The first customers for the highly anticipated Lumsden Point facility in the Port of Hedland have been secured, with the Western Australian government announcing the first two customers.
Mineral Resources and Pilbara Minerals have each signed a commitment agreement to pave the way for further economic activity in the Pilbara in the future.
The Lumsden Point facility will be funded courtesy of a $129.1 million contribution from the WA government to provide new multi-user facilities, such as a general cargo berth and minerals export berth.
The important piece of infrastructure is set to expand trade opportunities in the Pilbara and support growing renewable industries around the world.
The federal government is also contributing to this strategically significant project, investing $565 million for common user port upgrades in the Pilbara, including the Lumsden Point facility.
WA ports minister David Michael says there is already significant demand for the facility, in particular for the export of battery metals and the import of renewable energy infrastructure.
“The WA government is delivering on its commitment to diversify trade in the Pilbara by progressing this development at Lumsden Point,” he says.
“The project has been progressing rapidly, with the seawalls at Lumsden Point nearing completion, enabling the next stages of the project to get underway, including dredging and causeway construction.
“It’s fantastic to see the first customers secured, a crucial step in the overall project. The WA government continues to invest in infrastructure that fuels future prosperity and supports regional jobs growth.”
The agreements enable Pilbara Ports, the owner and operator of the facility, to progress in securing tenure with Pilbara Minerals and, with the joint venture between Mineral Resources and Albemarle, to start developing new facilities in the port.
Further agreements are expected to be formalised in coming months with additional customers.
These agreements demonstrate the significant demand for additional port capacity in the Pilbara region, which already facilitates the export of $165 billion worth of commodities each year.