NAIF Investment Decision Notifications

NAIF Investment Decision Notifications

Onslow Marine Support Base, Western Australia

On 29 September 2017 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to  the Onslow Marine Support Base in  Western Australia. It will provide supply and support services for onshore and offshore businesses such as logistics, fuel suppliers, waste management, and construction and maintenance companies in the Carnarvon Basin.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Onslow Marine Support Base Pty Ltd

Goods/services involved: Development of a marine supply facility including wharf and harbour expansion

Location: Beadon Creek Onslow, Western Australia

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $16.8m

All conditions precedents were met on 7 June 2018 with initial drawdown of funds being made 7 days later on 14 June 2018.

Humpty Doo Barramundi Pty Ltd, Northern Territory

On 3 May 2018 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to the Humpty Doo Barramundi Pty Ltd stage one expansion of its barramundi farm in the Northern Territory. The first stage of the expansion being financed by NAIF includes a solar farm, medium fish nursery and processing equipment.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Humpty Doo Barramundi Pty Ltd

Goods/services involved:  Development of a solar farm,  a medium fish nursery, processing equipment and adult fish feeding systems.

Location: Humpty Doo, Northern Territory

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $7.18m

Voyages Indigenous Tourism Australia Pty Ltd, Northern Territory

On 14 May 2018 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to Voyages Indigenous Tourism Australia Limited, for the purposes of funding the upgrading of the Connellan Airport and required contractor accommodation, in Yulara, Northern Territory.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Voyages Indigenous Tourism Australia Pty Ltd

Goods/services involved: Airport runway, taxiway and apron upgrade, runway lighting and provision of contractor accommodation

Location: Yulara, Northern Territory

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $27.5m

James Cook University, Queensland

On 15 June 2018 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to James Cook University for the purposes of funding of the Technology Innovation Complex, as part of a larger Enterprise Bundle which has a total project value of $174 million.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: James Cook University

Goods/services involved:  Building of a Technology Innovation Complex, a 10,000m2 centre for students, industry partners and researchers.

Location: James Cook University Townsville Campus, Townsville, Queensland

Type of Financing Mechanism: loan

Amount of Financing Mechanism:  up to $98.0m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Queensland Government’s consideration and agreement for the approved funds to be advanced.

Pippingarra Road Upgrade, Western Australia

On 2 August 2018 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to Pilbara Minerals Limited for the purposes of upgrading the Pippingarra Road, a public road located south of Port Hedland, Western Australia, which would be heavily used by Pilbara Minerals Limited, resource businesses and nearby pastoral stations whilst remaining available for public use.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Pilbara Minerals Limited

Goods/services involved:  Upgrading the public Pippingarra Road

Location: Pippingarra Road, running south from an intersection with the Great Northern Highway to the east of Port Hedland, Western Australia

Type of Financing Mechanism: loan

Amount of Financing Mechanism:  up to $19.5m

Sheffield Resources Limited Thunderbird Minerals Sands Project, Western Australia

On 28 August 2018 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to the Thunderbird Mineral Sands Project, a mineral sands operation in the west Kimberley region of Western Australia, which is being developed by Sheffield Resources Limited.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Sheffield Resources Limited

Goods/services involved:  Construction of infrastructure including LNG power station and reticulation, site accommodation village and processing facility and also upgrading of existing local road and port infrastructure all to support the Thunderbird Mineral Sands Project.

Location: West Kimberley, between Derby and Broome, Western Australia

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $95m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Western Australian Government’s consideration and agreement for the approved funds to be advanced.

Northern Territory Airports Pty Ltd, Northern Territory

On 7 January 2019 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to Northern Territory Airports Pty Ltd for the purposes of a range of investments at Darwin, Alice Springs and Tennant Creek Airports (‘Project’), as part of a $300m infrastructure expansion package, located in the Northern Territory.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Northern Territory Airports Pty Ltd

Goods/services involved: A range of investments as part of an infrastructure expansion package across airport sites in Darwin, Tennant Creek and Alice Springs including:

  • the construction of a freight and cold storage and an export hub at Darwin International Airport;
  • solar energy farms at Darwin, Tennant Creek and Alice Springs along with an off-site multi-user battery; and
  • upgrades to Alice Springs Airport including the resurfacing of the airport’s runway, taxiways and apron and installation of new runway lighting.

Location: Darwin, Alice Springs and Tennant Creek, Northern Territory.

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $150m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Northern Territory Government’s consideration and agreement for the approved funds to be advanced.

Queensland Airports Limited, Queensland

On 7 January 2019 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to the redevelopment of the Townsville Airport Passenger Terminal, known as Project Alive.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Queensland Airports Limited

Goods/services involved: Redevelopment and expansion of the Townsville Airport Passenger Terminal including substantial refurbishment of the terminal (such as doubling the capacity of the departure lounge, new boarding gates, expanded security areas and the installation of self-check in and bag-drop facilities), better road access and an upgrade to core infrastructure.

Location: Townsville, Queensland

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $50m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Queensland Government’s consideration and agreement for the approved funds to be advanced.

Kalium Lakes Limited, Western Australia

On 15 February 2019 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to the Beyondie Sulphate of Potash Project, a major potash mining operation located southeast of Newman, Western Australia that is being developed by Kalium Lakes Limited.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Kalium Lakes Limited

Goods/services involved: Development of the Beyondie Sulphate of Potash Project involving sulphate of potash (SOP), with initial production of 90ktpa SOP plus supporting infrastructure comprising a 78 kilometre gas pipeline, a gas-fired power station, access road, communication facilities, an airstrip and an accommodation village

Location: southeast of Newman, within the Shires of Wiluna and Meekatharra of Western Australia

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $74m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Western Australian Government’s consideration and agreement for the approved funds to be advanced.

On 7 May 2020 the NAIF Board made an Investment Decision to offer an additional Financing Mechanism of up to $10.5 million to support the Beyondie Sulphate of Potash Project to meet additional forecast construction costs and contingencies for the Project.

For the purpose of Section 17(2) of the Investment Mandate details of that additional decision are as set out above for the original Kalium Lakes decision, except as follows:

Amount of Financing Mechanism: up to $10.5m

Following a subsequent successful equity raising by Kalium Lakes Limited, the additional loan facility will not be required by the company.

Alinta Energy Pty Ltd, Western Australia

On 15 February 2019 the NAIF Board made an Investment Decision to offer a Financing Mechanism, to Alinta Energy Pty Ltd, in relation to the Chichester Solar Gas Hybrid Project, East Pilbara, WA. The project will enable Alinta Energy Pty Ltd to supply electricity to the Fortescue Metals Group Limited (Fortescue) Chichester Hub iron ore mines, allowing operations at the mining hub to be among the first globally to demonstrate up to 100% of its daytime power requirement by renewable energy.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Alinta Energy Pty Ltd

Goods/services involved: Infrastructure including: a 60MW solar PV powerstation; transmission infrastructure; switchyards; and substations to supply electricity

Location: East Pilbara

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $90m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Western Australian Government’s consideration and agreement for the approved funds to be advanced.

Genex Power Limited, Queensland

On 8 July 2019 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to the construction of a 250MW pumped storage hydro project. This is the first pumped hydro energy storage scheme globally to utilise an abandoned mine.  The project’s storage capability makes renewable energy dispatchable and reliable, which is a critical need in order to increase the market share of renewable generation. The additional source of peak generation capacity will lead to lower average wholesale power prices which would flow to end users through the competitive retail power market.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Genex Power Limited

Goods/services involved: Construction of a 250MW pumped storage hydro project

Location: Kidston, Queensland

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $610m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Queensland Government’s consideration and agreement for the approved funds to be advanced, the Queensland Government’s commitment to linking transmission infrastructure for the Project and EnergyAustralia’s final approval of its commitment to the project.

Australian Aboriginal Mining Corporation, Western Australia

On 22 August 2019 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to the First Iron Project, Australia’s first substantially Indigenous-owned and operated iron ore mine located north west of Newman, Western Australia that is being developed by Australian Aboriginal Mining Corporation.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Australian Aboriginal Mining Corporation Pty Ltd

Goods/services involved: Construction of a borefield, crushing plant and site accommodation and a 55km haul road to connect the Great Northern Highway to the Cloudbreak site.

Location: 80 kms north west of Newman, Western Australia

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $12.5m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Western Australian Government’s consideration and agreement for the approved funds to be advanced.

Signature Onfarm Pty Ltd, Queensland

On 30 August 2019 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to the construction of an on‑farm, greenfield specialist service, beef processing facility with onsite accommodation for up to 70 employees and other ancillary amenities, located in Clermont, Queensland, being developed by Signature Onfarm Pty Ltd.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Signature Onfarm Pty Ltd

Goods/services involved: Construction of an on‑farm, greenfield specialist service, beef processing facility with onsite accommodation for up to 70 employees and other ancillary amenities including office, amenities, lairage, waste water treatment, dry store building, irrigation system and supporting water, energy, telecommunications, road and IT infrastructure.

Location: Clermont, Queensland

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $25m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Queensland Government’s consideration and agreement for the approved funds to be advanced.

Metro Mining Limited, Queensland

On 11 November 2019 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to the construction of an offshore floating terminal as part of the expansion of Metro Mining’s operational Bauxite Hills Mine north of Weipa in Far North Queensland.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Metro Mining Limited

Goods/services involved: Construction of an offshore floating terminal, to facilitate the loading of bauxite from barges on to ships for transportation to customers.

Location: north of Weipa, Queensland

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $47.5m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Queensland Government’s consideration and agreement for the approved funds to be advanced.

Cowboys Rugby League Football Limited, Queensland

On 11 November 2019 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to the development of the Cowboys Community High Performance and Training Centre. This multi-user social infrastructure project will be a core piece of community infrastructure for Townsville delivering significant economic and social benefits to the region.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Cowboys Rugby League Football Limited

Goods/services involved: Construction of multi-user social infrastructure comprising multi-sport high-performance training spaces, sports medicine and sports science laboratories, community spaces and a full sized training field, in addition to administrative office space.

Location: Townsville, Queensland

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $20m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Queensland Government’s consideration and agreement for the approved funds to be advanced.

Northern Territory Treasury Corporation (Northern Territory Government), Northern Territory

On 26 November 2019 the NAIF Board made an Investment Decision to offer a Financing Mechanism to the Northern Territory Treasury Corporation, guaranteed by the Northern Territory Government, in relation to the Darwin Ship Lift and Marine Industry Park Project for the purposes of constructing a ship lift facility and associated marine industry infrastructure (‘Project’) in the East Arm precinct of Darwin harbour. The Project will consolidate Darwin’s position as a hub for marine maintenance and servicing in northern Australia.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Northern Territory Government

Goods/services involved: Construction of an open access multi-user ship lift facility and associated marine industry infrastructure

Location: East Arm Precinct, Darwin NT

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $300m

Financial assistance to the Project is subject to a number of conditions.

James Cook University, Queensland

On 14 January 2020 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to James Cook University (JCU) for the purposes of developing new student accommodation located on JCU’s Townsville Campus.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: James Cook University

Goods/services involved:  Construction of a new student accommodation facility

Location: James Cook University Townsville Campus, Townsville, Queensland

Type of Financing Mechanism: loan

Amount of Financing Mechanism:  up to $46m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Queensland Government’s consideration and agreement for the approved funds to be advanced.

Mater Health Services North Queensland Limited, Queensland

On 30 March 2019 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation Mater Health Services North Queensland Limited, for the purposes of the construction of a six-level car park facility at the Mater Hospital, Pimlico Campus in Townsville. NAIF’s Financing Mechanism will contribute to a three stage redevelopment of Mater Private Hospital’s Pimlico campus in Townsville and will finance the accelerated development of the car park which is a critical part of the overall redevelopment and will assist in reducing congestion in surrounding neighbourhoods, enhance convenience for visitors and patients and improve employee safety.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Mater Health Services North Queensland Limited

Goods/services involved: Construction of a six-level car park facility at the Mater Hospital, Pimlico Campus in Townsville. This car park is a critical part of the hospital’s three stage redevelopment.

Location: Townsville, Queensland

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $19.75m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Queensland Government’s consideration and agreement for the approved funds to be advanced.

Charles Darwin University – CDU City and Casuarina Campus Project, Northern Territory

On 19 June 2020 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to Charles Darwin University – CDU City and Casuarina Campus Project. NAIF’s Financing Mechanism will contribute to the Project which involves the construction (i) of a new Education and Community precinct in Darwin city (“CDU City Campus”) and (ii) to re-purpose the existing campus at Casuarina (together known as the “Project”).

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Charles Darwin University

Goods/services involved: Construction of a new Education and Community precinct in Darwin city (“CDU City Campus”) and the repurposing of the existing campus at Casuarina.

Location: Darwin, Northern Territory

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $151.5m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Northern Territory Government’s consideration and agreement for the approved funds to be advanced.

Strandline Resources Limited Coburn Heavy Mineral Sands Project

On 19 June 2020 the NAIF Board made an Investment Decision to offer a Financing Mechanism in relation to the construction and development of the Coburn Heavy Mineral Sands Project (Project).

The Coburn Heavy Mineral Sands Project is located 240km north of Geraldton in the Gascoyne region of WA. The development of the Project will allow for mining operations, beneficiation, minerals separation processing and associated infrastructure to produce 23.4Mtpa of mineral sand products. The initial life of the mine is 22.5 years.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Strandline Resources Limited

Goods/services involved:  Development of the Project to allow for mining operations, beneficiation, minerals separation processing and associated infrastructure to produce 23.4Mtpa of mineral sand products.

Location: Gascoyne region of WA.

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $150 million

Financial assistance to the project is subject to a number of conditions including the finalisation of the Western Australian Government’s consideration and agreement for the approved funds to be advanced.

Merricks Capital Pty Ltd Hudson Creek Power Station and Batchelor Solar Farm

On 30 July 2020 the NAIF Board made an Investment Decision to offer a Financing Mechanism to Merricks Capital Pty Ltd in relation to the construction and development of the Hudson Creek Power Station and Batchelor Solar Farm Projects.

NAIF’s Financing Mechanism will contribute to the construction of a 12MW capacity gas power plant in Darwin and a 10MW capacity solar farm, 100km south of Darwin. Power generated by the facilities will provide Rimfire, the largest private electricity retailer in the Territory, with up to 90 per cent of its future electricity generation needs.

For the purpose of Section 17(2) of the Investment Mandate details of that decision are:

Name of project proponent: Merricks Capital Pty Ltd

Goods/services involved: Construction of a a 12MW capacity gas power plant and a 10MW capacity solar farm

Location: Darwin and Darwin region, Northern Territory

Type of Financing Mechanism: loan

Amount of Financing Mechanism: up to $37m

Financial assistance to the project is subject to a number of conditions including the finalisation of the Northern Territory Government’s consideration and agreement for the approved funds to be advanced.

Commercial in Confidence Project, Western Australia

On 30 July 2020 the NAIF Board made an Investment Decision to offer a Financing Mechanism, being a loan of up to $129m, to a Project Proponent for a Project in Western Australia.  Specific details of that Investment Decision including the name of the Project Proponent and goods and services involved, remain commercial in confidence as the Project Proponent finalises project development and commercial negotiations. NAIF will update information on this webpage once those negotiations have concluded. Financial assistance to the Project is subject to a number of conditions including the finalisation of the Western Australia Government’s consideration and agreement for the approved funds to be advanced.

Commercial in Confidence Project, Queensland

On 30 July 2020 the NAIF Board made an Investment Decision to offer a Financing Mechanism, being a loan of up to $76m, to a Project Proponent for a Project in Queensland.  Specific details of that Investment Decision including the name of the Project Proponent and goods and services involved, remain commercial in confidence as the Project Proponent finalises project development and commercial negotiations. NAIF will update information on this webpage once those negotiations have concluded. Financial assistance to the Project is subject to a number of conditions including the finalisation of the Queensland Government’s consideration and agreement for the approved funds to be advanced.

Process for publication of NAIF Investment Decision Information

Under the Northern Australia Infrastructure Facility Investment Mandate Direction 2018 (the Investment Mandate) an:

  • Investment Decision means a decision by the NAIF Board to offer, or not to offer, a Financing Mechanism for a project.
  • Financing Mechanism means a loan or any grant of financial assistance as determined by the responsible Minister in accordance with section 11 of the Investment Mandate.

Section 17(2) of the Investment Mandate provides that within 30 business days of making an Investment Decision, NAIF must publish information regarding the transaction on its website, subject to commercial confidentiality including:

  • the name of the project proponent
  • the goods/services involved
  • the location
  • the type of Financing Mechanism
  • the amount of the Financing Mechanism

Responsible Minister’s Consideration Period

Under Section 11(2) of the Northern Australia Infrastructure Facility Act 2016 (the NAIF Act) if NAIF proposes to provide financial assistance, NAIF must give to the responsible Minister written notice of the proposal (proposal notice).

Section 11(3) of the NAIF Act provides that the Minister’s consideration period is:

(a)  unless paragraph (b) applies – the period that ends 21 days after the proposal notice is given; or

(b) if, within that period of 21 days, or that period as extended, the Minister requires by written notice given to the Facility an extension of that period – that extended period, which must end not later than 60 days after the proposal notice is given.

Section 11(4) provides that at any time during the Minister’s consideration period, the Minister may notify the Facility in writing (the rejection notice) that the financial assistance should not be provided.

Section 11(5) provides that the responsible Minister may give the rejection notice only if the Minister is satisfied that providing the financial assistance would:

  • be inconsistent with the objectives and policies of the Commonwealth Government;
  • have adverse implications for Australia’s national or domestic security; or
  • have an adverse impact on Australia’s international reputation or foreign relations.

Section 12 provides that if the Minister decides that financial assistance should not be provided:

  1. A rejection notice must be accompanied by the Minister’s written reasons for the notice.
  2. Within 20 sitting days after the rejection notice is given, the Minister must table the notice in each House of the Parliament.

(note: the rejection notice must also be included in the NAIF’s annual report)       

Relevant Jurisdiction Consultation

Under Section 13(4) of the Investment Mandate NAIF must not make an Investment Decision if at any time the relevant jurisdiction provides written notification that financial assistance should not be provided to the project.

Under Section 13(2) of the Investment Mandate the relevant jurisdiction is defined as:

(a) the State or Territory the infrastructure project is located in for single jurisdiction Investment Proposals; and

(b) for Investment Proposals that cross jurisdictions, it is all jurisdictions where the project takes place.