Ship Lift Construction Tender Awarded

16 July 2022

The Territory Labor Government will build a ship lift in Northern Territory, paving the way for hundreds of jobs and positioning Darwin as a major international and national player in the marine services industry.

Today, the Territory Government has announced Clough-BMD Joint Venture is the preferred contractor to deliver the design and construction services for the project.

The Northern Territory Government has budgeted $515 million to deliver this project which includes the construction costs as well as other ancillary works being undertaken by the Northern Territory Government.

The selection of Clough-BMD Joint Venture follows a three-stage procurement process which spanned two years.

The ship lift at East Arm will bring millions into the NT economy every year. It will employ 250 people at the peak of construction, and will generate and maintain hundreds of local jobs in the maritime support sector. The ship lift is also key enabling infrastructure for the future marine industry park.

Capable of servicing large vessels of up to 5000 tonnes, the ship lift will be used for multiple industries including offshore petroleum, fishing, pearling, Defence and Border Force.

This project will deliver:

-        A Ship Lift 26m wide, 103m long and 6m deep, with a lifting capability of 5,000 tonnes

-        Wet berths, which are like wharves that allow vessels to undertake in-water maintenance.

-        Hard stand areas for ship repair and maintenance works

-        A blast and paint building which allows vessels to be sand blasted and repainted in a controlled environment

-        Self-propelled Modular Transporter units that transport the ships around the facility once they are out of the water

-        An administration building

-        East Arm utilities upgrades to support the ship lift and broader marine industry park development

It is anticipated that vessels will be able to be lifted by the end 2024.

The facility will feature two separate areas, one of which will be privately operated and the other will be designated as a common user facility, which will enable vessel owners to choose and manage their own service and maintenance providers on the site. 

The ship lift funding includes a $300 million concessional loan from the Northern Australian Infrastructure Facility (NAIF). The remainder of funding will be contributed by the Northern Territory Government.

The Northern Territory Government is also committing $15 million towards upgrading utilities into East Arm to service the ship lift as well as the future development of the marine industry park.

Quotes from Chief Minister Natasha Fyles:

"There will be a ship lift built in the Northern Territory. Today’s announcement is symbolic and historic and will deliver hundreds of jobs for Territorians.

“This is a major national infrastructure project. Positioning the Territory’s marine industry on the national and international stage, and it further cements the Territory’s central role in the Indo-Pacific.

“250 local jobs will be supported throughout the build of the project, and we should start seeing the facility being utilised from late 2024.

“As a key piece of enabling infrastructure, the ship lift will establish Darwin as a key maritime maintenance hub and create the opportunity to grow a thriving marine service and supply sector in Darwin to create jobs and grow businesses and is key to establishing a marine services precinct at East Arm.”

Quotes from the Minister for Territory Development Eva Lawler:

“Infrastructure investment is key to growing our economy and population, infrastructure investment is crucial to winning private sector investment, while balancing the social needs of our growing Territory population.

“The preferred contractor, Clough-BMD Joint Venture, has demonstrated experience in delivering significant projects in the Territory and we will negotiate with them over the coming weeks to finalise the design and construct contract. The Territory Government thanks Territoria Civil for their participation in the previous Expression of Interest, Request For Proposals and Design Development stages of the project.

“The facility will be fit for purpose to service vessels from Defence, Border Force, offshore petroleum, pearling, fishing and tourism sectors, as well as other maritime industries.”

Northern Territory Government