New Fuel Storage Facility a Step Closer

Airport Development Group (ADG) has confirmed they are a step closer to commencing construction of a new 80 megalitre diesel storage facility and fuel pipeline to be built at Darwin’s East Arm, adjacent to the existing Vopak and Crowley facilities. The East Arm location will provide direct shipping and truck access.

The proposed $60m facility, is to be jointly funded by ADG and the Australian Government, with terms and the Grant Agreement confirmed and executed. The project received $30 million funding under the Australian Government’s Boosting Australia’s Diesel Storage Program.

Construction is scheduled to commence in 2023.

Ross Baynes, ADG’s Executive General Manager Property & Terminal said the facility will provide both additional energy security for the top end of Australia as well as provide a catalyst for Territorians to access lower fuel prices.

“This storage facility will ensure consistent supply, increased storage levels and competitive pricing for local industry and residents,” he said.

“The development of key industries in the Northern Territory, such as tourism, defence, aviation and mining, rely on a consistent supply of fuel and this new facility will provide that.”

The new fuel facility will significantly increase commercial storage capabilities and opportunities in Darwin.

Mr Baynes said the facility presented many benefits for customers, including “a more competitive environment and secure access to this critical resource.”

ADG is also advancing an underground pipeline to connect the fuel storage facility to Darwin Airport, that would see improvements in aircraft refuelling practices, for both commercial and defence aircraft.

With environmental considerations a key focus for ADG, building a facility that offers flexibility in fuel storage, including the potential use of biofuels, which could see the life of the facility extended and support the organisation in meeting its net zero emissions by 2030 target. In turn this would assist airlines and industry in meeting their own ambitious emissions reduction targets.

The facility is estimated to generate more than 100 jobs during the construction phase alone.

Mr Baynes concluded “ADG has immense confidence in the long-term future of the Northern Territory, and we will continue to invest in major projects that diversify our business and provide benefits to the local economy and our community,”

Contact:

Jane de Gault | Head of Corporate Communications and Brand | Airport Development Group

T: 08 8920 1814 | M: 0402 088 141 | E: jane.degault@adgnt.com.au