The Australian Technical College - Spencer Gulf and Outback is to be built in Port Augusta, Whyalla and Port Pirie.

Whyalla Mayor Jim Pollock, was joined at the ceremony by Mayors Joy Baluch of Port Augusta and Geoff Brock of Port Pirie, Bishop Eugene Hurley of the Port Pirie Diocese and Member for Grey Barry Wakelin.

Bishop Hurley, in particular, highlighted the genuine dignity there is in working with one's hands.

Leaders of local TAFEs, councils, schools and universities were at the ceremony along with key figures from local industry and the regional directors of both the Catholic and State education sectors.

General manager of Action Engineering and chair of the college board Greg Clothier, said he was delighted to see the college finally receive its funding.

He went on to say that the expansion of the Australian School-based Apprenticeship program is just what industry has been seeking, this program will enable students in years 11 and 12 to experience 48 weeks a year of vocational training and larger block release times while still completing their SACE.

The Whyalla campus of the college will be co-located with the University of South Australia on Nicolson Avenue.

Work will begin shortly with students expected to be using the new state-of-the-art complex in January 2007.

Both the University and the college are excited about the two teaching institutions sharing facilities.

Mr Damien Judd, the college's inaugural principal, was excited by the unique function and purpose of the college and the fact that it is governed by local industry.

"OneSteel like many companies in the resource and manufacturing industries is currently experiencing trades shortages and has recently undertaken a campaign to recruit qualified trades people from overseas whilst also embarking on an innovative apprenticeship training program in partnership with TAFE SA," OneSteel human resources manager Alan Tidswell said.