In the 2022-23 Federal Budget, the Australian Government is delivering $1.5 billion in planned equity to support the construction of common user marine infrastructure within the Middle Arm precinct in the Northern Territory.
In its announcement, the Federal Government said developing marine infrastructure at Middle Arm will open new export opportunities in Northern Australia for commodities such as green hydrogen and critical minerals, with associated downstream opportunities for onshore processing and low-emission manufacturing.
The Australian Government will work with the Northern Territory Government, industry, the local community and remote First Nations communities to develop a sustainable growth plan for Middle Arm, with a view to further announcements next year on implementation of this planned equity investment.
Prime Minister of Australia Anthony Albanese said, “Investing in common user marine infrastructure at Middle Arm and regional logistic hubs will support the growth in regional decarbonised industries and resilient supply chains which will strengthen both the NT and National Economy.”
The NT Government is working with industry and the Australian Government to transform Middle Arm into a globally competitive, sustainable precinct with a focus on low emission petrochemicals, renewable hydrogen, carbon capture storage and minerals processing.
Middle Arm is already home to a globally significant liquefied natural gas (LNG) export hub, with the Santos-led Darwin LNG and INPEX-led Ichthys LNG onshore processing facilities currently operational.
Further development of Middle Arm provides critical growth opportunities for the Territory, and is supported by:
- untapped proven gas reserves offshore and a world-class shale gas resource onshore
- highly prospective geological storage to sequester carbon dioxide emissions
- critical minerals reserves including copper, lithium, vanadium, rare earths, tungsten and cobalt
- access to renewable energy sources
- established construction, logistics and operations capability
- proximity to international markets.
Located on the Middle Arm Peninsula, the estate will provide a variety of lot sizes for sale or lease, to accommodate a diverse range of new and emerging industries including petrochemicals, minerals processing, carbon capture utilisation and storage, utilities, logistics, and commercial industries.
The Environment Centre NT has slammed the Budget announcement, calling it a fossil fuel subsidy for a petrochemical precinct.
Co-Director of the Environment Centre NT Kirsty Howey said, “Labor MPs have indicated that a Labor Government won’t fund new oil and gas projects, and that’s exactly what the Middle Arm Petrochemicals Precinct is.”
“There’s absolutely nothing sustainable about the Middle Arm Project. It’s about toxic petrochemicals and plastics production in Darwin Harbour using fracked gas from the Beetaloo Basin.”
“A major report released by ECNT by US environmental scientist Dr Michael Petroni modelled the likely impacts of this precinct and found there could be devastating health and harbour impacts if it goes ahead, including an increase in industrial air pollution of over 500%. It’s dangerous for the people of Darwin.”
“It’s premature in the extreme to commit this funding now. There’s been no cost benefit analysis, no environmental impact assessment, and it’s not supported by the people of the Northern Territory. It will be a disaster for climate and health and the taxpayers should not be funding it.”
