What we do
The OneSteel Group is a diverse portfolio of international and domestic mining, recycling, mining consumables, manufacturing and distribution businesses. OneSteel is an exporter of iron ore and scrap metal and is the largest manufacturer and supplier of grinding media to the global resources sector. OneSteel also manufactures and supplies a range of mining consumables products, including rail wheels and wire ropes, to the resources sector.
OneSteel has a significant presence in Australian steel as an integrated manufacturer of steel and finished steel products. OneSteel is Australia’s premier manufacturer of steel long products and is a leading metals distribution company in Australia and New Zealand. The company manufactures and distributes a wide range of steel products including structurals, rail, rod, bar, wire and pipe and tube products, and distributes sheet and coil, piping systems, plate and aluminium products.
OneSteel’s business segments include:
Iron Ore
Mining and sales of iron ore and by–products
Recycling
Collection and sales of ferrous and non–ferrous metals for internal use and external sales
Mining Consumables
Manufacturing mining consumable products including grinding media, ropes and rail wheels
Manufacturing
Manufacturing and value–add steel products
Australian Distribution and New Zealand Distribution
A strong steel distribution network and niche market positions
OneSteel’s business strategy continues to focus on delivering in four key areas:
- Improving returns from existing businesses
- Achieving strong cash generation
- Growing and diversifying earnings
- Building organisational capability, particularly in relation to Supply Chain, Operational Excellence, and Customer and Market Insight.
Our mission
OneSteel’s mission is to deliver superior and sustainable returns through leading market positions in the construction, recycling, resources and industrial markets, with the leadership of our high calibre people, and operating and distribution capabilities.
Our core values
OneSteel’s mission is underpinned by the following values: Safety - we will not compromise on safety. Customers - we will meet our promise to customers.
Our achievements
Operationally, the resources focused IronOre and Mining Consumables segments performed well in the 2011 financial year, underpinned by continued strong mining activity. Our Iron Ore segment was again the standout performer for the year, delivering revenue of $948 million and EBIT of $524 million.
During the year, we acquired and successfully integrated the Moly-Cop Group mining consumables businesses in the Americas. This represented another significant milestone in OneSteel’s long-term growth strategy and transformation. The acquisition positions OneSteel as a global player in grinding media with participation in some of the world’s largest and most attractive mining consumables markets, as well as providing OneSteel with a solid platform for further growth in mining consumables.
Following completion of the acquisition at the end of 2010, we established a new Mining Consumables segment. This segment also performed well delivering EBIT of $65 million for the year.
The Recycling segment delivered a much improved EBIT result for the year of $21 million, which included a very solid second half performance.
OneSteel’s increased emphasis on driving safety improvement and on facilitating greater employee involvement in safety activities helped deliver further improvements to the company’s overall safety performance for the year.
OneSteel’s balance sheet remains sound. Statutory gearing at year end was 27.7%, which includes debt related to financing the Moly-Cop Group acquisition. The company successfully completed its debt refinancing program during the year to smooth and extend its debt maturity profile. This increased the duration of OneSteel’s drawn debt to an average of 5.7 years, compared to 2.6 years at the end of the prior financial year.
OneSteel remains well positioned to continue to manage through difficult domestic and international economic conditions and has significant leverage to economic recovery.
