avenue. As very little ore isnow being transported along that stretchof road, there has been no further staining.In addition, we commenced a road / signcleaning program to vastly improve the lookof one of the city’s main thoroughfares.Transhipping has allowed OneSteel to meet exportdemands and ship an unprecedented amount of orein the past financial year.13

The year in review cont.OneSteel’s reed bed treatment system helps treat a percentageof the site’s only remaining marine discharge, which comes fromthe coke making process. However, more work needs to be doneto totally eliminate waste from reaching the Spencer Gulf.Areas for improvement• Fugitive dustWhile Project Magnet has addressed theproblem of red dust, residents reported a newfugitive dust phenomenon several monthsafter the conversion to magnetite. Dustsamples were collected and independentlyanalysed by Amdel in Adelaide, with resultsfinding magnetite was not a major contributorat that time. Amdel’s findings showedhematite was still a major contributor, as wellas quartz (background dust), while magnetitewas only found in trace elements. Othermaterials present included coke dust andsmall amounts of kish.Based on these findings, OneSteel does notbelieve the presence of coke dust and kishis a new dust addition, but rather one thathas been masked by previously high levelsof red dust. Larger kish particles are mostlygraphite, which is a crystallised form ofcarbon. The smaller particles contain moreiron. From our investigations, the kish andcoke dusts found in the community samplesare above the size range of respirable dusts.While the dominant dust previously affectingresidents was fine hematite, which had aconsiderable staining effect, the black dusthas no staining impact. The fallout is alsosubstantially less than prior to the cutoverto Magnet.Despite this, OneSteel acknowledges andapologises for the incidents that haveimpacted upon the community and willseek to investigate options to address thenewly-apparent problem. This includesfurther cleaning the pellet plant, closing thenorthern stockpiles, removing all redundantequipment from Pelletising, pinpointingwhere the remaining dust is coming from andgathering data over 12 months on dust typesand quantity.• Goal ZeroDespite recording our best statistics todate, we still injured someone every day.This is an alarming fact and one we need toprevent. On top of the Safety Lifesavers, wehave now rolled out the Codes of Practiceand extensive Safety Leadership training toensure everyone makes safety a priority andenables us to attain Goal Zero (zero incidentsor injuries)• Marine dischargesOneSteel’s only remaining marine dischargeof significance is from the coke makingprocess. We are seeking to address thisthrough an extensive $14 million project.• Water usageNumerous water reduction initiatives wereintroduced throughout the year but wecontinued to be the State’s biggest wateruser. We are continuing to explore new waysto reduce our water usage. Extensive watermapping is expected to deliver results and weare also investigating ways to save a gigalitreand make a gigalitre.• Energy usageOneSteel Whyalla generates 50% ofthe power it uses through the re-use ofwaste gases. However we are striving for aneventual figure of 100% through improvingour efficiency and how we use our waste gas.There are also many other ways we still needto improve our energy efficiency and a seriesof initiatives are planned for this year.14

SafetyOne of our core values at OneSteel isto be recognised nationally as a leaderin safety. Indeed, our focus on thehealth and safety of all employees,contractors and customers underpinsour Whyalla activities at every level.Safe work practices throughout theyear have delivered the best safetystatistics on record, as we movecontinually closer towards “GoalZero” (zero injuries or incidents).OneSteel Whyalla employee MTIFREmployees actively involved in safetyTo ensure all employees are involved in safetythroughout the Whyalla site, OneSteel hascontinued to push the need for employees toundertake safety behaviour observations.These involve employees getting out on siteand evaluating the safety of a particular job orprocedure. Engagement of all employees in safetyactivities is an important step in increasing theirawareness of hazards in their workplace, whilealso enabling them to assess and manage risks.Every employee is required to undertake at leastone per month and our aim is to achieve 90percent involvement across Whyalla.The 07/08 financial year saw an 87 percentinvolvement for a total of 39,745 observations –a good effort but a percentage we are still keento improve upon. This is up from an 86 percentinvolvement the previous year for a total of20,793 observations. Despite these improvedstatistics, we are still hurting someone everyday on average. This, quite simply, is not goodenough, so an initiative for the coming yearwill be to maintain the number of observationsundertaken while improving their quality. Thisin turn will help to identify, further reduce andeventually eliminate risks.Performance in the 07/08 Financial YearOneSteel firmly believes that all injuries andincidents are preventable and that facilitatingfurther step-change improvements in safetyperformance requires a strategic and targetedapproach. We will not compromise on safety andhave adopted this statement as a core value ofthe business.Safety focus delivers resultsOneSteel’s focus on safety continues to deliverproven results, with Whyalla achieving its bestsafety statistics on record and the best inOneSteel’s history. The end of year MTIFR for07/08 was 3.05 for the entire site. This is wellbelow the target of 4.3 and half the previousyear’s figure of 6.1. Almost every businessthroughout Whyalla had major improvementswith Engineering achieving an MTIFR of 0.0, thebest performance of any OneSteel department.Safety behaviour observations are key to OneSteel’ssafety success and ensure all employees are activelyinvolved in making the site a safer place to work.15

Safety cont.Improvement InitiativesBuilding safety leadershipOneSteel’s leadership competencies ofengagement, rigour and accountability have helpedbring about our impressive statistics across theboard. This year, OneSteel management has beenfocussing on visible commitments – getting out onthe floor regularly and showing genuine care andconcern for people’s safety.To date, most line managers have undertakenthe Safety Leadership Workshop Phase Oneto create a common understanding of safetyexpectations for leaders in our business andto improve the safety leadership skills of linemanagers. This has also been rolled out tocontractors. It is pleasing to note that thisyear’s safety figures show a significantlyimproved performance by our contractors.Contractor performance will also be a focusin the coming financial year to ensure theimprovement is sustained.Safety Leadership Phase Two will becommenced in the coming year. It is designedto complement and build on the leadershipcompetencies delivered in the phase onetraining sessions.Codes of PracticeIn the past financial year we have almostcompleted the roll out of the OneSteel-developedCodes of Practice across the site. These 15 codescover a variety of areas including electricalsafety, incident investigation and preventionof falls among others. Employees’ adherence isvital given the number of potentially high-riskactivities on the Whyalla site. The codes havebeen rolled out to all employees and contractorsand are considered essential in preventing ahigh-consequence injury.Gap analyses have been undertaken in all areasto identify where improvements are required forus to comply with the Codes of Practice. Workwill continue in the coming year to close theidentified gaps.Dupont reviewDupont, a leading exponent of world-classsafety, undertook another review of theWhyalla site in the past financial year. Thisexercise was to assess where others see uson our journey towards Goal Zero and forthem to identify any opportunities whereimprovement can be realised.Areas identified that will be pursued duringthe coming period include injury prevention andcontractor management, along with standardsand expectations of behaviour that demonstrate‘felt leadership’.Electrical safetyDue to a number of incidents involving electricalinstallations, a key focus during the period wason how to ensure employees worked safelyaround electricity. Education programs wereconducted that involved not only electricalpersonnel, but also apprentices, other tradespeople and operations personnel. These programsreminded all personnel of the need to exercisecaution and to follow strict rules when electricityis used – both at home and in the workplace.Case Study: Eddie StringerOneSteel WhyallaSafety Leader of the Year‘Getting the job done and doing it safely’.This phrase has so many aspects but inplain English it means just what it says.The pellet plant has seen some majorchallenges recently: running the screeningplants and other areas to the very end oftheir lifespan; the successful transition tomagnetite from hematite; the two extremesof the new filter flux plant and the old plantcoming together and having to be mergedvery carefully; new equipment, training andmethods of executing the new jobs.On top of all this, safety obstacles hadto be overcome.An aspect that I believe so many companiesneglect is its people – talking to people,sharing ideas, challenging the norm and notaccepting that something cannot change. Itis these aspects that drive me every day.Spending time individually with mygroup enables me to get to know thembetter and that makes working with ourteam extremely pleasurable. Expressingconstantly with sincere heartfelt emotionthat sending these guys home after a goodday’s work is my prime aim each day.The OneSteel Whyalla Lead Team issetting the standard and making sure it’sachievable. That attitude has also beentaken on board by the entire pellet plantteam. We have achieved an excellent recordand will aim to do better, with our saying“today’s record is tomorrow’s standard”keeping us focused along the way. Usingthe buddy system, looking out for eachother has been a success.Safety is not negotiable and life is tooshort to neglect it. Helping each other asmates will save you.16

economyThe economic resurgence of OneSteel Whyallaallows for a more positive view on the futureFinancial performanceAs the major employer in Whyalla,OneSteel’s success is generallymirrored in the local community.However, it is not only the number ofpeople we employ that makes us anintegral part of Whyalla and SouthAustralia, but also the positive spinoffsour achievements can create.As we have continued to grow anddevelop, we have brought new peopleinto the city, increased confidence inWhyalla’s future and in-turn sparkeddevelopment. This has boosted thelocal and State economies and helpedand the city of Whyalla itself continued to occur atan accelerated pace in the 07/08 financial year.Following on from the investment of morethan $100 million in re<strong>building</strong> our blastfurnace, an historic and significant milestonefor the business was the transition from usinghematite ore as the feed for the Steelworks tousing magnetite ore.Hematite ore has been mined in the Whyallaarea for more than 100 years and used by theSteelworks since 1940. Limited future resourcesof hematite had caused uncertainty over thefuture of OneSteel Whyalla and therefore thebroader future prospects for the city itself.to be taken by OneSteel, the South AustralianGovernment and the Whyalla community.OneSteel invested $402 million in theconversion and our confidence in the futurehas flowed on to the community. An additionaland very positive outcome of the conversionto magnetite ore was that OneSteel was ableto participate in the resources industry growththat was fuelled by China, allowing us to exportour remaining hematite ore. We also remainwell placed to increase our export sales in themedium to long term.Local economyWhyalla played a significant role in OneSteelposting yet another record profit of $315 million –up 59% on last year’s record $197.5 million profit.Some of the major factors contributing to oursuccess included:• The transition of the Steelworks tomagnetite feed, extending the life of the siteout to at least 2027• A resultant lower cost of steelmaking basedon the benefits of magnetite feed (the startof delivery of value in use)• Loading of 22 Cape vessels• A total of 4.4 million tonnes of iron ore salesmake Whyalla a more attractive placeto work, live and visit.OneSteel’s magnetite resources are moreplentiful and conversion of the SteelworksReflecting the business success of OneSteelWhyalla, the local economy has flourished. Thishas been in part driven by the more generalresources boom, the success of Project Magnetand the future outlook for our industry.• A vastly cleaner pellet plant operation• Commissioning of the new desulphurisationprocess in Steelmaking (cleaner and at alower cost)• Significant water savings right across theMedian house prices continued to rise, gainingabout 10% during the 07/08 financial year, andSteelworks, as well as early stages at allmine sitesWhyalla City Council received developmentapplications totalling more than $56 million –up nearly $16 million from the previous yearand almost triple 05/06. More than 600 newallotments were released during the year asmajor housing developments came to fruition,with 189 new dwellings built in the period. AEach of these factors – together with ourcurrent exploration to increase our ore reservesthrough Project Magnet Phase Two – placesOneSteel Whyalla in an enviable position goingforward, providing ongoing security and successfor the business.Project Magnet has introduced alower cost of steelmaking courtesyof the magnetite process. OneSteelis now able to make more steel forthe same amount of pellets.major new industrial estate also opened on landthat had been given to the council by BHP duringthe original establishment of OneSteel in 2000.The economic transformation of both OneSteeland Whyalla has been a major success story.17

economy cont.Local employmentDuring the past financial year, our employeenumbers grew by about six percent to 1758.Add to this about 1200 contractors, andOneSteel Whyalla has a combined workforceof almost 3000 people.Since early 2006, we have also brought innearly 70 families from overseas. This has hada positive impact on schools, the retail sectorand the housing market, while also bringingadditional skills and greater cultural diversityto the region.Direct financial contribution to WhyallaAlthough OneSteel is not required to payrates and taxes to the Whyalla City Councilas such, by agreement the company makessubstantial payments effectively in lieu ofrates and taxes. In the 07/08 financial year,these totalled $550,000.Graduate Geologist Tim Neale examines samples as partof exploration work for Project Magnet Phase Two.18

Improvement initiativesProject Magnet Phase TwoNow the transition to magnetite has occurred,OneSteel is looking to the next phase of ProjectMagnet. With our hematite reserves openedup for export, we are keen to capitalise on thisresource by increasing our export capability.This includes a ramp-up in mining activities, theinstallation of additional crushing and screeningcapacity at the mine, and the upgrading oflocomotive capacity and rail wagons. Thesechanges are expected to deliver the capabilityto increase ore sales to six million tonnes peryear by the start of the 09/10 financial year.To support this, OneSteel has commenced anextensive exploration program that has so farresulted in an increase in hematite reserves of13 million tonnes. This includes a new iron orepit – the Iron Chieftain. This is the first stagein a planned exploration program that will seeOneSteel commit to spending about $10 millionwithin the current financial year to furtherincrease hematite reserves.A MESSAGE FROM THEWHYALLA ECONOMICDEVELOPMENT BOARDOneSteel is Whyalla’s largest employerwith more than 1700 direct employeesand 1200 contractors. As such, OneSteelWhyalla is a major driver of the localeconomy. As a city, Whyalla has achieveda significant turnaround in recent times,which can in part be attributed to amajor investment by OneSteel in ourcommunity. Recently this has includedthe completion of conversion to magnetiteand announcements regarding ore reservesand Project Magnet Phase Two.The commitment of OneSteel to addressinglocal environmental issues throughProject Magnet and other initiativeshas demonstrated the willingness of thecompany to listen to local concerns andaddress the needs of the community. Sucha commitment ensures OneSteel’s ‘licenseto operate’ in our city is strengthened.Recent labour market tightness has ledOneSteel, in partnership with WEDB andothers, to demonstrate its commitmentto developing a local workforce throughprojects such as Goal 100. On top ofthis, OneSteel’s rapid increase in traineeand apprenticeship intakes furtherdemonstrates the company’s supportfor our city.As a city we are proud of OneSteel’sachievements and ongoing supportof our community, be it in addressingenvironmental concerns, providinglocal employment and support forcommunity events and activities, orother aspects of ensuring a qualityof lifestyle for our residents.Steven ArndtChief Executive OfficerWhyalla Economic Development BoardOneSteel has helped the Whyalla communityflourish in recent years, bringing in close to70 families from overseas.19

People and CommunityOneSteel Whyalla and the localcommunity are intrinsically linked– the success of each is largelydependent on the other. As such,we are, and will continue to be, astrong supporter of the Whyallacommunity both formally andinformally. In addition to providingmuch of Whyalla’s employment, wehelp up-skill locals, are representedon numerous boards to help advanceWhyalla, and give back to thosein need through our CommunitySupport Program. The past fewyears have also seen people arrivefrom across the globe to work atOneSteel Whyalla, bringinga cultural diversity and vibrancyto the city.EmploymentThe continued success of the Goal 100program, developed as an integral recruitmentpipeline for OneSteel Whyalla (as well as anumber of other local businesses), has resultedin a third program being run in Whyalla in 2008.It has seen more than 170 previously unemployedor underemployed people gain employment sinceits inception.In July 2007 and January 2008, a total of50 additional apprentices were employed byOneSteel Whyalla. This takes the number ofapprentices employed to more than 180. Theseapprentices comprised both youth and matureagedpersons and were recruited from the Goal100 program, the industry program at EdwardJohn Eyre High School and the general public.OneSteel Whyalla is also a supporter of theUpper Spencer Gulf Australian Technical Collegeand has committed to employing 10 schoolbasedapprentices at both Whyalla and PortAugusta each year. During 07/08, we employed17 school-based apprentices. To enable OneSteelWhyalla to fill the 10 positions in Port Augusta,the company supported a youth version ofGoal 100, called ‘Get Set For Your Future’. Thisprogram proved to be extremely successful anda case study is featured on page 26. In May ofthis year, 14 of the Port Augusta school-basedapprentices were offered and accepted full-timeapprenticeship positions with OneSteel in Whyalla.In February 2008, the Engineering Degreecourse was successfully reintroduced at UniSAin Whyalla. This was the result of a partnershipbetween OneSteel and UniSA which saw 15OneSteel cadets commence the program alongwith eight other students. This was a deliberatestrategy by OneSteel to grow and develop itsown engineers as part of its workforce plan.It also had spin-off benefits for other areas ofthe State, with OneSteel providing the catalystfor an Associate Degree in Engineering tobe offered at the Mawson Lakes campus inwhich 54 students are enrolled. In 2009, afurther 15 engineering cadets will commenceemployment at OneSteel and study at UniSA.Above: Cameron Kent, left, is one of the PortAugusta youths who took advantage of theGet Set program. He is pictured with OneSteelemployee Oliver Rosalia.Left: OneSteel Executive General Manager MarkParry, left, shakes hands with Executive Directorof TAFE SA Regional Denise Janek at the officialopening of the Safety Training Centre.20

The partnership between UniSA and OneSteelwill be enhanced even further in 2009 withthe reintroduction of the Accounting Degreecourse in Whyalla. OneSteel has committed toemploying five cadets in the program each year.Skills developmentIn July 2006, OneSteel Whyalla, in partnershipwith TAFE SA, opened up the successful TrainingLocal community boards and committees• Mark Parry is a member of WEDB and theResources and Engineering Skills Alliance• Jim White is a member of the board of theSouth Australian Chamber of Mines andEnergy (SACOME), the SA GovernmentResources and Energy Sector InfrastructureCommittee, and the Premier’s ClimateChange Committee• Gideon Janssen is a member of the WhyallaHealth Advisory Council• Alan Tidswell is a member of the TAFERegional Council, Australian TechnicalCollege Board, Centre for RegionalEngagement Advisory Committee and Goal100 Coordinating Committee• Theuns Victor is a member of the WhyallaChamber of Commerce and IndustryTaking advantage of the reintroduction ofOneSteel’s cadetship program this year are, backfrom left, Damien Rasmus, Scott Kneebone, LukeHowell, Tim Brown, Michael Buckley, Emma James,Lee-Anne Roberts, Justine Jasper, Matthew Grimes,Luke Bindi, Iain Hullah, and front from left, Harley Hill,Mathew Talbot, Stephen Wragg and Ben Wittwer.Skills Centre at TAFE SA’s Whyalla campus. Todate, more than 150 OneSteel apprentices havebeen through the centre’s program.February 2008 saw a further expansion andgrowth of the partnership between OneSteeland TAFE SA with the establishment of theSafety Training Centre. This centre, whilstonly operating for a few months, is alreadyproviding an extremely valuable and popularservice to the Whyalla business community.It demonstrates how an effective and locallyrelevantbusiness partnership can providemeaningful, long-term benefit to the community.This year also saw OneSteel take anothersignificant step towards having a trained andcompetent workforce with the introduction ofthe Operator in Training program. In 08/09,OneSteel Whyalla will employ up to 40operators in training. They will be additionalemployees, spending their first 14 weeks in fulltimetraining both at TAFE SA and on the jobbefore moving into permanent positions.21

People and Community cont.A message from theWhyalla City CouncilThe commitment shown by OneSteel to againfocus on providing employment opportunitieswithin the Whyalla community must bewholeheartedly commended.A significant number of the city’s studentscontinued to join OneSteel throughapprenticeships, traineeships, cadetships andpre-vocational courses. Former students havealso identified and taken advantage of theopportunities, while adult-aged workers haveobtained training and employment thanks toOneSteel’s involvement in the Goal 100 programs.By improving the competencies of both ouryounger and older people while incorporatingthem into its workforce, this must surely returnexceptional benefits to the company, theindividuals involved and the city as a whole. Thisproactive focus will inevitably help build an evenstronger OneSteel, create ongoing confidencewithin the community, and present real economicand social advantages.OneSteel’s high level of participation on so manyboards and committees, which complementsits education and employment goals, is clearlyindicative of its commitment. With the openingup of the State’s resource and mining industryhappening on our doorstep at an incredible rate,skills development is essential and OneSteel iscertainly a worthy leader.Jim PollockMayorCity of WhyallaJim PollockDavid CraigBob Jurjevic is a perfect example of adult-aged workers being able to start a new career path through a OneSteelapprenticeship. Despite being in his late thirties, Bob jumped at the chance to change careers, describing it as ‘theopportunity of a lifetime’.A message from theDepartment of Educationand Children’s ServicesOneSteel has helped local youth grow througha number of ventures in Whyalla. The companyis involved in numerous forums such as theemployment skills network and the Centre forRegional Engagement. Their liaison officer hasassisted community organisations in manyinitiatives and programs such as ‘Goal 100’ and‘Get Set’. These initiatives have seen manyyoung people who were previously disengagedmove into meaningful employment.The secondary schools in Whyalla valueOneSteel’s support in their end of yearpresentations which recognise studentachievements across all curriculum areas.The ‘Feast for all Senses’ is another exampleof how the company supports the communityby acknowledging the academic and artistictalent in our schools.The Youth Industry Program at Edward JohnEyre High School, funded by OneSteel, saw all36 students enrolled go into apprenticeshipsand employment. The leadership program –which allows students to study whilst employedand have their university fees paid – is furtherevidence of the company’s commitment todeveloping local talent.David CraigDistrict DirectorNorthern Country DistrictDepartment of Education and Children’sServices22

Indigenous EngagementWhen OneSteel Whyalla’s General ManagerHuman Resources Alan Tidswell speaks of howthe company has approached the recruitmentof local indigenous people, he talks of acommunity partnership approach.Alan believes that the Goal 100 program hasmade a difference to the company’s employmentstrategy in this area. In 2006, OneSteel wasstruggling to employ local people as operatorsand was ready to recruit from Adelaide.The opportunity to develop and becomeinvolved in Goal 100 – in partnership with theState Government SA Works Program andWEDB – has broadened the local workforce pooland increased the number of Aboriginal peopleready for employment in the mining and heavyengineering industry.Of the 26 people who completed the Get Setprogram (see pg 26) in Port Augusta in 2007,14 are indigenous. This includes threeapprentices who have been employed at theWhyalla site and nine who have taken upschool-based apprenticeships.While the 2007 version of Get Set struggledto attract enough participants to fill the 50positions available, there was no such problemwith the 2008 version. To date, there are 88youth registered to get onto the programincluding 46 indigenous youth.So why the turn around?“The youth have seen this as a reality followingthe successful completion of the first Get Setprogram and also the Goal 100 programs.”Goal 100 is a 20-week scheme designed toattract and accommodate the needs of thelong-term unemployed – preparing them forwork in the mining and heavy engineeringsectors. It has been described as a partnershipapproach involving industry, job networks andtraining providers, with the locally-based UniSAand TAFE SA campuses providing the venue.“I attribute its success to the fact that it doesnot just focus on skills development needed forthe mining and heavy engineering industry,”Alan said. “It also addresses the participants’past experiences, which can be quite farreaching;their self belief and confidence; theirattitude to work; and the things that havestopped them getting and holding a job.”This is done initially through a five-day ‘I MakeA Difference’ program, as well as other half-dayand full-day courses plus regular one-on-onesessions with each participant.OneSteel has traditionally been, and continues tobe, the major employer in Whyalla. We have a wellestablishedmining and heavy engineering activityin the area and, as a consequence, we believe itis important to work with the local community.This includes the indigenous community which,according to the ABS 2006 Census, comprises3.8% of the Whyalla population.protect the Barngarla sites, maintain culturalexchange trips and administer scholarships.OneSteel is currently seeking to develop acontract with Walga Mining – an indigenousmining company – with the hope of the contractleading to employment for 25 people (includingabout 15 indigenous people).At the State level, OneSteel has shown itscommitment to the development of youngindigenous professionals by sponsoringstudents as part of the Law Society’sIndigenous Law Students Mentoring Program.This successful initiative started in 2006,and supports a growing number of indigenouspeople as they study law and make thetransition to legal practice.“OneSteel will continue to promote theemployment of indigenous people at its Whyallasite going forward,” Alan said. “I believe themore indigenous people employed at the site,the more comfortable others will be to take upthe employment opportunities that are available.“We hope the contract with Walga Mining willgrow and develop and in-turn provide increasedemployment opportunities for members of theindigenous community.“Ideally this will include the indigenousapprentices we have employed as part of theGoal 100 and Get Set programs, and will seethem develop exciting and worthwhile careersin the mining and heavy industry sectors.”“It’s because there are guaranteed jobsavailable at the end of the program, ratherthan just promises,” Alan said.OneSteel regularly works with the WhyallinaAboriginal Heritage Corporation Inc, whosemain objectives are to preserve heritage,OneSteel apprentice Sam Poes is setting an examplefor young women and indigenous people who neverconsidered an apprenticeship as an option.23

Locals were treated to a rare spectacle whena OneSteel sponsorship enabled the Adelaide36ers and reigning NBL premiers MelbourneTigers to play a pre-season game in Whyalla.SPONSORSHIPSPROUDLY SUPPORTINGTHE COMMUNITYOneSteel has continued its commitment tothe local community through its ongoingCommunity Support Program. OneSteelWhyalla sponsored more than 50 individuals,groups and organisations in the past financialyear, contributing about $150,000 to the localcommunity. Below is a list of just some of themajor sponsorships OneSteel is involved in:• Whyalla Motor Show• Fishy Fringe• D’faces of Youth Arts Scholarship Program• Whyalla Show• Carols in the Park• The Smith Family Learning for Life Program• Country Arts SA Young Artist of theYear AwardHowever, it’s not just about major sponsorships.We also like to help individuals and smallergroups achieve in their chosen field. A smallsample of these include sponsoring:• Blind Sporting Council so local childrencould attend swimming programs• Whyalla Chamber of Commerce’sannual dinner• Edward John Eyre High School’s‘For All Senses’ exhibit• Whyalla Car Club’s South AustralianDirt Circuit Championships• Lincoln Gap Driver Reviver• Whyalla Basketball Association forjuniors to attend carnivals• UnitingCare Wesley’s ChristmasDay luncheon• SAPSASA in Whyalla• Whyalla Croquet Classic• Whyalla Dance Competition Spectacular• Christmas Pageant• Whyalla Gift / Food and Wine FairBelow: (Left) Carols in the Park is made possibleeach year through a major sponsorship from OneSteel.(Right) Whyalla’s numerous SAPSASA teams benefitfrom an annual sponsorship by OneSteel.24

Thank you notes from recipientsA message from The Smith FamilyDear OneSteel,I have written this letter to thank OneSteel forsponsoring me to help fund my trip to the GoldCoast, Queensland, to compete in the AustralianArtistic Roller Skating Championships. Withoutyour help and support, I would not have made itto my first nationals experience.Competing at this level will help me improvemy skating ability. Competing in figures againstother skaters has encouraged me to train harderfor next year to improve my rankings and scores.I was pleased with my performance knowing thatI have plenty of room for improvement and tohopefully finish in the medals next year.Once again thank you for supporting me inexperiencing this opportunity.Yours truly,Chelsea SchulzDear OneSteel,On behalf of the Whyalla Show Society I want youto know how delighted we are for your supportof this important community event. It means agreat deal to have OneSteel Whyalla as a majorsponsor and the community of Whyalla benefitsfrom the quality of entertainment that can beprovided thanks to people like yourself.Once again, thankyou for your much-appreciatedsupport.Yours faithfully,Michelle HeadDear Sir,This is to express my appreciation for yourorganisation’s generosity in sponsoring me andthe rest of the Whyalla members of the SA squadfor the Country Cup Basketball Carnival held inAlbury / Wodonga.I hope that you can continue to support thiscompetition in the future, as it gives youngsportspeople a chance to exhibit their talents ina wider field, and in the past has helped severalbasketballers into national, international andeven Olympic competition.Yours sincerely,Taylor-Lee BreenDear Sir,On behalf of the promoters of the OneSteelWhyalla Motor Show, I would like to take thisopportunity to thank you for your very kindsponsorship and support.As you would have seen, it was a huge andsuccessful show and to see over 100 cars,utes and bikes on display at one time wasmagnificent. The special events were alsospectacular with sky divers, motocross ridersand mini bikes.All these things would not have been possiblewithout your sponsorship and support, so weagain thank you from the bottom of our heart.Yours truly,Gerry LumsdenOneSteel’s three-year commitment to TheSmith Family’s Learning for Life scholarshipprogram in Whyalla is continuing, with OneSteelWhyalla pledging another $50,000 to supportmore than 250 financially disadvantagedstudents this year.The Learning for Life suite of interconnectingprograms provides financially disadvantagedstudents with support through financialscholarships to assist with education expensessuch as uniforms, books and excursions. Italso offers students a network of personaldevelopment opportunities, including accessto arts and sporting programs and personalsupport such as mentoring, tutoring andlearning clubs.According to The Smith Family’s SA PartnershipsManager Kym Wyatt, the sponsorship is going along way towards making a difference in the livesof hundreds of disadvantaged youth in Whyalla.“OneSteel is playing a significant role inthe local Whyalla community by investing inthe education of financially disadvantagedchildren,” he said.“This support helps us not only continue tooffer our various programs, but also to growand help more local kids in need.“This partnership is a fantastic result forThe Smith Family and we thank OneSteel forhelping make a genuine difference in the livesof these children.”Above: OneSteel continued its $50,000 a yearsponsorship of The Smith Family’s Learning for LifeProgram in Whyalla, allowing disadvantaged youth tohave access to a wide range of educational programs.Above: OneSteel sponsors the University of Adelaide’sBest Environmentally Sound Project Award. Taking outthe award in 2007 were Heidi McNamara, left, MichaelShannon, James Browne and Christian Winterfield,pictured with their award-winning biodiesel bike.25

case study - GET SETGet Set For Your FutureThe Get Set program was developed to allowOneSteel Whyalla to employ 10 school-basedapprentices in Port Augusta as part of itsapprenticeship recruitment pipeline. However,the company quickly realised that there wereinsufficient numbers of year 11 and 12 studentsattending the local secondary schools to enablethis number to be employed. Hence Get Set –an adaptation of Goal 100 – was born.It was identified that a large number of PortAugusta youth between the age of 16 and19 had not completed school and were notemployed. Get Set originally aimed to attract50 participants to undertake an 11-weekprogram incorporating skills and personaldevelopment courses. On completion, thesuccessful graduates would be employed bylocal industry as school-based apprentices.They would also move into full-time enrolmentwith the Australian Technical College – SpencerGulf & Outback for 12 - 18 months. There theywould undertake the Australian School-basedApprenticeship whilst completing their SouthAustralian Certificate of Education (SACE).Get Set was industry driven, with industrypartners OneSteel, Career EmploymentGroup and Oxiana guaranteeing a total of23 Australian School-based Apprenticeshipopportunities for those participants whosuccessfully completed the program. Thisincluded aptitude, medical and drug andalcohol testing.It aimed to give participants the personal,social and employability skills they needed tosuccessfully gain an Australian School-basedApprenticeship, and ultimately a full-timeapprenticeship.Thirty-eight youth commenced Get Set, with26 - including 14 indigenous youth - graduating.Twenty-four of the graduates accepted schoolbasedapprenticeships, with OneSteel Whyallaemploying 11 of these. In May 2008, 14 of thegraduates from Get Set accepted full-timeapprenticeships with OneSteel in Whyalla.Due to the success of this recruitment pipeline,a further program is planned for Port Augustain 2008 and an inaugural Get Set will also beconducted in Whyalla.The program was a huge success. It notonly provided OneSteel Whyalla with anapprenticeship pipeline but also offered anopportunity for disadvantaged youth – givingthem a unique opportunity to change their livesand commence a trade career.Right: (Top to bottom) Ben Finlay, ShakenaWarren, Sye Carr, Zoe Hitch and Ben McCallumhave all benefited from the Get Set program.The following are quotes fromseveral Get Set participants: -Ben Finlay – FabricatorI’m more confident in myself - it’s a whole new wayof life. I’ve made new friends and everything is goingreally well in my life.Shakena Warren – FabricatorI started the Get Set program because I was quittingschool - I could see no future in it for me and Ididn’t like it. My teachers told me that I would notsucceed in any job. Doing the program and gettingan apprenticeship has changed my life and it’s all forthe better because now I am keeping out of troubleand have a focus. My family are very proud of me forgetting employment as I’m the only one with a job.Sye Carr – Fitter & TurnerGet Set stopped me from taking drugs, gave me abetter future and has given me hope of getting betterthings for my family and myself.Zoe Hitch – Fitter & TurnerHad it not been for the Get Set program I would be onthe dole with no future at all. Get Set showed me thedifferent opportunities for women in the workplace e.g.trades and other roles. I was going nowhere and theGet Set program gave me the confidence that I neededto gain employment.Ben McCallum – FabricatorI enjoyed Get Set very much. I had done a pre-voccourse at Tafe SA but didn’t see any way of gainingemployment. The Get Set program gave me moreinsight into the trades and gave me a way intoemployment. Now having secured an apprenticeship, Ihave set some future goals for myself, such as buyinga house, car and a boat. If I didn’t take part in Get Set,I would have been in a low-paying, boring job.26

EnvironmentOne of the main challenges forOneSteel Whyalla is to minimiseits impact on the surroundingenvironment. Project Magnet hasalready gone a long way to solvingthe red dust issue, although thereis still some work ahead of us.Despite dust being a significantfocus, we have started looking atother ways to reduce any negativeenvironmental impacts we may have.The pellet plant is now fed by a wet magnetiteslurry, eliminating the dry, fine material whichwas previously produced and could easilybecome airborne.Pellet plant environment controlled areaDespite significant fugitive dust reductionscourtesy of Project Magnet, we were notcontent to stop there in regards to the pelletplant’s environmental performance. Due to theoperation being in such close proximity to thecity, it’s vital we manage numerous tasks in andaround that site.The ECG has worked closely with OneSteel toset a fair and reasonable target that makes thecompany accountable for its actions. The targetdemonstrates our desire to minimise OneSteel’snegative impact on the community, and showsconfidence that the transition to magnetite feedwill go a long way to achieving this. The targetis aimed at OneSteel’s contribution of PM10particulate matter (fine particles smaller than10/1000 of a millimetre) into the air.It states that the Steelworks’ contribution willnot exceed 50ug/m3 (as measured at the EPAWalls Street air-monitoring station) on more thanthe agreed number of occurrences per year.Two other key challenges for usinclude reductions in water usageand improved energy efficiency. Weare committed to tackling each ofthese challenges and bringing aboutmajor improvements in the process.To this end, we designated the pellet plant an‘environment controlled area’. This means allactivities with the potential to generate dust inthe area are required to have an environmentalmanagement plan or similar in place beforethe job can start. A speed restriction has alsobeen placed on all roads with a high risk ofdust generation and water carts are used moreregularly for dust suppression.Our efforts to decrease dustProject Magnet on-lineNow Project Magnet has come on-line, there arealready visible improvements in the east endof town. The most obvious difference is in thepellet plant, which was regularly shrouded in ahaze of red dust pre-Magnet.New targetsThe Community Dust Target has been developedwith the aim of demonstrating year-on-yearimprovements as the benefits of Magnetcome on-line. These include the remediationof stockpiles and the cleaning and gradualdemolition of redundant equipment.However, now that all drying, grinding, crushingand screening operations have almost entirelybeen removed, the plant has practically nored dust emissions and its impact on thecommunity has been significantly reduced.The target specifies the number of days peryear the Steelworks is allowed to exceed acertain level of fugitive matter in the air. Thishas started with 10 days in 2008 and will workdown to five by 2011 and beyond.The pellet plant has been designatedan ‘environment controlled area’ dueto its close proximity to the city.27

Environment cont.OneSteel’s contribution is determined bydeducting background dust (measured by theEPA Schulz Reserve air-monitoring station, welloutside the fugitive dust fallout zone) from thereading at Walls Street on days where the windcomes in a direction from the OneSteel site.The Community Dust Target is reported weeklyin the Whyalla News and, for transparency, thedust readings from Schulz Reserve and WallsStreet are published alongside it to show howthe target is calculated.Export material removed from thenorthern stockpilesThe last of the export material was removedfrom the northern stockpiles at the beginningof July 2008. This is another step forward toreducing potential dust sources within the areaadjacent to the community, as the stockpileshave been one of the main remaining sources offugitive dust now Magnet is on-line.The hematite centrix material will be relocatedby the end of 2008 and a management plan willbe developed for removing the pellets storedin this area. OneSteel aims to have the northernstockpile area cleared and covered (ensuringit can no longer have a negative impact on thecommunity) by June 2009.Road trainsAnother major milestone was reached onFebruary 1 with the final trucked delivery ofiron ore for export into the northern stockpiles.This final delivery cut out a major portion ofroad train traffic along Playford Avenue. Thenumber of trucks making use of the stretch ofroad had been a concern for residents since theirfrequency increased while OneSteel’s rail andexport facilities were being upgraded. At thepeak of the road train increase, there were 25vehicles operating 24 hours a day, seven daysa week, resulting in more than 600 road traindeliveries per week.While road trains still operate along that stretchof road, residents have already witnessed asignificant reduction in road train movements.We will still require a number of road trains tobring material to the Steelworks, such as coolantfor Steelmaking, blast furnace lump materialfor the emergency stockpile area, rock wallarmouring and a small shipment of special gradelump material. However, this is nowhere near thetraffic experienced in recent years and residentsshould have noticed a cleaner, safer, less activestretch of road.OneSteel has always been aware of the potentialimpact of the increased movements and put anumber of initiatives in place during the extendedcampaign to minimise any negative spin-offs.Controls were put in place resulting in road trainsdriving at 40 km/h in built-up areas, tarps wereplaced over the ore to prevent it being blownonto properties, trucks were numbered to easilyidentify any problems, and a remediationprogram was introduced to clean roads andsignage impacted by red dust.Playford Avenue is now noticeably cleaner thanthe same time last year, and we are endeavouringto have a clean-up project take place to see itfurther improved.Removal of redundant structuresand equipmentIn December, work began on the removal ofredundant pellet plant structures. A planwas developed for a three-phase approach,with the first phase focusing on the numberthree screening plant. A thorough clean downof the plant was carried out, followed by thedevelopment of the scope of work for theA lot of work has been done to remove equipment from the pelletplant’s redundant number three screening plant, signalling thebeginning of the end for dust-generating equipment in the area.removal of all the electrical components. Someservices needed to be re-routed before theremoval of the electrical equipment could takeplace. All electrical equipment was removed bythe end of May making the plant inoperable. Themechanical scope of work has been developedand has now gone out to tender. It is anticipatedthat this stage will be completed by the end ofAugust which will then allow the structure itselfto be taken down.There are a number of structures and equipmentrelated to the pellet plant that are no longerrequired, and over the years they have gatheredlarge quantities of fugitive dust. By removingthese redundant structures, we can ensure theywill never impact on the community again.28

Closure of number one screening plantThe number one screening plant was thelast of the screening plants to remain inoperation after the cut over of the pellet plantto magnetite feed. The plant was required toscreen the lump feed for the blast furnace.The screening plant was shut down for the finaltime on the 25th of June, 2008, the materialstored in the reclaim shed was removed and thebase of the shed was cleaned. This is anotherstep towards achieving the benefits associatedwith Project Magnet.Dust control networkplant transition to magnetite feed. Althoughmagnetite is being observed in the samples,the levels were very low up to June 2008. A12-month monitoring program will allow a fullunderstanding of dust types.Water savingsOneSteel was using about 850 megalitres ofwater every year to suppress dust on unsealedroads at the peak of the northern stockpiles.This is equivalent to the annual water usage ofnearly 4000 South Australian households. Ofthis, about 680 megalitres is fresh water –the equivalent of about 3000 householdsor 270 Olympic-sized swimming pools.that while the binding agents work well on thematerials handling areas, they are less effectiveon certain unsealed roads due to the nature ofthe road surface. Further work is in progressto understand which roads are / aren’t suitedto the dust suppressant. A number of projectsare also underway at the mine site’s magnetiteConcentrator to improve the operation andefficiency of the thickener. It is hoped thiswill potentially save between 500 and 1000megalitres per year. Another project is in placeat the Concentrator to return recovered waterfrom the tailings storage facility (TSF) to a tank.From there, it will be used to fill the water cartsThe dust control network has continued tobe an excellent aid in identifying potentialoffsite impact sources. Four continuousmonitors allow operators to identify potentialdust sources within designated zones and,where practicable, they can then put additionalcontrols in place to reduce offsite impacts.During this year, a new portable standpipe wasfabricated and a new pump system installedto allow all water carts to access the recycledprocess water dam. This increased accessto recycled water allowed us to cut back onour Murray usage, which is beneficial for thecompany and the environment.Red dust levels reducedRed dust levels within the community haveshowed a noticeable reduction and feedbackfrom residents has been very positive interms of the visible difference. Although ourmonitoring is showing that some dusts fromthe Steelworks are having an off-site impact,these are at much reduced levels. Howeverinvestigations are still underway to identifythe potential dust sources. Sampling to dateindicates that the dominant dust is a darkerhematite than the freshly crushed and groundhematite that was present before the pelletThe recycled water is actually wastewater fromthe various processes within the Steelworks. Wewere also able to identify an additional watersource to feed into the caster dam to assist inincreasing the available recycled water supply.With the reduction in vehicle movements andactivity within the northern stockpile area,we have been able to reduce the total waterusage on roads to around 550 megalitres, allof which is being sourced from recycled water.In addition to the standpipe, trials have beencarried out using dust-binding agents on roadsand material handling areas. The results showA new portable standpipe and pumpsystem has allowed all water carts toaccess recycled water from the caster dam.29

Environment cont.Rare plant species atthe mine siteYellow Swainson PeaThe Yellow Swainson Pea (Swainsona pyrophila)was thought likely to exist near Iron Duke becausehabitat, climate and location suited this plant.However, flora surveys conducted in the areaprior to mining failed to locate a specimen. Anunrelated survey of likely locations on EyrePeninsula located one plant in the MiddlebackRanges just north of Iron Knight.for watering roads at the mine site. A furtherproject at the ore beneficiation plant will seeupgrade work carried out at the thickener,capable of saving about 300 megalitres per year.Water mapping of OneSteel’s current processeshas taken place, and we hope to gain a greaterunderstanding of all our water uses so we canidentify potential water saving projects. Thishas already paid dividends with several ideasset to be implemented throughout the currentfinancial year.Other initiatives introduced across the siteincluded gradually replacing lawn areas withbark and gravel to reduce the requirementfor watering irrigation; a water awarenesscampaign which saw a water-saving leafletdistributed to all employees and contractorshighlighting ways to conserve water both atwork and at home; and the introduction ofdual-flush toilets, AAA-rated showerheads, flowrestrictors and waterless urinals across morethan 60 percent of the site.Environment awardsFor the first time, OneSteel recognised itsemployees and contractors for outstandingenvironmental efforts. While safety excellencehad been recognised for some time, we decidedto host our inaugural Safety and EnvironmentalExcellence Awards.Four new environment categories wereintroduced, and the initiative was well supportedby OneSteel employees and contractors, withthe calibre of entrants extremely high. This wasseen as a significant milestone in demonstratingOneSteel’s changing emphasis on improvingenvironmental performance across all aspectsof the business.Bustard sightingsA number of rare Bustards were sighted atthe Steelworks this year. An environment briefwas issued to warn people of their presenceand to remind personnel that these are anendangered species.Above: Plans are in place to improve the efficiencyof the magnetite thickener at the Concentrator,potentially saving up to 1000 megalitres per year.Swainsona pyrophila is listed under theCommonwealth Environment Protection andBiodiversity Conservation Act as vulnerable,and under our State National Parks and WildlifeAct as rare, and is therefore a protectedplant. Ironically, during a subsequent florasurvey conducted this year, a very healthyplant – covered in flowers and seedpods – wasdiscovered in a disturbed area cleared for theMagnet TSF decant pond. This is good newsas it shows that this plant, although rare, is acoloniser of disturbed soils.Subsequently the Mines and Export environmentadvisor will conduct some germination trialswith a view to populating the Magnet TSF topsoilstockpiles with this plant. This will effectivelycreate a seed source ensuring survival andpossible increase in plant numbers for theSouthern Middleback Ranges area.Left: The Yellow Swainson Pea has appeared atthe Iron Duke mine site. OneSteel will conductgermination trials in the hope of increasing numbers.30

improvement initiativesEnergyMarine dischargesWater usageSustainability Research CentreOneSteel has joined forces with other interestedparties, including the Whyalla City Council, tosupport UniSA’s extension of their sustainabilityresearch centre that operates from the MawsonLakes campus.UniSA is establishing a regional sustainabilityresearch centre based at its Whyalla campusand will undertake a variety of programs thatfocus on the future of regional and rural centresin Australia. OneSteel’s commitment to thecentre (in-kind and funding), together withfunding from the South Australian Premier’sscience fund and other parties, will support anumber of sustainability projects. These includethe exciting “Big Dish” solar energy project thataims to establish significant power generationcapability in Whyalla.OneSteel is particularly interested in the solarenergy storage opportunities that may allowcontinuous power generation, as is required byindustries that operate 24 hours a day.Environmental awareness trainingWe have developed a training program toimprove the environmental awareness of ouremployees and contractors. The aim is toensure they plan proactively to prevent theiroperations having a negative environmentalimpact. It will be rolled out in the 08 /09financial year.OneSteel is working on decreasing its energyusage through improving efficiency, particularlythrough better use of our waste gases. We havebeen seeking assistance from our workforceby introducing the Opportunities for Whyallascheme, which encourages employees to suggestideas to save the company money and help makeit more efficient and environmentally responsiblein any way possible. This has received somegreat responses and we will continue to push thisinitiative in the coming year.OneSteel has one remaining significant marinedischarge – the effluent from the coke makingprocess. The reed bed treatment systemtreats a percentage of this effluent, then thewastewater from this process is returned to thequenching tower to quench coke.A $14 million project is underway which will seethe installation of an ammonia distillation plantcapable of removing more than 80 percentof the ammonia and cyanide present in thiseffluent. The remaining phenol will be treatedby a combination of the reed bed treatmentsystem and the coke ovens pond system.Case Study: Jeff AndersenInaugural EnvironmentLeader of the YearAs an employee of Onesteel in the coke ovens,I have seen practices change and have beeninvolved in engineering solutions to minimiseeffects on the environment. This involves notonly keeping the plant clean, but also lookingat the extension of the life of the plant. Thismeans making things easier to maintain sothat they work properly and operate reliablyto prevent environmental incidents, notusing resources to continually replace thingsthat break, and not operating machineryinefficiently thus consuming extra power.With the commissioning of the magnetiteConcentrator at the mine site, there was asignificant increase in the use of water.To combat this higher than anticipated waterusage, OneSteel has put together a strategyaimed at saving 1000 megalitres and making1000 megalitres. The combination of these willensure OneSteel is well below its allocationlevel for water.I am a member of a committee that is activelylooking at reducing the impact of coal dustupon the Steelworks through the coke makingoperations. Incremental improvements havebeen achieved while operating with minimalbudgets and personnel have included thesetasks in their day-to-day work. Reducing dust isgood for the plant and good for the environment.A healthy, sustainable environment to workin should be the right, and expectation, ofevery employee. Employees should alsominimise their impact or preferably enhancetheir effect on the environment whether atwork or at home.31

Environment consultation groupTuesday, March 18, 2008 saw the officialof attention, other environmental impactsThe NEPM target for fine dust particlesIn closing and on behalf of the ECG, I wouldcommissioning of Project Magnet and theare becoming increasingly important in the(under ten microns) is no more than fivelike to acknowledge the contribution topromise of significant red dust reductions inECG’s deliberations. Issues such as water use,exceedences per year with the dust levelthe ECG made by Clint Garrett. In his usualthe eastern part of Whyalla. All of the hardreducing reliance on the Murray, energy useset at 50 micrograms per cubic metre. Theconscientious fashion, Clint chaired the ECGwork and countless hours put in by OneSteeland greenhouse gas emissions will be on themeasure remains important as it is designedfor a number of years and was a very valuableemployees and contractors involved in Projectagenda, along with marine discharges.to protect the health of the general public.contributor to the group. Unfortunately ClintMagnet has delivered a business on a sounderfinancial footing and a cleaner environment.The ECG works with OneSteel, the EnvironmentProtection Authority and the communityto ensure that OneSteel’s environmentalperformance continues to improve. Becauseof its immediate impact on the community,fugitive dust is still the ECG’s focus of attentionand is likely to remain so for the next 12months. Although dust is the current focusThe ECG is very keen to see a reduction in dustlevels as measured by both the Community DustTarget and the National Environment ProtectionMeasure (NEPM) target. The Community DustTarget is measured at Walls Street and the dustlevels at the Schulz Reserve monitoring stationare subtracted from the Walls Street reading toindicate OneSteel’s contribution to dust levels.Wind direction is also taken into account whendetermining the Community Dust Target.Using the NEPM standard, there have beentwo exceedences at Schulz Reserve and sevenexceedences at Walls Street from January toJune 2008. The Community Dust Target holdsthe company accountable for its contributionto fine dust particles, but it is that contributionwhich pushes the particulate load at WallsStreet over the NEPM.* The ECG backs theCommunity Dust Target but acknowledges thatthe NEPM remains an important monitoring tool.Project Magnet is the big ticket item when ithad to resign due to study commitments andpreparations for what I’m sure will be a veryactive retirement. We wish him all the best forthe future.Eddie HughesChairEnvironment Consultation Groupcomes to reducing dust levels but the generalclean up around the pellet plant, demolition ofredundant infrastructure and the removal of thenorthern stockpiles will also lead to an incrementalimprovement in dust levels. The ECG will monitorprogress over the next year on the above activitiesas well as general dust management.With the appointment of an independentassessor as part of the Community Clean-UpProgram, we are now moving closer to the cleanup of dust-affected properties and a generalimprovement in the visual appearance of the oldpart of Whyalla. The ECG will be heavily involvedin the remediation process.* These are the views of the ECG - OneSteel takes a different view. Dueto its location, the Walls Street station is not a NEPM site and, as such,can not be used to measure against the NEPM standard. OneSteel canonly be held accountable for the dust it generates from its operations,which is where the Community Dust Target plays its part. The WallsStreet monitor alone neither gives a fair nor accurate reading of thedust load produced by the Steelworks, which is why the naturallyoccurringbackground dust (reading from the EPA’s Schulz Reservemonitor, well outside the fugitive dust impact zone) is subtractedfrom the Walls Street reading. Despite these differences in views, bothOneSteel Whyalla and the ECG have agreed to report the CommunityDust Target as well as the Walls Street and Schulz Reserve readings tothe community on a weekly basis.The ECG visited the Iron Duke mine site in late 2007 to view the new Concentrator in action. Pictured on the day are, fromleft, OneSteel Manager Environmental Sustainability Angie Stokes, former ECG Chairman Clint Garrett, community memberBet Henderson, former OneSteel Communications Officer Karen Goldsworthy, and ECG Facilitator Dr Scott Phillips.32

Denise Sharp recently joined the ECG asa representative of the Eyre PeninsulaNatural Resource Management Board.New member profileFAREWELL profileDenise SharpClint GarrettI have been a Whyalla resident since 1996. Whilethis probably doesn’t quite make me a local, I havemade this city my home and I love living here.Whyalla has a lot going for it and I spend a lot oftime soaking up some of the many advantagesincluding having the conveniences of a large citywithout the hassle of traffic, noise and pollution;being able to get anywhere within 10 minutes ofleaving home; sunny warm days; fantastic nightskies viewing; and friendly faces.I have joined the ECG in a twofold capacity– through my job as a Natural ResourceManagement Officer with the Eyre PeninsulaNRM Board and as an environmentalist. It is myhope that my training and experience in naturalresource management can be useful and assistin the development of positive, sustainableoutcomes for the group and for the Whyallacommunity. So what drives me? I have a strongsense of community and the importance ofcommunities being engaged in making decisionsabout their future. It is my belief that educationand the willingness to learn underpin the abilityof any community in achieving this. I alsobelieve in the importance of communities takingresponsibility for the care and protection of theenvironment to ensure the resource base (andthings we take for granted as part of our naturalenvironment) are there for future generationsto use and experience in a sustainable manner.Sadly, the ECG had to farewell a long-standingmember and chairman in Clint Garrett earlierin the year. Clint has long had a passion forenvironmental conservation and joined the groupas a community representative in March 2003.He has had a deeply rooted interest in theenvironment extending back more than 20years. During his time on council, he workedon the Local Environment Plan and was keento tackle what he saw as a serious issue withfugitive dust in the eastern end of town.Clint soon became chair of the ECG in Sept 2003and oversaw numerous achievements in the pastfew years. This included conducting focus groupswith members of the public to ascertain theirfeelings on how dust impacted on their lives. Hesaid the survey proved that it wasn’t just oneor two people affected, but rather a large groupexperiencing wide-ranging effects.Another major achievement was having amember of WRDAG (Ted Kittel) on the ECG afterOneSteel and the group were able to come to anagreement to work together for the bettermentof the community.Clint chose to resign from the group so hecould focus on his job while also completing aGraduate Diploma in Knowledge and InformationManagement. He will retire from teaching at theend of the year.For now, he will continue to championenvironmental concerns such as the WhyallaConservation Park, and said he would like to seegreater support for conservation issues fromSouth Australian industry.We thank you for your valuable contributionsduring your time on the ECG, Clint, and wish youall the best in your future endeavours.33

CASE STUDY - Concentrator to PelletisingCrushing and screening High pressure grinding rolls magnetic separators ball millCONCENTRATOR TO PELLETISINGOur new magnetite process has completelychanged the way we get ore from the minethrough to what is now known as Pelletising.While previously the pellet plant was fed usinghematite ore which would come in dry on theback of rail wagons, we now mine magnetite foruse in the steelmaking process. This comes toPelletising (consisting of the filter flux plantand the pellet plant) in a wet slurry via apipeline from the Concentrator.For the first part of the process, entirely newcrushing and screening equipment was built atthe Iron Duke mine site. This alleviated the needfor ore to be crushed and screened in Whyallaat the pellet plant and removed a major sourceof fugitive dust.Once the ore has been through the threecrushing and screening circuits, it entersthe new Concentrator facility. This plant – builtespecially for Project Magnet – converts the dryore into a wet slurry for transportation to Whyalla.The ore first enters the high pressure grindingrolls where it is reduced to a smaller size beforeentering the magnetic separators. Theseseparate the magnetite from the unwantedmaterial, with the waste material collectedin the tailings dam. From there, the separatedmagnetite enters the ball mill where it is groundand progressively reduced using steel balls. Itthen enters a further magnetic separation,producing the final grade concentrate which issent to the thickener tanks to be thickened.The final slurry is sent to Whyalla via anunderground, 62-kilometre pipeline. It firstarrives at the filter flux plant, where the aimis to reduce the moisture content so the orecan be fed into the pellet plant for processing.Limestone and dolomite fluxes are added beforethe concentrate is pumped into the pressurefilter cloths. Water is then removed through34

concentrate pipeline FILTER cloths FILTER cakecompressed air and vibration, reducing theconcentrate to nine percent moisture. Excesswater is sent back to the Concentrator viathe return water pipeline to be reused in theprocess and ensure no water is being wasted.be turned into pellets to feed the blast furnace.The remainder of the steelmaking process thenremains essentially unchanged compared topre-Magnet steelmaking.The remaining material is called filter cake,which is discharged from the pressure filtersafter the air-drying cycle. Bentonite is addedto provide sufficient strength for the filter cakebefore it is transported to the pellet plant tonew magnetite process35

a message from sean kellyThis report has focused on the key environmentaland social responsibilty issues that OneSteelWhyalla has been addressing over the past 12months – our achievements, our challenges andwhere we are headed in the near future.As you would have seen in the previous pages,the 07/08 financial year was one of historicalsignificance that saw not only OneSteel butthe city of Whyalla reach new heights. ProjectMagnet has opened up new doors and createda resurgence in the city that many would nothave thought possible 10 years ago.However, there is still a long way to go, and weare the first to recognise we face many difficultchallenges in the years ahead. But we areconfident we can overcome any hurdles along theway and, with the help of the Whyalla community,we can build a strong future, together.Sean KellyCommunity Relations andCommunications ManagerPh: (08) 8640 4206Email: kellys@onesteel.comOneSteel is looking forward to workingcollaboratively with the Whyalla communityto build a strong future for both parties.36

This brochure is printed on Revive Laser Recycled - An Australian made paper that uses 100% recycled fibre. It is of thehighest environmental quality, made to ISO14001 Environmental Management Standards using elemental chlorine free pulpderived from FSC certified sustainable forests. Photography by: Sean Kelly, Nigel Cooper (Media Pit) and Kristen Clark.