Sitzler Pty Ltd secured the $22 million contract as the Managing Contractor for the Development Phase of the $514 million NT Training Areas and Ranges Project.

Defence Minister Linda Reynolds said the announcement was a significant milestone for the United States Force Posture Initiatives.

"Our Northern Territory training areas and ranges are essential for supporting the joint training needs of the Australian Defence Force and our United States partners," Minister Reynolds said.

"This reinvestment is part of the Government's commitment to the Northern Territory made under the 2015 Developing Northern Australia White Paper and the 2016 Defence White Paper.

"Just two years after the pilot program for the Liberal and National Government's Local Industry Capability Plan was announced, we are seeing this policy in action."

Sitzler will manage the design and development of upgrades to facilities and infrastructure at Defence training areas at Robertson Barracks, Kangaroo Flats, Mount Bundey and Bradshaw.

Under the Government's Defence Policy for Industry Participation, Sitzler have provided a Local Industry Capability Plan with a target of 98 per cent of construction sub-contract packages to be awarded to businesses within the Territory.

Senator Sam McMahon said this is another example of Defence investment providing valuable opportunities for local businesses.

"Since its establishment in Darwin in 1976, Sitzler Pty Ltd is now one of the largest privately owned and operated construction companies in Northern Australia," Senator McMahon said.

"This $22 million contract being awarded to a local company demonstrates this Government's commitment to providing opportunities to businesses in the Northern Territory."

An estimated $14 million in design sub-consultants will be engaged over the next three to four months to progress the designs for subsequent Government and Parliamentary approvals.

Subject to Government and Parliamentary approvals, construction is scheduled to commence in late 2021 with completion anticipated by 2025.

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