The Northern Territory Government has signed Project Facilitation Agreements (PFA) for two mining projects, set to bring more than 2000 jobs to the territory.
The territory government signed a PFA with Australian metals company TNG for the location to develop the TIVAN metals refinery as part of its Mount Peake vanadium-titanium-iron project.
The high technology refinery will produce high purity products from the Mount Peake vanadium-titanium-iron deposit, located 235km north west of Alice Springs.
The development of the mine and its associated refinery is expected to provide more than 1700 construction jobs and 600 ongoing jobs.
Chief minister Michael Gunner, who conducted the signing, said the PFA was a major step in providing ongoing work for hundreds of people in Central Australia and Darwin.
“This is a $850 million project with potential for 500 jobs during construction and more than 200 jobs during operation of the mine, plus more than 1200 jobs during construction and 400 jobs during operation of the refinery,” he said.
Mount Peake’s is expected to produce 17,560 tonnes of vanadium pentoxide, 236,000 tonnes of titanium dioxide (pigment) and 637,000 tonnes of iron ore for export annually.
The PFA signing comes after Mount Peak received a Major Project Status and TNG managing director Paul Burton said it was another milestone as toward its development.
“This agreement is a further indication of the proactive and positive approach which the Northern Territory Government is adopting to help facilitate the development of this major new Australian resource project,” he said.
“The TIVAN refinery is a value-added downstream process which we expect will bring significant economic benefits to Darwin and the Northern Territory and help to enhance the region’s position as the development hub for Northern Australia.”
TNG is conducting an Environmental Impact Study for the refinery this year.
The NT Government also granted Verdant Minerals a Major Project Status and a PFA for its Ammaroo phosphate project.
The $750 million project, approximately 180km south east of Tennant Creek, is set to provide nearly 500 jobs during construction and operation.
Gunner said once approved, Verdant could begin construction by the second half of 2018 and become fully operational by late 2019.
Verdant Minerals managing director Chris Tziolis said the project will benefit the region and the NT during construction and production over the coming years.
“The development of Ammaroo and other fertiliser mineral projects in the Territory could in time enable the value adding to the minerals to produce finished fertiliser products to service demand in both Asia and Australia, which now imports most of its fertiliser needs,” he said.
“We look forward to working closely with the relevant NT Government agencies to deliver the project as a starting point to the development of what could be a significant long term industry for the Northern Territory.”
Under the PFA, Verdant and the NT Government will collaborate to progress the project through the its approvals process, with an Environmental Impact Statement due later this year.