Mr KIELY - 2004-10-05
The decision to proceed with the $2bn expansion of the Alcan alumina refinery in Gove was made last month. What benefits can Territorians expect from this development?
ANSWER
Madam Speaker, we have talked about unreal questions from the opposition. This is a real question for Territorians from the member for Sanderson. It was an exciting announcement …
Members interjecting.
Madam SPEAKER: Order! Members of the opposition, the Chief Minister is on her feet. She has the floor.
Ms MARTIN: This is an exciting announcement of a $2bn investment in the Territory’s future, and the opposition is not interested – it is very sad. On 9 September, the decision was made by the Alcan Board in Montreal. It is a decision which is exciting for the Territory and current Territorians. It means job and business opportunities, and is exciting for new Territorians, who will be drawn to the Territory with the opportunities provided by this significant expansion by Alcan.
Alcan was thrilled with this announcement. I had returned from the Sabah International Expo, at 4.15 pm on 10 September, and David Sutherland from Alcan was at the airport to tell me of the Montreal decision. This is a very important decision for the Territory, and from Alcan it is a real vote of confidence in the Territory’s and our mining future. We have had discussions in the House today, with the opposition putting down and being negative about mining, and here we have Alcan making a strong statement about mining and our future.
Let us look at the benefits of this, because they are substantial for the Territory. Starting with gross state product, over the construction phase of the Alcan expansion there will be an additional $90m into gross state product; and an additional $200m over the operation phase. Our exports will increase by something like $420m and, as soon as those exports start to increase, we will have a $1bn export from the Territory.
Expenditure into the Territory will be $120m during the construction phase. There will be 1700 jobs in construction and, when the plant is expanded, there will be 120 more jobs at the plant in Nhulunbuy.
Mr Mills: Sixty from the Territory.
Ms MARTIN: It is interesting to hear the Opposition Leader asking how many were local. It is interesting because the Opposition Leader dismissed the Alcan project, saying: ‘Only 60 jobs will be in the Territory’. He just made up a figure.
Let us look at what we are basing our confidence on for getting local jobs in this project. There is the Bechtel project, building the LNG plant at Wickham Point. When I talked to Bechtel a couple of years ago, they initially said: ‘If we can get 30% local jobs on the construction, you will be going really well’. Do you know what the percentage is currently, right now, out at Wickham Point? Fifty-four per cent local jobs building the plant - 54%. We are going for that for the Alcan plant, and I believe we can achieve it. The only doomsayer here is the opposition, led by their leader.
For our businesses this is really an opportunity to grow and prosper, and Alcan has significant confidence in the capacity of our businesses to fill their needs on this project. Initially, they thought they would not be able to use much local business. However, looking at the capacity we have developed - and a real congratulations to Territory businesses on this - over building the rail and now the LNG plant, Territory businesses will really benefit. They have the capacity, the commitment and the enthusiasm to take real opportunities from the Alcan expansion. Currently, with the LNG plant, $230m worth of contracts went to local businesses.
Alcan have already given two major industry briefings in Gove and Darwin and businesses turned up. They are listening and ready to work with Alcan. It is a project which will use our rail and port, support local businesses, new opportunities and local jobs. There will be local jobs here, but there will also be new Territorians who will come here to be part of what is a great project. My congratulations to Alcan for their vote of confidence in the Territory and the Territory’s future.
I also put on the record our congratulations to indigenous Territorians and their representative bodies, the land councils, for the support they have given to this project - a real tick. Of course, thanks also to the community of East Arnhem for their support. This will be a great project for the Territory - $2bn is a real vote of confidence in the Territory’s future. Thank you Alcan.
ANSWER
Madam Speaker, we have talked about unreal questions from the opposition. This is a real question for Territorians from the member for Sanderson. It was an exciting announcement …
Members interjecting.
Madam SPEAKER: Order! Members of the opposition, the Chief Minister is on her feet. She has the floor.
Ms MARTIN: This is an exciting announcement of a $2bn investment in the Territory’s future, and the opposition is not interested – it is very sad. On 9 September, the decision was made by the Alcan Board in Montreal. It is a decision which is exciting for the Territory and current Territorians. It means job and business opportunities, and is exciting for new Territorians, who will be drawn to the Territory with the opportunities provided by this significant expansion by Alcan.
Alcan was thrilled with this announcement. I had returned from the Sabah International Expo, at 4.15 pm on 10 September, and David Sutherland from Alcan was at the airport to tell me of the Montreal decision. This is a very important decision for the Territory, and from Alcan it is a real vote of confidence in the Territory’s and our mining future. We have had discussions in the House today, with the opposition putting down and being negative about mining, and here we have Alcan making a strong statement about mining and our future.
Let us look at the benefits of this, because they are substantial for the Territory. Starting with gross state product, over the construction phase of the Alcan expansion there will be an additional $90m into gross state product; and an additional $200m over the operation phase. Our exports will increase by something like $420m and, as soon as those exports start to increase, we will have a $1bn export from the Territory.
Expenditure into the Territory will be $120m during the construction phase. There will be 1700 jobs in construction and, when the plant is expanded, there will be 120 more jobs at the plant in Nhulunbuy.
Mr Mills: Sixty from the Territory.
Ms MARTIN: It is interesting to hear the Opposition Leader asking how many were local. It is interesting because the Opposition Leader dismissed the Alcan project, saying: ‘Only 60 jobs will be in the Territory’. He just made up a figure.
Let us look at what we are basing our confidence on for getting local jobs in this project. There is the Bechtel project, building the LNG plant at Wickham Point. When I talked to Bechtel a couple of years ago, they initially said: ‘If we can get 30% local jobs on the construction, you will be going really well’. Do you know what the percentage is currently, right now, out at Wickham Point? Fifty-four per cent local jobs building the plant - 54%. We are going for that for the Alcan plant, and I believe we can achieve it. The only doomsayer here is the opposition, led by their leader.
For our businesses this is really an opportunity to grow and prosper, and Alcan has significant confidence in the capacity of our businesses to fill their needs on this project. Initially, they thought they would not be able to use much local business. However, looking at the capacity we have developed - and a real congratulations to Territory businesses on this - over building the rail and now the LNG plant, Territory businesses will really benefit. They have the capacity, the commitment and the enthusiasm to take real opportunities from the Alcan expansion. Currently, with the LNG plant, $230m worth of contracts went to local businesses.
Alcan have already given two major industry briefings in Gove and Darwin and businesses turned up. They are listening and ready to work with Alcan. It is a project which will use our rail and port, support local businesses, new opportunities and local jobs. There will be local jobs here, but there will also be new Territorians who will come here to be part of what is a great project. My congratulations to Alcan for their vote of confidence in the Territory and the Territory’s future.
I also put on the record our congratulations to indigenous Territorians and their representative bodies, the land councils, for the support they have given to this project - a real tick. Of course, thanks also to the community of East Arnhem for their support. This will be a great project for the Territory - $2bn is a real vote of confidence in the Territory’s future. Thank you Alcan.
Last updated: 09 Aug 2016