In the 1950s, Australian Iron & Steel commenced an extensive modernisation and expansion of its Port Kembla steelworks. To operate on the expanded 200 kilometre network, seven shunter locomotives were ordered from English Electric with the first entering service in September 1956. A further six were delivered in 1960. A distinct feature of the locomotives was a large cooling fan at the end of the hood.[1][2]
A down turn in the early 1980s saw the class withdrawn, with D10 being hired to fellow BHP subsidiary Blue Circle Cement for use at Portland in 1982/83 and Berrima in 1986/87.[3] In 1989 three locos, D21, D23 & D24 were overhauled & repainted in the Lysaghts yellow colour scheme to replace locomotives on the neighbouring John Lysaght plant.