Update: How the Territory’s major projects are tracking
Major projects are key to the Northern Territory’s economy, but how are they tracking? Read our exclusive update.
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Talking about major projects is easy - securing major projects is not so easy, but that doesn’t stop people talking about them.
The Opposition CLP said since the Darwin ship lift project was first flagged in 2015, the Labor Government had issued no fewer than 37 media releases and photo opportunities around the project.
The government denied the actual number but could not deny it created construction expectations through its multiple media updates that detracted from the eventual announcement of the preferred builder in May.
The $515m infrastructure development is one of a number of Northern Territory Government priority projects, which also includes the Tiger Brennan Drive overpass, art galleries in Darwin and Alice Springs and Middle Arm Sustainable Development Precinct.
Of those, Middle Arm is dependent on the capacity of the private sector to secure debt and equity funding, work on the overpass is well underway, the Darwin gallery is emerging from its State Square home and after eight years, work is set to begin on the National Indigenous Art Gallery in Alice Springs.
Middle Arm Sustainable Development Precinct
Four of the original five ‘Not to Deal’ proponents remain involved, with Fortescue withdrawing its green hydrogen project earlier this year. With a $1.5bn Commonwealth equity arrangement, the NT Government will develop joint-user facilities to facilitate the development of green industries at Middle Arm. Of the remaining four Middle Arm proponents announced in June 2023, Tamboran is proceeding with plans to develop an LNG plant using Beetaloo Basin gas; Tivan is securing its Speewah reserve for eventual battery manufacturing and TEH2 and Avenira continued to develop their green hydrogen and cathode manufacturing facilities.
Arafura Rare Earths
Since 2008, when the early applications for this project were lodged, Arafura’s Nolans rare earths projects has tantalised successive governments. Some cynics reckoned it was a ‘pump-and-dump’ project, but any doubts about its authenticity were put to an end in March when the Commonwealth loaned the proponents $840m from the Northern Australia Infrastructure Facility to try and attract the additional investment required for Final Investment Decision. Since originally planned for Darwin Harbour, if it goes ahead the project will provide a massive boost for the Alice Springs economy.
Northcrest Berrimah
While debate rages over supplies of worker and student accommodation, and the government targets building 11,430 new homes across the Territory before 2023, infill at the Northcrest housing development in Berrimah has been quietly taking place while the others have been talking. Northcrtest is the Territory’s premier residential housing project with developments also at Zuccoli Village, Mitchell Creek Green and Zuccoli Aspire in the Top End as well as the government’s proposed Holtze development. The federal government has committed $4bn to build more than 2700 new homes over the next 10 years.
SunCable
By far the most visionary development on the Territory’s major projects list, SunCable managing director Cameron Garnsworthy told the NT News work on the project was well underway. “The development of the DarwinLink project continues to move at pace, as SunCable plans to deliver up to approximately 6GW of firmed renewable energy, of which approximately 4GW will stay in the Northern Territory to power game-changing green industries,” he said.
If it goes ahead, the project would create thousands of jobs and an estimated $20bn in economic value to the Territory over its construction and operation phases.
“SunCable Australia is continuing to work proactively with key stakeholders including the Northern Territory Government and Traditional Owners of the project area, together with the proponents of green industrial projects in the Darwin region to advance the project,” Mr Garnsworthy said.
Darwin ship lift
Beset by delays and controversy, this $515m investment into Territory marine infrastructure has been a constant companion for three chief ministers during the life of this government. Now Chief Minister, Eva Lawler was the Infrastructure Minister charged with bringing the project to life, announcing in May US company Pearlson would build the East Arm facility. In keeping with its controversial development, critics were immediately on the attack because of relatively low local procurement opportunities
Nobles Nob revival project
Over the past four years, a team from Tennant Mining has been busily laying the foundations for a massive reclamation project in the Barkly to cash-in on record gold and copper prices. Tennant Mining is relocating a gold processing plant from Cloncurry to the old Nobles Nob mine site, about 14km east of Tennant Creek, and hopes it will become a hub for gold sourced from the countless abandoned mines throughout the Barkly. If gold processing is profitable, the company will also look at processing copper at the site. As part of the $100m project, the company purchased and renovated Tennant’s El Dorado Hotel for worker accommodation.
The Beetaloo Basin
Better than any other project, the Beetaloo Basin development points to the challenges of developing major projects up in the Northern Territory compared with other jurisdictions.
As well as the regular environmental approvals, proponents also have to secure TO access and eventually run-the-gauntlet of disgruntled greens and cultural groups prepared to adopt pretty much any tactic to disrupt development.
If that wasn’t enough, two government-driven fracking inquiries and a development moratorium have seen production timetables blow out, through no fault of key proponents Tamboran Resources and Empire Energy.
In full production, the Beetaloo could generate up to 6000 direct and indirect Territory jobs and boost the NT economy by $17bn. First gas is expected in 2025.
The Barossa
Nothing better illustrates southern Australia’s desperate desire to stymie the development of northern Australia than the extraordinary lengths activists took to stop the project.
Located about 300km north of Darwin in the Timor Sea, developers Santos planned to revitalise the Darwin LNG plant using gas from the Barossa to replace the now depleted Bayu Undan field.
An campaign led by the so-called Environmental Defenders Office and involving University of WA academic Mick O’Leary to disrupt the $7bn project was finally stopped in January when federal court judge Natalie Charlesworth called out green tactics and untruths, but not before the project timetable and budget had blown-out.
The pipeline is now complete and first gas is expected next year.
Carbon Capture Utilisation and Storage
The process is often criticised for being unworkable or inefficient, but the government believes carbon capture and storage will enable the Territory to expand into sustainable low-emission sectors including renewable hydrogen and minerals processing while capturing up to 90 per cent of emissions.
Two offshore carbon storage projects are currently in the works at Middle Arm with Inpex’ Bonaparte CCU project in the Petrel sub-basin which could store up to 16 years worth of Australia’s entire carbon emissions and Santos’ project to use the old Bayu-undan field to store up to 10m tonnes of carbon a year from the Barossa and other projects.
Adelaide River Off-stream Water Storage (AROWS)
The largest water infrastructure project in the Northern Territory’s history, Chief Minister Eva Lawler described the project as bigger than the Alice Springs to Darwin railway.
If built, AROWS will almost double Darwin’s current water supply with an annual yield of 60.2 gigalitres, about double Darwin River Dam’s capacity.
Desperate to avoid the perception it is damning the Adelaide River, the government stresses the project requires minimal infrastructure, instead utilsing a naturally occurring geological basin next to the Adelaide River Subject to regulations, a controlled pump system will supply the AROWS basin with water from the Adelaide River during the Wet.
The Northern Territory Art Gallery
Designed by local firm Ashford Architects, with Clare Design and Hully Liveris, the three-storey gallery will provide world-class exhibition spaces to showcase the Territory’s outstanding art collections.
It will feature four large galleries with high ceilings, spacious foyer and workshops space.
Part of the so-called Darwin City Deal with the Commonwealth, NT government and City of Darwin, the facility is expected to be operating next year.
The Aboriginal and Torres Strait Islander Art Gallery of Australia
A 2016 election promise that dates back to former chief minister Michael Gunner, the government finally awarded the construction contract to Territory company Sitzler in June, with a promise work would be soon be underway.
The first stage of the $154m project will secure the site, establish a site office, complete the design development, secure the managing contractor, and begin value engineering; with $2.2 million accelerating these works into delivery.
The gallery is expected to be open by 2027.
Project Sea Dragon
The only people who don’t believe the massive prawn farm project planned for Legune Station in the Northern Territory is dead, is the project proponent Seafarms Group Limited. Despite the company’s previous board dismissing the project as unviable, Seafarms still issues regular media statements updating stakeholders about the project.
The Territory, Commonwealth and WA governments invested $100m on roads infrastructure to support the prawn farm, so any financial return on that investment would be well received by taxpayers.
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Iconic Central Aus resort closed to public due to ‘huge decline in numbers’
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