The administrators of the stricken Whyalla steelworks have been forced into a $60 million emergency buy-up of coking coal after previous owner Sanjeev Gupta, the British steel tycoon, ran down stockpiles to just three days’ worth.

Sebastian Hams, one of the KordaMentha administrators who took control of the loss-making steelworks on February 19 told a meeting of suppliers, government officials and unions on Wednesday about the unexpected $60 million in spending.