Darwin Port … at the heart of big commercial and military plans for the Top End. Photo: Landbridge Group
The NT Government has been left with nothing to show after meeting with federal government officials in Canberra last week to discuss Darwin Port.
The Country Liberal Party government is pushing for federal government help to reclaim full ownership of the port.
It was the CLP NT government of the day in 2015 that signed a 99-year lease of the port with the Chinese-owned Landbridge Group; the port is due to return to full Australian ownership in November 2114 as it stands.
It took NT Infrastructure Minister Bill Yan just hours to criticise Federal Labor MP for Solomon Luke Gosling, whose electorate takes in the port, for not helping them.
“No clear pathway forward has been determined from (the) meeting in Canberra (Thursday) with Federal Government officials citing election timing,” Yan said.
“Territorians deserve certainty about the future of Darwin Port but were left with none.”
Yan described the port as essential to the Territory’s economy and Australia’s strategic defence and cited the decision to bail out Whyalla’s steelworks as a precedent in securing the port in Australian ownership.
“Uncertainty over its future, exacerbated by Landbridge’s recent financial disclosures, continues to raise concerns about its long-term stability,” he says.
“… it’s time a plan is put on the table and provide certainty for Territorians, businesses, and our economy.”
MEETING SURPRISES
Landbridge Australia’s non-executive director Terry O’Connor said Yan’s announcement last week that a team was going to Canberra for talks about the port were a “surprise”.
“I can confirm that Landbridge and Darwin Port have not been involved in any discussions on the matter,” he said in a brief statement last week.
“As previously stated, and confirmed by our owner, the port is not for sale.”
O’Connor said Landbridge considered the port to be a long-term investment that is growing and will continue to do so.
In November, he announced a strong operating result in the 2024 financial year.
“Darwin Port remains in a strong financial position due to the significant headroom between its operating cashflows and debt service requirements along with its long-dated external debt position,” O’Connor said at the time.
He said their owners are considering asset sales this year across China which will not involve Darwin Port.
“We will await engagement from the Northern Territory Government,” O’Connor said.
An artistic impression of the ship lift as it services naval vessels. Image: Pearlson Shiplift Corporation
BIG PLANS
The NT Government’s plans for the port involve turning Darwin into a marine maintenance hub, not just for Australia but for South-East Asia.
It is currently building a $515m 26m-wide, 103m-long ship lift at Darwin which is capable of lifting 5500-tonne vessels. Dredging work has already begun.
The ship lift itself is part of larger plans to create an 18-ha marine industry park and turn Darwin into the premier shipping service point between Cairns (Qld) and Broome (WA).
STRATEGIC CONCERNS
Strategic concerns have further heightened by the visit of a three-ship Chinese naval task group which came down through the Coral Sea, held live-fire drills in the Tasman Sea which caused flights to divert (and sparked a political row) and circumnavigated Australia in a clockwise direction before returning north.
The Australian Defence Force will be spending up to $18 billion over 10 years to bolster bases, at Darwin Port and Katherine, as well as hosting a rotational US Marine air-ground force.
