A company looking at hydrogen and graphite technologies among two low emission proposals for the purchase of Whyalla Steelworks.

The federal and state governments have reduced the number of bidders for the financially stricken Whyalla steelworks from five to two.

BlueScope Steel can still use its rights to match a final bid, but Matt Latimore’s M Resources and India’s Jindal Steel are the frontrunners for the steelworks.