The closure of Corus, assumed by many to be the final nail in the coffin of steelmaking on Teesside, was a slow and often painful affair. Business Editor Owen McAteer reports on its demise... and remarkable turnaround.

AFTER 150 years, steelmaking on Teesside endured its lowest point 12 months ago when the Corus Teesside Cast Products was mothballed.

Despite a valiant fight by the region’s steelworkers, the decision of an international consortium, consisting of Marcegaglia, Dongkuk, Duferco and Ternium Procurement, to pull out half-way through a ten-year supply agreement in April 2009 seemed to have dealt a near knockout blow.

But, although undoubtedly on the ropes, those who believed steelmaking on Teesside had a future, vowed to carry on the battle.

On a cold February day, TCP multi-union chairman Geoff Waterfield, who has won universal admiration for his handling of the crisis, said: “I think 150 years of steelmaking... 150 years of families deserve that.

“I am not going to be the one who says I am not going to fight – my job is to fight.”

TCP managing director Jon Bolton also expressed optimism that the plant would start producing steel once more.

He said: “We will continue to work with all of the credible interested parties and, hopefully, we will find someone.”

The plant had initially been expected to be mothballed in August 2009, and the day only came after a series of stays of execution where work was transferred from other Corus facilities as union leaders, plant bosses and politicians worked to find a buyer.

Mr Waterfield said at the time: “We have worked long and hard to put it off.

“I am absolutely gutted.

“It has been extremely hard, especially when we know we have one of the best workforces in the world producing the Rolls-Royce, the Jaguar of steel.”

The passion for steelmaking was demonstrated as hundreds of workers and their families gathered at the gates of the plant to protest against the mothballing.

Technology manager Dave Cocks, who supervised the shutdown of the blast furnace, said: “I have a job to do, but at the end of the day I am shutting down the blast furnace I have been working at for 31 years.

“I have looked after it for longer than my own children.”

Then new hope came with the announcement in August that Thai firm Sahaviriya Steel Industries (SSI) was proposing to buy TCP after signing a memorandum of understanding with Tata Steel, formerly Corus.

Since February last year, more than 1,000 employees have left the plant, but SSI president Win Viriyaprapaikit has confirmed that the 700 steelworkers remaining at the facility will be kept on, with the potential for 800 jobs to be created.

Corus Timeline

2009

JANUARY 26: Thousands of the region’s steelworkers wait to hear if their jobs are safe as Corus prepares to shed a reported 3,500 posts worldwide.

MAY 8: The future of steelmaking on Teesside looks grim after an international consortium walks away from a ten-year deal to buy steel from the plant.

DECEMBER 4: Announcement that the plant is to be closed down in the new year.

2010

JANUARY 15: Workers celebrate as the order book fills up and the plant stays open for another month.

JANUARY 26: An Asian company is believed to be interested in buying a large stake in TCP.

FEBRUARY 19: The blast furnace at Redcar – one of Europe’s largest – is mothballed.

MARCH: A consortium, headed by North-East businessman Chris Musgrave, hopes to re-start steel making at the Corus site.

APRIL 9: A “funeral wake” is held in Middlesbrough by axed Corus employees to mourn the loss of the mothballed steel plant.

MAY 3: Bosses from Sahaviriya Steel Industries (SSI) visit the plant, with a view to buying it.

MAY 20: Prince Charles visits the plant to offer his support to workers facing losing their jobs.

MAY 28: SSI agrees to meet a North-East delegation of union leaders and MPs.

JULY 14: Local businessman Chris Musgrave’s consortium terminates discussions to buy the plant.

AUGUST 6: Vince Cable meets Corus bosses to discuss the sale to SSI.

AUGUST 27: SSI confirm it is on the verge of buying the plant in a £320m deal.

SEPTEMBER 9: SSI appoints David Reid in advance of its proposed acquisition of TCP.

SEPTEMBER 22: Win Viriyaprapaikit, president of SSI, visits the region for a tour of the plant and speaks of his passion for the area.

NOVEMBER 11: There are concerns that new tax laws could jeopardise the proposed deal.

NOVEMBER 27: The visit of a delegation of Thai dignitaries, led by Thailand's Minister of Foreign Affairs, raises hopes that a deal is close to completion. 2011

JANUARY 13: Redcar MP Ian Swales and representatives of SSI meet with Greg Barker, Minister for Energy and Climate Change, to discuss energy policy and its implications on the region’s heavy industry.

JANUARY 26: SSI plan to expand the Cast Products site once it takes over, promising to employ 800 staff while the 700 existing staff will be guaranteed a job.

FEBRUARY 17: The Northern Echo reports that an announcement of the takeover is imminent.