Port of Darwin lease review scaring off investors, impacting future plans for facility: Landbridge

Landbridge, the lease holders of the Port of Darwin, says the move to have the lease reviewed is scaring off investors and derailing its plans to invest $155m over the next 20 years to expand the port’s export capacities.

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LANDBRIDGE, the lease holders of the Port of Darwin, says the move to have the lease reviewed is scaring off investors and derailing its plans to invest $155m over the next 20 years to expand the port’s export capacities.

It has refuted claims that its control of the Port of Darwin is a security risk and warned of future legal action if the lease is scrapped.

Landbridge Infrastructure Holdings chief executive Vincent Lai told media in Hong Kong that partners with plans to invest in the Darwin port are now having second thoughts because of the threat that the Australian government will revoke the 99-year-lease contract.

Mr Lai said since Landbridge took over the Darwin Port operations, it has had inspections by Australia Defence, national port authorities and the NT government.

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He said the company had participated in a series of legal inspections such as the foreign investment act, “all finding it complies with Australia’s laws”.

Mr Lai stressed the company is committed to developing and managing Darwin Port which “does not involve any security issues.”

He said Landbridge plans to further invest millions of dollars in the construction of berths for bulk cargo, crude oil, LNG and containers, as well as port industrial parks and associated facilities.

“It is a business practice that generates mutual benefits … it is a normal business exchange and co-operation,” he said.

Mr Lai pointed to the fact the port now provides about 100 full-time jobs directly to the Darwin community and a further 200 jobs indirectly.

Landbridge, the lease holders of the Port of Darwin, says the move to have the lease reviewed is scaring off investors and derailing its plans to invest $155m over the next 20 years to expand the port’s export capacities. Picture: Supplied

He had port data that showed Landbridge’s investment in the port has increased its handling capacity, with average annual growth of 20 per cent.

It showed that by 2020, the total tonnage of ships arriving at the port reached 30 million tons, with most of the exports and imports related to Chinese destinations.

Mr Lai told the Hong Kong media Landbridge Group’s $506 million lease acquisition of Darwin Port’s operation was conducted under the premise of following international market norms and local laws.

He said the company will consider relevant “legal advice or other appropriate ways to protect its lawful rights and interests”.

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