Territory Quarterly, International Edition
Inside this issue
Australia’s Northern Capital ......................................................................................................... 1
Oil and Gas in Australia’s Northern Territory ............................................................................. 2
Advertisement ............................................................................................................................... 4
The Territory Tourism Experience ............................................................................................... 4
Advertisement ............................................................................................................................... 5
Territory Transport Vast Distances – Strong Infrastructure ...................................................... 5
Advertisement ............................................................................................................................... 7
Mining and Mineral Exploration in the Territory ......................................................................... 7
Advertisement ............................................................................................................................... 9
Darwin – Supply and Service Offshore and On ........................................................................ 10
Advertisement ............................................................................................................................. 11
Cattle Country the Territory Pastoral Industry.......................................................................... 12
Growing for Export Horticulture in the Northern Territory....................................................... 13
Seafood Territory ........................................................................................................................ 15
Industry Supporting Defence ..................................................................................................... 16
Charles Darwin University Welcomes International Students ................................................. 18
Advertisement ............................................................................................................................. 20
Indigenous Arts Alive in the Territory ....................................................................................... 20
The Northern Territory – Asia’s Front Door .............................................................................. 21
Advertisement ............................................................................................................................. 23
Renewable Energy Territory....................................................................................................... 23
Advertisement ............................................................................................................................. 25
Advertisement ............................................................................................................................. 25
Advertisement ............................................................................................................................. 26
While all reasonable efforts have been made to ensure that the information contained in this
publication is correct, the information covered is subject to change. The Northern Territory
Government does not assume and hereby disclaims any express or implied liability whatsoever to
any party for any loss or damage caused by errors or omissions, whether these errors or omissions
result from negligence, accident or any other cause. Opinions expressed in Territory Q do not
necessarily reflect those of the Northern Territory Government. Requests and inquiries concerning
reproduction and rights should be addressed to Major Projects, Asian Relations and Trade,
Department of the Chief Minister, Northern Territory Government. All images appearing in Territory
Q are protected by copyright. The Northern Territory Government respects Indigenous cultures and
has attempted to ensure no material has been included in Territory Q that is offensive to Aboriginal
and Torres Strait Islander peoples.
Australia’s Northern Capital
The Northern Territory is a vast, largely undeveloped landscape, comprising one-sixth of
the sprawling Australian landmass. Its rugged coastlines, sandstone ranges, arid plains and
rolling savannas are the spacious foundation upon which the Territory economy is based.
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The landscape also provides the economy’s surprising diversity. Abundant mineralisation across
the terrain has created a valuable mining industry, with enormous opportunities still awaiting further
exploration. The Territory’s 900km coastline is the launching pad to a thriving offshore oil and gas
industry, with expanding support and services delivered from Darwin, the Territory capital. The sea
is also the source of a sustainable fish and seafood industry that feeds the markets of southern
Australia and a growing international export trade.
The expansive Territory landscape is also the home to a century-old cattle industry that sees freeroaming stock fed on native grasses, exported from the busy Port of Darwin to clients across
South-East Asia. There is fertile, well watered land where a wide array of fruit and vegetable crops
are grown for local consumption and export. And the landscape is itself a contributor to the
economy, with visitors from the world over arriving to experience its unique natural wonders.
That wealth generated from the Territory landscape is today providing important opportunities to its
Asian neighbours. Over the past decade, Darwin has shed the redundant tag of ‘isolated capital’ to
become Australia’s most important northern export centre, earning the new moniker of ‘Gateway to
Asia.’ The Territory capital’s billion dollar Waterfront Project, which includes the Darwin Convention
Centre, has changed the face of the city’s central business district.
The past decade has also seen the Territory capital become an important regional gas hub. The
construction of ConocoPhillips’ Darwin LNG plant, and the 500km undersea pipeline to its BayuUndan offshore facility in the Timor Sea, has placed Darwin on the international energy world map.
Following its success in the manufacture of liquefied natural gas, the city attracted Japanese
energy giant INPEX and its French joint venture partner Total to begin construction on the
Territory’s most ambitious project to date —the US$34 billion Ichthys LNG project. It is a complex
development that will see a 900km pipeline stretch from the Browse Basin off the Western
Australian coast to the LNG plant in Darwin harbour.
Supporting the LNG operations and offshore oil and gas industry is Darwin’s wide array of service
and supply operators providing for the specialised needs of these valuable industries. With
demands on the service and supply sector growing, the Territory Government tendered for the
construction and operation of a dedicated Marine Supply Base that will provide a more efficient
launch space for marine tenders supplying the offshore rigs. The base backs onto the East Arm
Precinct, a spacious industrial area, the local home of companies supporting the maritime
industries.
International energy production and mining activity has super-charged the Territory economy. LNG
manufacture and export, along with the mineral boom, has attracted thousands of skilled workers
to the Territory. As of this writing, the Territory has the lowest rate of unemployment in Australia at
just 3 per cent of the workforce unemployed. Access Economics, Australia’s leading economic
forecaster, says: “Like Western Australia, the value of definite projects in the Northern Territory is
now on the rise, and there is plenty of potential for a more significant expansion to take effect over
the next couple of years.”
The sprawling Territory landform and the enigmatic sea to its north create economic opportunities
and, coupled with a foreign investment-friendly government, an adventure awaits those who visit
and discover those opportunities for themselves.
Oil and Gas in Australia’s Northern Territory
The spacious waters of the Timor and Arafura Seas, off the north coast of Australia, conceal
valuable gas and oil resources that will be a key driver of economic growth in the Northern
Territory for decades to come. Natural gas, associated petroleum liquids and crude oil have
been discovered across the great expanse of this region and future exploration is just as
promising.
Australia's Northern Offshore Basins and Operations
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Territory Quarterly, International Edition
Global liquefied natural gas (LNG) demand is forecast to double by 2030 and, in particular China’s
investment in LNG- receiving terminals is growing rapidly, with three in operation, four under
construction, and many others in the pipeline. Japan is the Territory’s principal LNG customer with
a major expansion soon to take place.
Currently five gas and oil fields in Territory waters are in production, while exciting new discoveries
have been made with potential for many more. Downstream processing of natural gas, particularly
for LNG, is an important and established part of the existing industry, based in Darwin. LNG
production is also the key to the Territory’s economic future.
The Darwin LNG plant located at Wickham Point near Darwin commenced shipments of LNG to
Japan in February 2006. The plan now produces at a rate of up to 3.7 million tonnes per annum.
Operated by US-based company ConocoPhillips, the Darwin plant manufactures LNG from the
Bayu-Undan field connected by an undersea pipeline 500 km north-west of Darwin.
Petroleum liquids such as condensate (a form of light oil), and liquefied petroleum gas are
separated from the natural gas offshore and exported directly from the Bayu-Undan site. The field
produces about 100,000 barrels per day of petroleum liquids. The LNG produced is shipped from
the Darwin plant to Japanese firms Tokyo Gas Company and Tokyo Electric Power Company, who
are also equity partners in the project.
The Ichthys final investment decision on 13 January 2012 has signalled a start to construction of
the Territory’s most ambitious LNG project: the development of the Ichthys gas field, to the north
and west of Darwin. The Ichthys ‘wet’ gas field, (containing liquid condensate and Liquid Petroleum
Gas), is jointly owned by the Japanese company INPEX and the French company Total E&P. It is
estimated to contain 12.8 trillion cubic feet of gas and 527 million barrels of condensate. The
condensate component of Ichthys alone makes it the largest oil discovery in Australia in four
decades. In 2008 and 2009 several other discoveries were announced in the near vicinity of the
Ichthys field. Some of these promise to also be world class petroleum fields.
The Ichthys project will see an offshore floating production and processing facility feed into a
889km undersea pipeline to Darwin where two 4.2 million tonne per annum LNG trains will produce
LNG. The poroject will supply about 10 percent of Japan’s LNG imports when it is commissioned in
2016. The offshore pipeline, when completed, will be the fourth longest in the world.
Sunrise is another rich wet gas field located 450km north-west of Darwin in the Timor Sea. It is
owned by a multinational joint venture including Woodside Energy, ConocoPhillips, Shell and
Osaka Gas. Containing an estimated 5.13 trillion cubic feet and 226 million barrels of condensate,
this field may become another of the world’s first floating LNG production facilities (FLGN), a
process where LNG is manufactured at sea and serviced from Darwin
The first FLNG development is already underway with Shell Oil’s $13 billion Prelude gas project set
to begin production in 2016. In order to pump the gas from the sub-sea floor and process it at sea,
the company is building what will be the world’s largest floating vessel at 488m long.
FLNG is a process by which smaller gas fields can be developed economically without having to
build pipelines and onshore gas plants. Another FLNG project has moved into the FEED (Front
End Engineering and Design) stage of development, and is headed for a final investment decision
in 2013. It follows the announcement of a strategic partnership between the French company GDF
SUEZ and Australian company Santos. Together, they will develop the Petrel, Tern and Frigate
gas fields in the Bonaparte Gulf, for floating LNG. Separately, the Thai petroleum company PTTEP
has announced its interest in developing an FLNG project on the Cash-Maple field about 700km
west of Darwin.
The 1980s saw the Northern Territory’s first onshore gas production when two gas fields in central
Australia started delivering gas for power generation through a pipeline that stretched over 1400
km across the Territory. By early 2010 those arid zone fields were in decline and, to continue gas-
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Territory Quarterly, International Edition
fired power production, the Blacktip offshore gas field was developed. The Blacktip field, located
south west of Darwin in the Bonaparte Gulf, is owned and operated by the Italian company Eni.
The field now supplies the Northern Territory’s complete power generation requirements.
The petroleum activity both onshore and offshore and the mining and mineral processing industry
across the remote areas of northern Australia support a thriving supply and support sector in the
Darwin region encompassing activities like rig tender supply boats, steel fabrication and equipment
maintenance, to name but a few. The establishment of Darwin’s new Marine Supply base will
create fresh opportunities resulting from a wide variety of offshore projects.
Darwin’s gas and oil sector, supported by a growing supply and service sector, is represented by
international companies from around the globe, including all the major economic powers in the
Asian region, several countries in Europe and the United States. This ‘United Nations’ of the
petroleum and support industries is testament to the Northern Territory’s welcoming policies toward
foreign investment and the Darwin industry’s desire to establish itself as the oil and gas centre of
northern Australia.
“The Blacktip field now supplies the Northern Territory’s complete power generation
requirements.”
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Darwin Australia’s Northern Oil and Gas Maintenance and Operations Base
We are well positioned to help you recognise opportunities in the Oil and Gas Industry.
Department of the Chief Minister
Major Projects, Asian Relations and Trade
GPO Box 4396, Darwin, Northern Territory, Australia 0801
Ph: +61 8 8946 9555
Email: majorprojects.info@nt.gov.au
The Territory Tourism Experience
Tourists go to different places to satisfy their personal needs. They go to Bali to lie on the
beach or ‘shop till they drop’. They travel to Monaco to dress in their finery and try their
luck at the gaming tables. In New York they flock to Broadway to catch the latest ‘hot ticket’
show, and in Singapore they arrive eager to sample the fine cuisine. But last year, 1,162,000
visitors landed in the Northern Territory and it was not to sunbake on the beach or queue
up for a theatre ticket. They came to experience the majesty of the landscape and the oldest
surviving culture on earth.
The Territory landscape is varied and spectacular. People travel across the globe to stand next to
the world’s greatest monolith, Uluru, or as it was known since European colonisation, Ayers Rock.
They come to Kakadu National Park in the Top End of the Territory to take a boat ride on Yellow
Waters where they are more than likely to encounter a massive saltwater crocodile. Or they visit
Alice Springs—the desert capital—and buy a painting by an Indigenous artist that looks more
contemporary than a Jackson Pollack.
Visitors choose the Northern Territory to experience something new and adventurous. Something
that touches them in a place tourism usually does not. They may strike out on a dusty track at
sunrise that takes them to a high desert outlook where the view is simply awe inspiring. Or they
venture out on a Territory river with rod and reel in an effort to catch the famous barramundi —the
species of fishing legend. They might spend a day gathering bush tucker with Aboriginal people, in
the same way Indigenous Australians have done for millennia.
While natural wonders like Uluru or Katherine Gorge are world class destinations, the Territory is
not the last frontier when it comes to tourism amenities. The region has much to offer in the way of
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accommodation to match every budget. After visiting Kakadu National Park, visitors stop in Darwin.
There they take the time to relax in the comfort of five star hotels, or, for the budget traveller, a
wide range of backpacker lodges. There are distinctive bed and breakfast homestays for more
personalised accommodation.
Darwin has become a tourism destination in its own right. The Territory capital has a distinctive
relaxed atmosphere all its own, featuring friendly outdoor cafés plus a wide range of attractions.
See giant crocodiles up close and personal at Crocodylus Park or in the city centre at Crocosaurus
Cove. Browse the city shops or grab a bargain at one of the city’s weekend markets. Take a sunset
cruise on Darwin Harbour or dine on the Territory’s famous fresh seafood at a harbourside
restaurant.
While Alice Springs may be the Territory’s second city, it is the unofficial capital of the sprawling
central Australian region. Basking in arid zone sunshine, Alice gives travellers a chance to rest
their weary feet after walking the trails that bisect the rugged West MacDonnell Range that borders
the township. They stroll through the mall where Aboriginal art takes centre stage.
But Territory tourism is still a young industry with enormous potential for growth and development.
Already the Territory’s largest employer, the industry provides 19,800 jobs or 17 per cent of total
Territory employment. The job of enticing more visitors and therefore, creating more jobs in the
industry falls to government body Tourism NT. It is their purpose to market and influence the
development of the Northern Territory as a quality, experiential tourism destination for the
continuing benefit of all Territorians.
Tourism NT works closely with the Territory’s two regional tourism organisations, Tourism Top End
and Tourism Central Australia. They are charged with promoting destinations and attractions once
travellers have arrived in the Territory, and helping facilitate increasing regional travel and
extending their length of stay. And it appears to be working well.
A recent international visitor survey found that holiday travel to the Northern Territory remained
steady but was better than the national average, with visitation increasing from the United States
and new markets in Asia.
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Territory Transport Vast Distances – Strong Infrastructure
The Northern Territory’s small population of 230,000 is dispersed over a vast geographical
area that comprises one-sixth of the Australian land mass. It is a landscape comprising the
arid lands of central Australia in the south, to the Top End’s tropical wetlands. With
hundreds of kilometres of open country separating the major population centres, strong
transport and communications systems are essential to drive successful economic
development.
Transport links are the lifeline to both social services and industry. With about 50 per cent of the
Territory’s population living in the Darwin region, and 25 per cent living in remote and very remote
communities, transport and communication are important to ensure access to essential services
such as health and education. The transport of passengers and freight by road, rail, sea and air is
also vital to major Territory industries like tourism and mining—major contributors to the growth of
the Territory economy.
Reliable and appropriate transport and communication links are critical to the Northern Territory’s
development, given the small size of the local market, and the relative isolation from major markets
in Australia. In 2009–10, the transport sector accounted for $779 million or 4.6 per cent of gross
state product, compared to 4.8 per cent nationally. Growth in the freight transport industry was
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Territory Quarterly, International Edition
experienced in 2009–10 as a result of a higher volume of goods being traded through the port and
railway.
The transcontinental railway was completed in January 2004, establishing a rail link between
Adelaide and Darwin. In late 2010, Genesee and Wyoming acquired the Tarcoola to Darwin line
from Freight Link Pty Ltd, and today operates approximately 12 intermodal freight train services
and 24 bulk train services per week. In 2009–10, total freight carried on the railway was 3.8 million
tonnes (including bulk minerals), a 24.9 per cent increase from 2008–09.
The Port of Darwin is connected to the national rail network through the Adelaide to Darwin
railway, which enables movement of goods including bulk minerals and liquids and live cattle
exports. The port is also used by passenger cruise ships, naval, fishing and pearling vessels, and
general freight operators.
Great Southern Rail operates the Ghan passenger train service between Adelaide and Darwin.
The service consists of a twice weekly return trip from Adelaide to Darwin during peak season, with
scheduled stops of several hours at Alice Springs and Katherine, where passengers can take the
opportunity to experience the local attractions.
The Port of Darwin is the Northern Territory’s major port and Australia’s closest port to the markets
of South-East Asia. Currently, key exports from the Port of Darwin are bulk minerals and cattle.
Trade through the Port of Darwin increased by 21.3 per cent in 2009–10 to 4 577 532 tonnes, the
fourth consecutive annual increase in trade volume. This was due to additional shipments of bulk
iron ore, manganese and copper concentrates to China, container line services between China and
Darwin, and livestock exports to South-East Asia.
Other significant ports in the Territory are mainly used by mining companies. These regional ports
include Alyangula port, which is used by the Groote Eylandt Mining Company (GEMCO) to export
manganese; the Port of Gove, which is mainly used by Rio Tinto Alcan to export bauxite and
alumina; and Bing Bong Port at Borroloola, which is mainly used by the Xstrata Zinc Company to
export mixed lead-zinc concentrate.
A regular shipping service between Darwin and China, operated by the Singapore-based Mariana
Express, commenced in 2009. Capacity on the Darwin to China service was increased in early
2010 to cater for a 200 per cent increase in the company’s trade volume between Asia and Darwin.
Swires Shipping is another company running regular services to Asia, stopping in Dilli and
Singapore.
In addition to using the regional port facilities for mining exports, more than 30 remote communities
rely on shipping services using these ports for access to goods and consumables. Perkins
Shipping provides integrated land and sea logistics services to remote communities and resource
industry customers across the Top End, as well as providing a trans-shipment service through
Singapore. In 2009, Perkins Shipping was sold to Toll Holdings, a large Australian-based transport
and logistics operator looking to expand its Asian operations.
There are more than 36,000km of road in the Territory. The national highway network links the
Territory to Queensland via the Barkly Highway, South Australia via the Stuart Highway, and
Western Australia via the Victoria Highway. These major sealed roads provide the gateway to the
Territory for interstate self-drive tourism, as well as the essential road transport connections
between the Territory’s major centres. Interstate and regional road freight movements continue to
increase.
Airports are critical infrastructure and play a key role in generating economic growth. Major airports
with regular scheduled passenger services operated by commercial airlines are located in Darwin,
Alice Springs, Yulara and Nhulunbuy. In 2009-10, the number of domestic passengers through
Darwin Airport increased by 6.2 percent to 1,744,309, while international passenger traffic
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Territory Quarterly, International Edition
increased by 11.3 per cent to 395,633 flights. The number of passengers through Alice Springs
Airport also increased, with domestic passenger travel rising by 0.8 per cent to 680,958. These
increases were driven by higher capacity and price discounting that saw passenger numbers
boosted by several special offer periods.
Seat capacity on international flights from Darwin International Airport increased significantly in
2008 with the introduction of the Jetstar hub providing services from Darwin to Singapore, Bali,
Manila and Japan. A host of smaller regional airlines including Airnorth (providing services to Timor
Leste), Vincent Aviation and Hardy Aviation provide services to remote communities, regional
centres and charter services.
Further additions to the Darwin airline network include full service Silk Air commencing flights
between Singapore and Darwin, with connections from across the world through the Star Alliance.
Virgin Australia offers full service flights between Sydney and Darwin. To accommodate expected
growth, Darwin Airport has commenced work on its expansion on the passenger terminal including
the construction of new business lounges for both Qantas and Virgin Australia.
Transport activity is likely to strengthen, primarily driven by increasing volumes of exports from the
mining sector. The seat capacity of flights to and from the Territory is expected to grow with the
continued development of the Darwin-based Jetstar hub.
Priorities over the next five years include upgrading the Port of Darwin facilities and developing the
Marine Supply Base to better service oil and gas supply ships in northern Australia; expanding the
Darwin International Aviation Hub by developing increased regional, domestic and international
airline links across the Territory; and the ongoing upgrading and maintenance of the major highway
and road network.
“Transport activity is likely to strengthen in 2010, primarily driven by increasing volumes of
exports from the mining sector.”
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Centre of attention
Darwin, Northern Territory
Darwin’s competitive advantage is its location – around four hours flying time to either Singapore or
Sydney.
Darwin offers streamlined connections between its Asian neighbours and southern Australian
States, through its growing domestic and international passenger and freight air links. This vibrant
and sophisticated northern hub proudly upholds its positioning as Australia’s Asian Gateway.
www.darwinairport.com.au
Mining and Mineral Exploration in the Territory
Mining is the driving force behind the Northern Territory economy. Valued at a record $6.7
billion to the economy during 2008–09, the sector contributes more than wholesale, retail,
primary production and tourism combined. Mining and energy account for 23.6 per cent of
the Gross State Product, which is over three times the national average of 7.6 per cent. The
continued prosperity and development of the Northern Territory depends on an active
mining industry and ongoing mineral exploration to discover the mining projects of the
future
The Northern Territory was the only Australian jurisdiction to increase its exploration expenditure
during the Global Financial Crisis, and strong growth in that sector has continued through 2011.
Mineral exploration in the Territory remains at unprecedented levels, with a record $195.3 million in
expenditure in 2010–11. Some of that success can be directly attributed to the government’s
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Territory Quarterly, International Edition
investment in the Bringing Forward Discovery initiative funding of $25.8 million (over seven years),
a program designed to attract new exploration investment and bring forward the next generation of
major resource discoveries.
Territory Government representatives also took to the skies. The international promotion of
Territory resource opportunities to explorers and investors, particularly in China and Japan, has
resulted in the attraction of tens of millions of dollars of funds into exploration and mining.
Much of Australia’s and the Northern Territory’s recent exploration expenditure is brownfields—in
and around an existing ore body. Greenfields (new sites) exploration has increased in recent
years, with over half of all exploration expenditure concentrated on greenfields sites, a figure well
above the national average of 39 per cent. This activity is the result of the industry’s appreciation of
the greenfields potential of the Territory where so much prospective landscape has not been tested
by modern exploration techniques. In an effort to further stimulate greenfields exploration, the
Territory Government introduced a geophysics and drilling collaboration through the Bringing
Forward Discovery program.
The variety and volume of minerals found in the Territory is staggering. Bauxite and alumina have
been the economic mainstays of Northern Territory mineral production for decades. During 2010–
11, Rio Tinto Alcan’s Gove bauxite mine and refinery was responsible for bauxite production worth
$339 million and alumina worth $4625 million.
As a result of international gold prices rising above US$1700 per ounce, gold exploration
expenditure in the Northern Territory has risen from $15.4 million in 2007–08 to $53.3 million in
2010–11. Exploration has been particularly active in the historically significant goldfields of Pine
Creek, Tennant Creek and the Tanami. The value of gold production in the Territory in 2010–11 is
$290 million.
Crocodile Gold Australia is mining and producing gold from a number of deposits in the Pine Creek
area with underground development of the rich Cosmo Deeps underway. Dominated by Newmont
Tanami’s Callie mine, where open-cut mining commenced in 1995, more than 12 per cent of all
gold ever mined in the Northern Territory has come from Callie.
In 2011, Newmont announced plans for a $500 million expansion of Callie, including development
of a shaft to allow ongoing underground development of newly discovered lodes. Gold mining in
the Tanami is expected to expand in 2012 with development of Tanami Gold’s Central Tanami gold
project. Recent exploration success by ABM Resources in the Tanami suggests a bright future for
gold in the region.
In the Tennant Creek mineral field, which has produced over 5 million ounces of gold, during 2011
Emmerson Resources discovered highly encouraging copper and gold mineralisation near the
historic Gecko and Orlando mines. New copper-gold resources are also being defined in the Rover
field south-west of Tennant Creek. Westgold Resources has recently defined a resource of gold,
copper, bismuth and cobalt at their Rover 1 deposit, and is planning an exploration decline to
further test this resource.
The McArthur River Mine, situated about 1000km south of Darwin, is one of the world’s largest
zinc, lead and silver mines. It is operated by McArthur River Mining (MRM), a subsidiary of Xstrata,
proceeding as an open-cut. The mine is the primary economic force in the Territory’s remote Gulf
Region, and a major Indigenous employer. Exploration for further zinc and lead resources, along
with other commodities such as copper and manganese, actively continues in the area.
Territory Resources operates an iron ore mine at Frances Creek, 200km south of Darwin,
producing around 2 million tonnes of hematite ore per annum. OM Holdings, based in Singapore,
operates the Bootu Creek manganese mine near Tennant Creek. Both mines truck their ore to the
Adelaide to Darwin Railway where it is transferred to rail cars and hauled to the Port of Darwin for
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Territory Quarterly, International Edition
export to the steel mills of China. The completion of the railway in early 2004 made the Frances
Creek and Bootu Creek mining operations economically feasible.
Iron ore exploration is also increasing in the Territory, with both Sherwin Iron and Western Desert
Resources defining significant new resources of hematite ore in the Roper iron field, 400km
southeast of Darwin. Both companies have announced plans to commence production of iron ore
from this field within the next two years.
Australia has 13 per cent of the world’s known economic manganese resources. The value of
Northern Territory manganese production in 2010–11 was $2.1 billion, eight times the value of gold
production in the Territory over the same period. One of the world’s largest high grade manganese
operations is on Groote Eylandt in the Gulf of Carpentaria. In 2009, that operation, which is jointly
owned by BHP Billiton and Anglo American Corporation, underwent a half billion dollar expansion.
The Northern Territory has a long history of uranium mining, and currently accounts for around 10
per cent of global uranium production. During 2010–11, the value of uranium production at Energy
Resources of Australia’s (ERA) Ranger Mine was $415 million, which was lower than previous
years due to unusually heavy wet season rainfall. However, Ranger remains one of the world’s
largest uranium mines, and the recent discovery of the Ranger 3 Deeps orebody is likely to
significantly extend the mine life. Uranium exploration remains strong in the Northern Territory with
$41.9 million spent in 2010–11.
The Territory also has an advanced uranium exploration project at Bigryli in central Australia,
where Energy Metals has a resource of around 10000 tonnes of uranium oxide. China Uranium
Development Company Ltd, a wholly owned subsidiary of major Chinese utility China Guangdong
Nuclear Power Holding Company (CGNPC) has recently taken a 69 per cent stake in Energy
metals, and is looking to move this deposit towards production.
Copper, diamonds, molybdenum-tungsten, vanadium, phosphate, nickel and rare earths present
enormous potential to explorers and miners alike. Arafura Resources’ Nolans rare earth elementsphosphate-uranium ore body is located 135km north-north-west of Alice Springs. This has the
potential to be one of the world’s most significant producers of rare earth elements, with Arafura
Resources targeting production in 2014. New discoveries elsewhere in the Northern Territory
during 2010–11 suggest that the Territory has potential to be a major rare earths producer in the
future.
Phosphate is another important emerging commodity for the Territory, with Minemakers Limited
investigating development options for Australia’s largest undeveloped phosphate at Wonarah, east
of Tennant Creek. A new phosphate discovery made in 2010 by Rum Jungle Resources east of
Barrow Creek, named Barrow Creek 1, also has the potential to develop into a major new
phosphate resource, only 80km east of the railway.
“The Northern Territory has a long history of uranium mining, and currently accounts for
around 10 per cent of global uranium production.”
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Australia’s Northern Territory
Mineral and Exploration Opportunities
The Australia’s Northern Territory is one of the most exciting mineral provinces in the world with
vast land, rich minerals and future opportunities. In many parts of the Northern Territory there has
been little or no modern exploration form mineral resources creating an unrivalled opportunity for
the astute investor.
The Northern Territory Government has a dedicated team actively promoting Northern Territory
exploration and mining projects to investors. Contact them, and they will help you find the right
exploration and mineral investment opportunity in the Northern Territory.
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Territory Quarterly, International Edition
Lisa O’Donoghue
Senior Business, Development Manager
Telephone: +61889996955
Email: lisa.odonoghue@nt.gov.au
Cindy McIntyre
Business Development Officer
Telephone: +61889996222
Email: cindy.mcintyre@nt.gov.au
Darwin – Supply and Service Offshore and On
It was not that long ago that all offshore production and exploration rigs were supplied from
southern capitals. Those days, however, are long gone. In recent years, the Northern
Territory’s capital has picked up many of those lucrative contracts to become Australia’s
newest hub for oil and gas exploration and development. It is also a growing base for the
many exciting onshore mining developments in northern Australia and Indonesia.
Darwin is now seen as a major location in the campaign to tap into the enormous energy supplies
that lie within an arc across the top of Australia—from the Browse Basin in the west, to the Timor
Sea directly north of this well-positioned tropical city. As the northern terminus to the Adelaide to
Darwin railway, it has also become an important centre for supplying many of the important mining
operations in the north.
Stepping up its efforts to increase its supply and service capabilities, Darwin has established new
infrastructure supporting a growing activity in mining exploration and production. These facilities
are based on the East Arm Peninsula, and are supported by a modern natural deepwater port that
handles rig tenders, container traffic, bulk minerals and liquid trades. Added to that is the Darwin
Marine Supply Base currently under construction, a facility purpose-built to service and supply
offshore rigs and special projects.
The Northern Territory Government and local industry are using the city’s proximity to Asia and
vast oil and gas fields that lie offshore as compelling selling points. Major projects, such as the
ConocoPhillips’ Darwin LNG plant and INPEX and Total’s Ichthys project, are driving the
expansion in the capacity and capabilities of the supply and service industry in the Northern
Territory.
What this means is that Darwin is now recognised as Australia’s northern mining and oil and gas
maintenance and operations base. The city has wide-ranging industry experience from
construction and servicing to maintenance and training, and all the supply requirements in
between.
Darwin’s East Arm Port is often lined with ships loading with bulk minerals bound for the foundries
of China and Japan, or live cattle for export to Indonesia and beyond. The ships’ cargoes are fed
by trucks plying the national highway system or the transcontinental railway whose terminus ends
at the port. The railway has made a number of inland mining projects viable by reducing their bulk
mineral transport costs. The railway also supplies 90 per cent of Darwin’s food and consumables,
as well as supplies and equipment for mining, construction and defence.
The Territory Government, in partnership with organisations like the Industry Capability Network
and the NT Chamber of Commerce, are introducing local businesses to prime oil and gas service
companies operating in Asia and Europe. Through a program of international industry visits, local
businesses are developing relationships and skills to capture the offshore supply and service
opportunities in the region.
For example, with the growth of Floating LNG in offshore production, Darwin offers opportunities
for the development of subsea supply and services, including underwater inspection, installation
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Territory Quarterly, International Edition
and maintenance. International subsea heavyweight, DOF Subsea has recently opened a branch
office in the East Arm Precinct to take advantage of that specialised work.
In fact, an increasing number of local companies are now becoming an integral part of international
supply chains for onshore and offshore operators. A perfect example of this is the joint venture
between the global service provider the Wood Group with Darwin- based maintenance company
RANms. Wood Group eventually bought RANms and since then have been successful in winning
contracts with Eni.
Another local Darwin company that pioneered Darwin’s offshore supply industry is the Shorelands
Group which formed an alliance with international logistics specialist ASCO to form ShoreASCO,
the successful bidder to build and operate Darwin’s new $100 million- plus Marine Supply Base.
That provides an efficient combination of international expertise mixed with experience-based local
knowledge.
The Shorelands Group of companies, acting independently, are still very active in regional gas and
oil supply. The company operates the Mungalalu Truscott Airport facility 500km west of Darwin, an
operation integral to the supply of the Timor Sea’s offshore production facilities. It will soon become
even more important with the US$30 billion INPEX gas project production field sited offshore near
Truscott in the Browse Basin.
Further boosting Darwin’s key position in the petroleum industry was Japanese energy giant
INPEX and joint venturer Total’s final investment announcement of Darwin as the onshore location
for its $30 billion LNG gas project. Simultaneously under construction with the plant is Shore
ASCO's Marine Supply Base servicing the project as well as a variety of offshore projects,
including Shell’s Prelude FLNG project nearly 900km away.
The Base’s three-berth facility is designed to take the pressure off the port. The rig tenders will
come in off the open ocean and the offshore facility’s waste will be offloaded as well as goods for
maintenance. Then the tenders take on board fuel, water, mud for drilling, chemicals, machinery
and goods to take back out to the drilling platforms. It’s a dedicated facility to service the offshore
oil and gas industry and a professional turnaround for a tender is in eight to 12 hours.
As a result of the sustained activity, an increasing number of supply and service companies are
reviewing their position and establishing a presence in Darwin. Service and support providers are
taking up space in the East Arm Precinct adjacent to the Marine Supply Base which includes a
20ha assembly yard and lay down area, funded and managed by the Northern Territory
Government. The area is available for short-term rental options at market rates, with land areas
negotiated to suit individual requirements for a range of activities, including engineering, fabrication
and assembly of buildings, oil and gas support, transport and logistics.
These facilities, combined with Darwin’s modern health and education services, transport links and
lifestyle, make a strong case for its claim as a key service centre for the north Australian/SouthEast Asian region.
The support of oil and gas production and mining has emerged as a significant and rapidly growing
opportunity for Territory-based businesses. Darwin is building a strong reputation as a reliable and
competent maintenance and operations base. It is a safe, modern, tropical city with the capacity
and capability to provide considerable resource and time efficiencies to the growing number of
operations in the Timor Sea, eastern Indonesia and beyond.
“The support of oil and gas production and mining has emerged as a significant and rapidly
growing opportunity for Territory-based businesses.”
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Territory Quarterly, International Edition
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Cattle Country the Territory Pastoral Industry
Think space. Think of properties so big that owners would have to drive for days to inspect
their boundaries—some of the largest pastoral holdings in the world. The Northern Territory
rangelands are every cattleman’s dream, today carrying around two million head of stock.
Undulating plains of native grass for cattle to feed upon are punctuated by flat sandstone
mesas and bisected by rivers, streams and creeks, many of which only run following
infrequent torrential rains. When managed efficiently, the largest cattle stations many
thousands of square kilometres in size, can sustainably carry herds in excess of 50,000
head.
Cattle properties in the higher rainfall regions of the Northern Territory are, for the most part,
owned and operated by large corporations. In the southern parts of the Territory, families have
continual attachment to the land, with properties often passing on to the next generation.
It is an industry that employs around two thousand men and women from across the Territory.
While the cattle appear to roam freely across the landscape to graze, they are, in fact, carefully
managed and moved from paddock to paddock to efficiently utilise the native pastures.
When the cattle are ready for sale they are ‘mustered’, often by helicopters, working in tandem with
vehicles or horsemen on the ground. The cattle are loaded into huge three-trailer road trains to be
transported for sale, often hundreds of kilometres away, and exported to Asian buyers in the live
cattle trade through the port of Darwin. Others are destined for the domestic markets interstate.
Cattle for live export are loaded onto purpose-built ships and transported to ports only a few days
sailing time away in Indonesia, the Philippines or Malaysia. There they are cared for in well run and
efficient feedlots where they are fattened on feed stuffs, such as yeast, pineapple and other
agricultural by-products until they reach market condition.
Cattle production is the Northern Territory’s key primary industry sector worth around $250 million
to the Territory economy annually. It is the principal contributor to the Territory’s Gross State
Product and the hub of economic activity in regional centres. Herd numbers and cattle turn-off
have increased significantly over the past 20 years with the industry making major productivity
improvements through enhanced management practices. Approximately 550,000 head of cattle a
year are turned off for finishing and processing into both the interstate and live export markets
making a significant contribution to the Territory’s economy.
Growth trends for the pastoral industry are very positive into the future, continuing its consistent
growth trend. Producers estimate that new infrastructure and more refined management practices
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Territory Quarterly, International Edition
and improved technologies will lift the Territory’s overall future cattle carrying capacity, and value to
the economy.
The burgeoning middle class populations and increasing incomes in a number of South-East Asian
countries are driving increasing levels of consumption. The Territory, only a few days sailing time
away, is strategically placed to be their major supplier.
In the foreseeable future, the demand for beef in Asia will continue to support the live export trade.
Cultural attitudes within South-East Asia are still orientated to freshly slaughtered meat from wet
markets, with an increasing preference for beef. The live export trade is underpinned by the
complementary nature of breeding animals in Australian rangelands and then fattening them in
South-East Asia.
The live cattle trade took more than 272,000 head of Territory cattle into South-East Asia in 2010,
with about 250,500 head going to Indonesia. Over 90 per cent of the Territory’s export trade is
destined for this market. Due to the recent trade suspension to Indonesia for live cattle the Territory
Government and cattle industry have been focusing their attention on maintaining existing markets
and establishing additional markets in South-East Asia.
Creating new markets requires a systematic approach with the establishment of key relationships
in both countries. This can only be achieved through high level coordination between government
and industry. Following an initial market evaluation further studies are undertaken to ensure prime
economic market drivers are strong. This is followed by a thorough education and training program
to ensure any new overseas cattle ventures handling Australian cattle operate under industry best
practice.
The most recent example where this approach has been taken is in the development of the export
trade into Vietnam.
A number of senior Territory Government and industry delegations have visited Vietnam over the
past few years. In 2010 a delegation from Vietnam visited the Territory to gain an understanding
and appreciation of our pastoral industry and the live export process.
Subsequently an initial consignment of 945 Territory cattle has been shipped to northern Vietnam.
When the cattle arrived officers from the department of Resources were there to assist with advice
on animal handling and feedlot management. Together with industry, they continue to provide
advice and assistance to the Vietnamese.
The Department of Resources in conjunction with the Chief Minister’s Department are also working
with another Vietnamese company providing technical advice in the development of a beef cattle
enterprise in Central Vietnam.
The Northern Territory Cattlemen’s Association, the Territory’s pastoral industry representative
group, believes that over the next decade there is potential for the Territory cattle herd to increase
by 30 per cent. This increase in the total herd can be achieved through a number of factors
including improved management practices, new technologies for more efficient land use as well as
improved access to new infrastructure, land and water resources. It believes that industry expertise
will continue the promising outlook for the Territory cattle industry.
Growing for Export Horticulture in the Northern Territory
Australia is a land of enormous diversity. In northern Australia the growing seasons for
agricultural crops precede the country’s main farming areas in southern Australia. The
north’s tropical climate also generates opportunities to grow specialised fruit and
vegetables not available in the cooler southern climates. The inland irrigated tropical
regions are also less susceptible to cyclone damage which, combined with a dry
environment and isolation, contributes to reduced pest and disease damage.
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Territory Quarterly, International Edition
These factors have created valuable niche markets that have seen the value of horticulture in the
Northern Territory rise significantly since 2005. Then the industry was worth AUS$99 million; this
year the industry is expected to contribute AUS$176.1 million to the Territory’s economy.
Territory growers enjoy an important competitive advantage in their capacity to produce a variety of
vegetables and fruits outside the normal southern seasons and achieve premium prices. In dry
central Australia, the table grape industry has enjoyed this advantage for the past 20 years and
remains the mainstay of the Territory’s arid zone horticultural activities. New growers are testing
the feasibility of growing other fruit and vegetable crops in the region, including pumpkins,
watermelons and pomegranates. New farms have recently been opened on land owned by
Indigenous Australians, providing income and employment opportunities for young workers.
While table grapes are the principal horticultural crop of the arid southern region of the Territory,
mangoes are the principal export crop of the wet tropical north. The Territory mango season is the
earliest in northern Australia, producing a valuable niche market in southern population centres.
The large size Kensington Pride variety, the most prominent species grown, is also popular across
Asia as an export product. 2011 was the best season on record, with 33,400 tonnes of Territory
mangoes shipped by road, rail and air, valued at $80 million.
Melon production has been slowly increasing up to around $50 million, but with demand could
readily increase. Citrus fruits and vegetables are also major crops produced across the Darwin and
Katherine regions. Smaller volume crops are increasingly produced, including Asian vegetables,
bananas, rambutan, dragon fruit and other tropical varieties. The nursery and cut flower sectors
are significant, with orchids and heliconias shipped to florists in Sydney, Melbourne and Perth.
The Territory’s horticultural industry has the capacity to continue its recent growth, not only by
exploiting the natural seasonal advantages farmers enjoy in the north, but also through the
government opening up new areas of land and focusing efforts on productivity improvements.
Like other Territory agricultural sectors, field crop production has also grown over the past five
years, driven primarily by the increase in hay and silage production in the Katherine, Daly and
Darwin regions. Hay production specifically has grown steadily over the past 15 years in line with
the growth in the export of live cattle from the NT. It has become a significant component of the
Territory’s rural economy, with hay and grain crops generating $18 million in 2010.
The Territory’s forestry industry is growing in importance. Some 30,000ha of acacia are being
grown on the Tiwi Islands to Darwin’s north, and a further 10,000ha of African mahogany has been
planted south of Darwin with aspirations to achieve 40,000 ha. This mahogany is destined to be
used in fine furniture in 15 to 20 years’ time. These plantings will reap future rewards as the world
continues to face increasing shortages of high quality hardwood.
A critical element of maintaining quality productivity and the integrity of Territory horticultural
production is the strength of our bio security framework.
Australia enforces some of the strictest quarantine measures in the world because the country
relies heavily on its livestock, agricultural and horticultural industries, which collectively inject
billions of dollars into the national economy and provide employment for thousands of workers
Australia-wide.
As an island continent, Australia has been largely protected from the devastating exotic pests and
diseases that have become the curse of many other countries throughout the world. However, the
Australian quarantine system takes every possible precaution to guard against exotic incursions
that have the potential to decimate our plant and animal industries. The Northern Territory, like all
other Australian jurisdictions, has its own stringent quarantine laws in place to prevent existing
plant and animal diseases from spreading to new areas.
Consistency of supply is a prerequisite all customers demand of Territory producers. Those
producers are continuing to find new ways of expanding their seasons as well as securing new
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Territory Quarterly, International Edition
markets for their products. Research is an important part of that process, and it is a facet of the
industry underpinned by the Territory Government.
The Northern Territory Government maintains an outstanding scientific research capacity with
more than 50 staff members engaged in research, diagnostic, extension and regulatory activities.
They have gained a nationally recognised reputation in tropical systems science, maintaining a
network of well managed research and demonstration facilities aimed at profitable and sustainable
primary industries.
Growth in the horticulture sector cannot occur without available land. Of the 1.3 million hectares
that constitute the Northern Territory, less than 0.5 per cent has been cleared to produce food.
Even when the ecologically sensitive, the protected, the culturally important, the richly biodiverse
and the agronomically inappropriate areas are taken into account, prospective areas suitable for
horticultural production remain.
The Territory’s challenge is to identify and specifically research those areas to ensure the level of
knowledge required to bring them into sustainable production is achieved. When access to water,
suitable soils, and infrastructure are taken into account, these prospective areas exist in mosaics
throughout the Territory, creating valuable investment opportunities.
“These plantings will reap future rewards as the world continues to face increasing
shortages of high quality hardwood.”
Seafood Territory
The Northern Territory’s fishing industry is always on show, with an armada of vessels
anchored at the city’s Duck Pond mooring basin. The anchorage, just a few hundred metres
from the city centre, features trawlers that make their way out to the Gulf of Carpentaria in
search of tiger and banana prawns. There are the longliners who travel hundreds of nautical
miles into the Timor Sea to fish for gold band and saddletail snapper. And there are boats
whose crews frequent the coastline targeting the Territory’s signature species, barramundi
and king threadfin.
The combined waters of the Arafura and Timor seas bordering the Northern Territory create
enormous economic opportunities for commercial, recreational and traditional Indigenous
fishermen alike. While recreational fishermen and Aborigines take to the rivers and billabongs of
the Top End, commercial fishers ply the river entrances and the Territory’s 800km coastline, while
others travel considerable distances from their Darwin base. The commercial sector includes
harvesting wild catch, fisheries and aquaculture as well as the processing, trade and retailing of
seafood.
Seafood processing and retail industries support the commercial fishing and aquaculture sectors,
supporting the supply of seafood to consumers in the Territory, in southern Australia and overseas.
In 2010–11, the total value of Territory fishing (wild catch fish, wild catch crustaceans including the
Commonwealth-managed Northern Prawn Fishery, wild catch mollusc and echinoderms and
aquaculture) production is estimated at $128.1 million.
The Northern Prawn Fishery, lying off the coast of northern Australia, is the Territory’s most
valuable fishery. The value of managed fisheries, excluding the Northern Prawn Fishery, and
aquaculture in the Territory in 2008–09 was $58.8 million. While the NT’s fish stocks are highly
sustainable and in many cases under-utilised, the value of production of fisheries in the Territory
has tended to fluctuate over time due to environmental conditions and consumer demand.
Eight Territory wild-harvest fisheries have undergone assessment by the Commonwealth under the
Environment Protection and Biodiversity Conservation Act. All these fisheries have been awarded
the highest level of accreditation, meaning that Territory fisheries are healthy, well managed and
ecologically sustainable, and product harvested from these fisheries can be exported. Fisheries
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Territory Quarterly, International Edition
that have undergone this assessment include shark and mackerel, aquarium, demersal fish, fin fish
trawl, mud crab, Timor Reef and trepang fisheries.
Fishing tourism is also important to the Territory’s economy. In 2010–11, 28,640 people
participated in guided fishing tourism excursions. Approximately 77 per cent of that number were
from interstate, 3 per cent from overseas and 20 per cent resided in the Territory. Recreational
fishing is a popular pastime for local Territorians, with more participants per head of population
than anywhere else in Australia.
A survey in 2001 indicated that people in the Territory spent 1.9 million hours fishing in that year.
Barramundi is the species favoured by recreational anglers, with interstate and international
visitors specifically coming to the Territory to catch this iconic species. Other species caught
include black jewfish, golden snapper, tricky snapper, red emperor, mangrove jack, king threadfin
and saratoga.
The results of a comprehensive survey of recreational fishing in the Territory are due to be
published in 2012. It is expected that the results will indicate the growing significance of
recreational fishing in the Territory and will provide an important foundation upon which to base
future management decisions.
The Territory fisheries industry is largely dependent on economic conditions in interstate and
international markets. Currently the sale of crustaceans, including the Northern Prawn Fishery and
mud crabs, for 2010–11 is estimated to be $77 million. Fish (barramundi, shark, gold band
snapper, other snappers, threadfin salmon, mackerel, jewfish) were valued at $25 million.
The aquaculture sector was valued at $25.7 million in 2010–11, with pearling the most valuable of
the aquaculture industries in the Territory accounting for about 75 per cent of the value. Darwin
based Paspaley Pearls is the world leader in the production and sales of South Sea Pearls.
Barramundi aquaculture is a growing industry, with a number of farms in operation outside Darwin
producing quality fish for the local market and for export to southern capitals.
The year ahead will also see some important management changes in the offshore snapper
fisheries that operate in the Arafura Sea. Flexible and sustainable fisheries harvest frameworks will
be implemented by the Territory Government to encourage long-term development and investment
in these fisheries.
The value of Territory fisheries production has increased by about 50 per cent in the five years
since 2003–04. Over the past decade, important changes have occurred in fisheries management.
The Territory Government uses various strategies to ensure equitable resource sharing continues
between commercial and recreational fishers. Components of that resource strategy include
voluntary and compulsory reductions in the number of fishing licences, a voluntary buyback of
coastal netting licences, gear restrictions, seasonal closures, river closures and minimum size
limits.
The Territory Government believes these measures will ensure the future sustainability of this
important resource, and local seafood consumers will continue to see fresh fish and prawns offered
for sale from the boats anchored at Darwin’s picturesque Duck Pond mooring basin.
“Recreational fishing is a popular pastime for local Territorians, with more participants per
head of population than anywhere else in Australia.”
Industry Supporting Defence
The Northern Territory is entering a new era of opportunity as an increasing number of
Australia’s new Defence Force platforms are strategically based in the Territory. Recent
announcements by Prime Minister Julia Gillard and US President Barrack Obama, regarding
an increased US presence in Australia for training, suggest there are exciting opportunities
ahead for industry.
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Territory Quarterly, International Edition
The increased US presence will involve an initial deployment of 250 Marines and will increase to
2500 over the coming years. Marines will exercise and train on a rotational basis with members of
the Australian Defence Force. Selected equipment and supplies will be pre-positioned in the
Territory to facilitate exercises and training.
It is estimated that 11 per cent of Australia’s total permanent ADF personnel are based in the
Territory. The defence population including dependents has risen from 6200 in June 1992 to an
estimated 15,034 in June 2010. The defence community makes up approximately 6.5 per cent of
the total Territory population. Defence expenditure in the Territory is estimated to be $1.3 billion.
Headquarters Northern Command (NORCOM), based at Larrakeyah Barracks in Darwin,
commands and synchronises ADF and whole of government operations in northern Australia,
along with border protection operations along Australia’s northern maritime approaches.
The Army has concentrated the majority of its armoured fighting vehicles at Robertson Barracks,
including ASLAV light armoured vehicles, the M113 armoured personnel carrier, the Bushmaster
armoured personnel carrier, and 70 per cent of the Army’s Abrams main battle tanks. These are
complemented by a wide variety of field vehicles, trailers and artillery. The Army has also based 77
per cent of its fleet of Tiger armed reconnaissance helicopters at Robertson Barracks. The Abrams
and Tigers bring with them major new infrastructure, including simulators.
The primary Royal Australian Navy (RAN) presence in the Territory is the Armidale Class patrol
boat fleet, headquartered at HMAS Coonawarra in Darwin. A total of 70 per cent of Australia’s
Armidale patrol boats call Darwin their home port and significant infrastructure development to
provide accommodation for the fleet was completed in March 2010.
The main presence of the Royal Australian Air Force (RAAF) is at RAAF Base Tindal near
Katherine, 300km south of Darwin. The RAAF operates F/A18 Hornet fighter planes, which will
eventually be replaced by the F35 Joint Strike Fighter.
RAAF Base Darwin is home to No. 396 Combat Support Wing, which provides the Air Force and
Combat Support Group with a diverse range of combat support and fixed base services including
ongoing support to the bare bases in northern Australia.
RAAF operates the Delamere Air Weapons Range close to its Tindal airbase. The Delamere Air
Weapons Range is used for RAAF and an increasing number of international defence force
operational training exercises. The range has been upgraded to provide a high level of automated
instrumentation and forms part of the Australian United States Joint Combined Training Capability
(JCTC) initiative. The JCTC also incorporates the Army’s Mount Bundy Training Range and the
Bradshaw Field Training Area (BFTA) at Timber Creek. BFTA allows operations for up to 7000
troops, making it one of the largest field training areas in the Pacific region.
The Australia–US Joint Defence Facility Pine Gap near Alice Springs is a major element of
international global ballistic missile early warning and intelligence monitoring systems.
Major defence operations are a regular feature of the defence presence within the Territory. These
operations provide a significant boost to the local economy through supply and support contracts
and increased visitor numbers. Multinational exercise Pitch Black and naval exercises such as
Kakadu and Singaroo are held regularly. Pitch Black is the major air exercise conducted in
Australia and includes participation by the air forces of France, Singapore, Thailand, the United
Kingdom and the United States.
Industry in the NT has long supported the defence and oil and gas sectors. Industry consists of
small and medium enterprises, few of which are solely dependent on defence as their prime source
of income. Industry is currently engaged in defence activities including logistics support; armoured
vehicle maintenance; field vehicle and trailer maintenance; electronics design and systems
development; communications system support; radar systems operations; signals monitoring;
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Territory Quarterly, International Edition
provision of aircraft for towing and logistics; ship maintenance, repair and modification; underwater
training systems and construction services.
The ADF needs local industry to increase its capacity to support its sophisticated military vehicles
and systems. Small businesses have been advised to form clusters to strengthen their expertise
and capacity to embark on joint venture engagements with prime contractors holding maintenance
contracts.
To support the increasing number of opportunities and attract high value clients, the Northern
Territory Government has developed the Defence Support Hub, which is a 53 hectare industrial
park close to Robertson Barracks.
The Defence Support Hub will enable prime contractors and SMEs that deliver valuable support to
defence, in particular the Army, to establish strategic clusters close to their client. The location of
the Defence Support Hub not only provides easy access to Robertson Barracks but is also situated
within minutes of East Arm Port, the City of Palmerston, Darwin International Airport and the
Berrimah Railway Freight Terminal.
The Northern Territory Government developed a Defence Support Industry Strategy, the aim of
which is to develop a strong, sustainable and growing defence support industry with capability
aligned to the needs of defence.
Charles Darwin University Welcomes International Students
Charles Darwin University (CDU) is a research intensive, comprehensive university located
in Darwin, the most northerly capital city in Australia. It is an outward looking, progressive
university with well established teaching and research partnerships with universities in
China, India, Indonesia, Malaysia, Philippines, Vietnam and Timor-Leste, USA and Europe.
CDU is ranked 306 in the world and number 13 in Australia (Times Higher Education, 2011). CDU
is one of seven members of the prestigious Australian Innovative Research Universities (IRU)
network.
CDU is the only university in the Northern Territory, a vast region in northern Australia that makes
up 17 per cent of the Australian landmass. Located just 12 degrees south of the equator, Darwin is
a vibrant modern multicultural city with direct flights to many Asian cites. The city has vibrant
cultural groups that routinely engage with CDU’s international students.
Darwin is the hub of business, industry, education and culture in Australia’s north; major industries
are mining, oil and gas, agriculture, tourism and defence. Darwin plays a central role in Australia’s
future economic growth and in the ongoing expansion of the entire Australian Asian region.
As a dual-sector public university, CDU teaches Higher Education and Vocational Education and
Training (VET) courses to 22,000 students. The university employs 700 highly qualified academic
staff, almost 40 per cent of whom hold PhDs. Its teaching facilities and resources, laboratories and
are well equipped with modern technologies expected of a 21st century university. There are nine
campuses; the main campus at Casuarina is set in 56ha of parkland close to the tidal beaches in
Darwin’s northern suburbs.
CDU is renowned for its research expertise and leadership in tropical and desert knowledge of the
Australian and Asia-Pacific regions. Annual research income is AUD$26 million. Research is
interdisciplinary and applied in environment, health, education, engineering, information
technology, renewable energy, social and economic policy and indigenous knowledge through
CDU’s major research institutes.
More than 750 international students from 60 countries study at CDU, making it one of the most
culturally diverse universities in Australia.
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Territory Quarterly, International Edition
The university offers more than 80 nationally recognised and accredited programs for international
students. Several masters and bachelor programs have industry internships that give students the
experience to develop work ready skills in their professions, working with local employers.
The university’s Navitas English Darwin teaches English general and academic courses to prepare
students for admission to degree programs, and the Essington International Senior College
teaches Year 11 and Year 12 on campus, with pathways into CDU degrees.
The university’s low student to staff ratio provides a personalised and supportive teaching and
learning environment. International students adjust more quickly to studying in a foreign country
because the number of students in their classes is much fewer than in other universities in
Australian capital cities. It is easy to approach their teachers and get the support they need to be
successful.
Well paid part-time jobs are easy to find in the retail and hospitality sectors. International students
are permitted to work 40 hours per fortnight during semester and full-time during university
vacations.
A safe environment and social activities help international students develop friendships in the wider
university community. The university offers high quality on-campus accommodation for about 300
students with free internet access, and resident tutors. Further, students are eligible for free bus
transport in the Northern Territory.
In the 2011 global International Student Barometer survey, the university’s international students
ranked CDU third in Australia for living experience, first for arrival experience, sixth for learning
experience and fourth for support.
CDU graduates have the best career and employment prospects. Some choose to return home,
confident that their CDU degree has prepared them for their future careers. Some choose to
pursue their careers in the Northern Territory. They can take advantage of the unique relationship
between CDU and the NT Government to develop their careers in the Northern Territory with the
NT Government sponsorship.
The Northern Territory has one of the lowest unemployment rates in Australia and is one of the
nation’s fastest growing economies due to its rich mineral resources, tourism, agriculture and
pastoralism. There is a constant high demand for skilled and qualified workers in business,
engineering, IT, tourism and hospitality, health, education, communications and the public services
sector.
Graduates with good English language skills quickly find employment in their area of professional
training.
Contact details:
Charles Darwin University
Darwin, NT 0909
Telephone: +61 8 8946 7215
Facsimile: +61 8 8946 6644
Email: international@cdu.edu.au
Web: www.cdu.edu.au/international
CRICOS Provider No. 00300K (NT)
CRICOS Provider No. 03286A (NSW)
“The university’s low student to staff ratio provides a personalised and supportive teaching
and learning environment.”
“A safe environment and social activities help international students develop friendships in
the wider university community.”
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Territory Quarterly, International Edition
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Indigenous Arts Alive in the Territory
In August, at the end of the Northern Territory’s dry season when cool, cloudless evenings
create a galaxy-filled night sky, Darwin celebrates Indigenous art. Every year at this time the
Museum and Art Gallery of the Northern Territory presents the Aboriginal and Torres Strait
Islander Art Award, the nation’s premier recognition of Indigenous artistic excellence. To
take part in the celebration, and to see the winners of the $56,000 in prize money on offer
from sponsor Telstra, artists, commercial dealers, private collectors, and art centre
operators travel to the Territory capital from across Australia. It’s an opportunity to see the
best in Aboriginal art, the new and emerging talents, spot the new trends, and to catch up
with old friends.
More than 2500 people will crowd into the museum grounds to hear Indigenous bands from
Arnhem Land perform in an event that is the longest-running art award dedicated to the work of
Aboriginal and Torres Strait Islander artists. Sales of the paintings, sculpture, bark paintings and
new media on show will total over a million dollars. Make no mistake: Aboriginal art is big business
in the Northern Territory. It is an industry worth $100 million with over 5000 Indigenous
participants. Furthermore, there are important spin-off benefits, with Tourism NT research showing
that Indigenous art and culture is a major tourism drawcard.
The ‘Telstra Award’ is not, however, the only Territory Indigenous art event. A record 32
Indigenous owned art centres from Arnhem Land, the Kimberley region, central Australia, the
Torres Strait Islands and as far away as Victoria presented work at the Darwin Aboriginal Art Fair.
In Alice Springs the annual Desert Mob Exhibition breaks new attendance records every year,
confirming the Territory’s position as the unsurpassed centre for Indigenous art and culture.
The news is also spreading abroad. There are regular exhibitions of Australian Indigenous art, as
well as sales of Indigenous music in Europe. The USA is an emerging international market. Quality
Australian international touring exhibitions such as the Papunya Tula Artists, ‘We Are Here Sharing
Our Dreaming’ in New York’s Greenwich Village, and The National Indigenous Art Triennial:
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Territory Quarterly, International Edition
Culture Warriors Washington DC Exhibition succeeded in expanding the market for Aboriginal art.
Jean Baptiste Apuatimi’s first solo international exhibition in London provided stepping stones into
international markets with the British Museum purchasing works.
The world over, Australian Aboriginal art is no longer seen as a traditional art form but is
increasingly seen as contemporary fine art. Though its true significance is only known to
Indigenous people, urban buyers and collectors respond to its enigmatic quality and its striking
flair.
Where does it come from? The Northern Territory is the centre for Indigenous art in Australia, and
remote communities from the tropical top of the country to the arid centre are the dispersed
capitals of the art form. Most Indigenous Territorians reside in rural and remote regions distant
from mainstream economic activity. An estimated 70 per cent of Indigenous Territorians live on
their traditional land which provides the inspiration for their art. Their strong bond with the land of
their ancestors is the driving force behind most Indigenous art.
The success of Indigenous art has been mainly concentrated in the visual arts where there has
been rapid growth over the last 30 years. In the Top End of the Territory, where rock art has been
a cultural fixture for millennia, artists began painting using brushes and paints fashioned from
natural materials on bark stripped from local trees. In central Australia, painters were introduced to
acrylics and canvas. When provided with materials, the desert artists used an iconography derived
from ages-old traditional body painting. The intricate dotted designs were regarded as largely
ethnographic tribal curios.
But the idea of seeing the works as distinctly Indigenous art began to change. Now, at the
beginning of the 21st century, this art has evolved to a point where it is nationally and
internationally recognised as an exceptional fine art movement. Arguably, this rapid transformation
of ethnographic to fine art and the Indigenous visual arts penetration of global fine arts markets is
unprecedented anywhere.
What is more, the movement is not static. It is vibrant and expanding, with new arts communities
emerging with innovative contemporary styles. Many communities have built strong international
reputations from art originating in remote local art centres. Often the art from regional communities
features strong, distinctive styles, such as the intricate dot paintings of the Papunya Tula artists, or
the X-ray art of western Arnhem Land. The art centres provide artists with materials and work
space, plus marketing and distribution facilities. Most take orders from buyers worldwide on their
internet sites.
The growth of Indigenous art is not confined to painting or other visual arts. Indigenous music
rising from the towns and communities of the Northern Territory is also growing in popularity
nationally and internationally. Musical groups originating in the communities deal with subjects
close to their hearts: songs about Indigenous land rights, ceremonies and cultural imperatives.
The first group to make its mark nationally to enjoy popular success was the Yothu Yindi group
from east Arnhem Land, followed by the soaring voice of Geoffrey Gurrumul Yunupingu. Both write
and perform music that is derived from their mysterious, deeply ingrained culture. Yunupingu’s
music, along with other Territory groups are now marketed across Europe and the USA, alongside
the fine art produced in the Northern Territory by the first Australians.
“Their strong bond with the land of their ancestors is the driving force behind most
Indigenous art.”
The Northern Territory – Asia’s Front Door
It was a whirlwind trip where a host of regional issues were discussed in a very short time.
New to the Business, Asian Relations and Trade portfolios, the Territory Minister flew north
to meet her Philippine and Indonesian counterparts and make a keynote address at an
economic forum. While visiting Manila and Jakarta, she canvassed regional issues such as
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Territory Quarterly, International Edition
the skilled worker shortage, the live cattle trade and the growth of the regional mining
industry.
Such trips are business as usual for 21st century Territory politicians. Regardless of which party
holds government, they realise early on that their neighbours to the north are just as important to
the Northern Territory’s economic future as their capital city clients to the south. Developing those
trade ties has been an ongoing effort that has led to ever-increasing sales of bulk minerals, LNG,
live cattle, mining supplies and services to Asian buyers.
One glance at a map shows why Asia is so important to the Territory, both economically and
culturally. Many major south Asian capitals are closer to Darwin than are the Australian capitals of
Sydney or Canberra. Jakarta, Manila and Singapore are closer by air than Sydney, with the
Balinese capital of Denpasar just over two hours flight from Darwin. It is no wonder that so many
Asian people from around the region have settled in the Northern Territory capital, creating the
multicultural population mix that continues to define Darwin.
Territorians have been engaging with Asia long before Europeans arrived. Hailing from the island
of Sulawesi in the Indonesian archipelago, Makassan sailors caught the monsoon winds that drove
them south to the wild Territory coastline. They began making regular annual visits in the early
18th Century when a market for trepang (sea cucumber) opened in China.
Not long after Europeans arrived, gold was discovered by workers digging post holes for the
Overland Tegraph line, and would-be miners spread into the country around Pine Creek. Brought
in to work the mines in 1874, a small boat load of indentured Chinese labourers landed in Darwin.
By 1888 there were 8000 Chinese in the region, outnumbering Europeans six to one. Above all,
the Chinese started dynasties which, five and six generations later, are still prominent in the Top
End. In 2012 the daughter of a former Chinese-Australian Darwin Lord Mayor was the second
Fong Lim to be elected to that post.
Walk through one of Darwin’s many open-air markets and take notice of those you pass. Many are
the great grandsons and daughters of the Chinese immigrants who pioneered the Territory’s
mining industry. They could be the latest generation of Malays or Filipinos who today captain the
Territory’s Aussie Rules footy teams, or perhaps the sons and daughters of Vietnamese and
Timorese refugees who often top the Territory’s school examination lists.
Trade between Asia and the Territory has been going on in earnest for over a century. In 1884
pastoralists Fisher and Lyons sent a trial shipment of mixed cattle to the ‘wet markets’ of Hong
Kong, Batavia and Singapore, aboard the steamship Catterthun. Cattle prospered on the native
grasses of sprawling Territory properties, and over the years live cattle markets were established in
the Philippines, East Malaysia, Brunei (for buffalo as well) and most importantly in Indonesia.
Today live cattle exports remains one of the Territory’s most valuable rural industries, with
Indonesia remaining the premier customer and Vietnam an emerging market.
A much more recent industry was initiated after major discoveries of natural gas and petroleum
were made off the Territory coast in the Timor Sea. In 2004, ConocoPhillips built the Darwin LNG
plant for the manufacture of liquified natural gas for export to Japan, with the gas supplied from
their Bayu-Undan field 500km north of Darwin. Then in 2012 Japanese gas and oil producer
INPEX made its final investment decision to build a LNG plant in Darwin Harbour, with the gas
piped nearly 900km from their offshore field in the Browse Basin.
With the ConocoPhillips project already supplying Japan’s energy needs, and with INPEX to begin
exports to Japan in 2016, Darwin is fast becoming a hub for LNG production in the region. A
number of other offshore projects are also set come into production, with the gas produced
offshore in floating LNG facilities. Many of these projects will be supplied from Darwin’s emerging
service industry, located near the Wharf at the East Arm Logistics Precinct and Darwin’s new
Marine Supply Base.
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Territory Quarterly, International Edition
18th century China was the market for the Territory’s first export: trepang, and today the economic
powerhouse is the key market for Territory minerals. As Chinese manufacturing continues to grow
with a force envied by other world economies, fuelling that growth are exports of Australian
minerals: manganese and iron ore is mined in the Territory and transported to the port of Darwin by
rail. Uranium is exported with many new mines planned. Chinese companies are taking advantage
of Territory Government exploration initiatives by participating in joint ventures with Australian
explorers. Much of the Territory landmass remains unexplored and potentially rich in
mineralisation, offering golden exploration opportunities.
The engagement continues. The Northern Territory Government’s aggressive promotion of Darwin
has seen it lead numerous trade missions to Asia and delegations to mining conferences around
Australia. Territory business people participating in the missions like Offshore South-East Asia in
Singapore, Oz Mine in Jakarta and the Balikpapan Expo meet mining procurement officials looking
for faster, better supply services for their operations.
The Territory Government also sponsors its own industry conferences, attracting mining
representatives from around the region to Darwin’s Mining Procurement Forum or offshore gas and
oil officials to the annual South-East Asia Australia Offshore Conference (SEAAOC).
Complementing these activities is the Indonesian Customs Pre-Inspection Facility in Darwin. The
facility is a joint initiative of the Northern Territory and Indonesian governments, providing a free
service to exporters, streamlining the clearance of cargo once it arrives in eastern Indonesia.
While ministerial visits from the Territory to Asian capitals have been ongoing, it is perhaps a
barometer of Darwin’s growing significance in the region that has seen world leaders recently
visiting the Territory capital. Newspapers around the world ran the photos of US President Obama
addressing Australian troops in Darwin in 2012, before announcing the addition of US Marines to
training facilities in the Territory. That visit came after a visit by China’s Vice President, Xi Jinping,
who is set to become that country’s next president.
The Northern Territory is Australia’s Asian Front Door—not only in the sense of its location on the
regional map, but in its commercial and cultural identity. The Territory’s future is intertwined with
that of its northern neighbours, all anticipating the opportunities forecast in the Asian Century.
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Renewable Energy Territory
The Northern Territory Government’s Climate Change Policy includes goals to reduce NT
carbon emissions by 60 per cent by 2050. Wholesale electricity producers in the Territory
are to meet the national 20 per cent Renewable Energy Target from Territory sources by
2020. The ambitious Climate Change strategy features 40 targets including a commitment to
progressively displace expensive diesel-powered electricity generation in remote
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Territory Quarterly, International Edition
communities and replace it with renewable and low emissions energy—a combination of
solar power, tidal power generation, wind turbine generation and geothermal energy.
The government also established a Green Energy Taskforce to “provide expert advice on
strategies, incentives and pathways to encourage the growth and funding of renewable and low
emissions energy industry in the Territory”. That 13 member taskforce reported that, because the
Territory lacks sufficient wind to erect turbines on any commercial scale, the most practical way of
meeting its 2020 energy goal in the short term is to acquire renewable energy that was generated
by wind turbines in southern Australia in the form of renewable energy certificates. That purchase
will displace a megawatt hour from a coal fired plant with about double the emissions reduction that
will occur with clean natural gas fired generation in the NT.
But, can the Territory meet the 20 per cent renewable energy target by 2020 and replace diesel
use on remote communities?
Power to Territory cities and major towns is currently generated by natural gas, which is relatively
carbon friendly and provides a reliable fuel for use by electricity provider, the Power and Water
Corporation. By comparison, the multimillion dollar one megawatt solar power station built outside
Alice Springs can only hope to provide electricity to 300 homes over a year. Like most solar
systems, the upfront infrastructure costs are expensive but ongoing costs are negligible.
The providers know the price of solar- produced power is dropping because they are purchasing it
from their new solar plant. The Uterne set-up is currently the largest tracking solar power plant in
the southern hemisphere. The name Uterne is derived from an Indigenous term meaning ‘bright,
sunny day’, and Alice Springs certainly sees plenty of those averaging 9.6 hours of sunshine per
day and just 63 cloudy days per year.
The Uterne set-up consists of more than 3000 high-efficiency SunPower mono-crystalline panels
or flat plate solar panels, driven by the company’s single axis T20 tracker system. With the single
axis T20 Tracker system, the solar panels are positioned to follow the sun during the day,
increasing daily energy production by up to an additional 30 per cent over conventional fixed-tilt
installations.
Two years ago Alice Springs was named one of the country’s seven Solar Cities by the Australian
Government. It is a town that boasts about 300 sunny days every year. The town was charged with
the task of not only increasing the use of solar generated power but also changing the way people
think about and use energy in both homes and businesses. In an effort to make Alice Springs a
national and international showcase for solar power, a set of iconic projects was initiated including
the one megawatt solar power station and the Alice Solar City flagship, the 300 kilowatt
photovoltaic (PV) system installed on the roof of the town’s Crowne Plaza Hotel.
The Crowne Plaza installation was completed at a capital cost of $3 million. The sprawling system
is one of the largest rooftop- mounted set of solar arrays in the Southern Hemisphere, powering
between 40 and 80 per cent of the hotel’s needs, depending on the season. But the hotel’s
spectacular infrastructure set-up is matched by its installation of other energy saving products.
More than 3000 energy-efficient lightbulbs have been fitted to rooms, and the hotel’s energy
management system saves energy by automatically turning off the air-conditioning when it senses
a room is vacant.
The Alice Solar City project, which runs until 2013, has been embraced by the community with
nearly 2000 households and 100 businesses registered in the program and over 1600 receiving
energy surveys to date. The project has subsidised the installation in nearly 300 homes of PV
systems that produce about half of their yearly power requirements.
Out bush, ten major remote communities will have some of their power generated by solar panels,
drastically reducing their requirements for diesel to be imported at enormous cost. Just last year
the communities of Alpurrurulam (also known as Lake Nash), Ti Tree and Kalkarindji had solar
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Territory Quarterly, International Edition
power stations installed with commissioning scheduled for mid 2012. Wind turbines will also be
trialled at Alpurrurulam. These three communities have a total of one million watts of solar panels
installed, which will deliver up to 80 per cent of the electricity that residents use during the day. In
smaller bush communities and outstations Bushlight supplies solar power plants that can power
100 per cent of small community needs. More than 71 are already enjoying clean power.
Since 2003 a total of 30 futuristic-looking concentrated PV tracking dishes have been installed in
the large communities of Hermannsburg, Lajamanu and Yuendumu. The Power and Water
Corporation purchased those power stations, which provide up to 60 per cent of those
communities’ electrical needs.
But solar power is just one form of renewable energy among others with promising emerging
technology. Of growing interest is geothermal and tidal power. Tenax Energy, a tidal power
producer, believes the strong tides in the Clarence Strait, just north of Darwin, make it the best tidal
energy site in Australia. They believe the strait has sufficient tidal current to generate a commercial
quantity of electricity and has sufficient depth to put a set of turbines in to allow shipping and other
activities to continue in the area without disruption.
Exploration for ‘hot rocks’ kilometres below the surface will begin soon in the Territory, one of the
country’s most highly prospective areas for geothermal energy. On the first day that exploration
tenements were advertised, 17 companies made applications for geothermal exploration permits.
Geothermal energy is essentially the use of hot water to provide power. It works by pumping water
deep underground into naturally occurring hot rocks, and bringing the heated water back to the
surface to generate power. There are two types of geothermal energy available for Territory
exploration and development. The first, called hot dry rock (HDR) geothermal, sees explorers
drilling down between 3km and 5km to identify granite rocks heated to about 290 degrees Celcius.
The hole is drilled using specialised equipment at a minimum cost of $10 million.
While the Territory Government has received applications for hot rocks tenements, it has reserved
an area between the Daly River and Mataranka for release at a later date. It is a region known for
shallow heat in the Douglas and Mataranka Hot Springs, with the possibility of even greater heat in
between. The area will probably attract companies looking for shallower, more cost-effective geosedimentary projects. It is also an area that could produce power to add to the Darwin- Katherine
grid, providing the Territory with a reliable, economic source of emission-free renewable energy.
“The sprawling system is one of the largest rooftop-mounted set of solar arrays in the
southern hemisphere, powering between 40 and 80 per cent of the hotel’s needs, depending
on the season.”
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Australia’s Northern Territory... it’s closer than you think.
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Darwin... the gateway to Asia
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