A multi-million dollar US construction contract has been granted for the building of an earth-covered magazine at the Tindal RAAF Base as part of the US Force Posture Initiatives.
The United States Naval Facilities Command Pacific has announced the $15.01 million contract, which will see Icon SI Pty Ltd construct an earth-covered magazine facility at RAAF Base Tindal.
Icon Si is an Australian contractor associated with Japanese company Kajima Corporation.
The project is part of a range of initiatives for Australia and the United States in the Territory over the next decade.
Another big project will be the construction of jet fuel storage tanks for the US and RAAF at Tindal.
Later plans are for aircraft maintenance facilities, squadrons operations facilities and a bomber apron.
The Tindal RAAF Base runway will be extended by 610 metres to become 3.3 kilometres long.
Defence Minister Linda Reynolds said Australia and the US will jointly invest around $2 billion in a range of USFPI projects over the life of the initiative.
Prime Minister Scott Morrison visited Tindal back in February to announce a $1.6 billion upgrade for the base.
"This announcement highlights the opportunities that the USFPI brings to Australian businesses and reinforces that Australian industry is globally competitive," Minister Reynolds said.
"Infrastructure and facilities development under the USFPI will be concentrated between Robertson Barracks, RAAF Base Darwin and RAAF Base Tindal as well as training areas and ranges in the Northern Territory.
"These infrastructure investments enable the activities of the Marine Rotational Force - Darwin and Enhanced Air Cooperation."
In addition to construction contracts, there will be opportunities in sub-contracting, maintenance and supply arrangements that will benefit local suppliers over the next decade.
Minister for Defence IndustryMelissa Price said construction projects to support the growing United States Force Posture Initiatives will provide opportunities for many sectors including construction, professional services, maintenance and logistics.
"Australian funded projects include airfield upgrades, base support improvements - including accommodation, mess facilities and gymnasiums - and upgrades to training areas and ranges," Minister Price said.
"I'm particularly pleased to see that the US Department of Defence has selected an Australian company to construct the earth-covered magazine facility RAAF Base Tindal."
NT Senator Sam McMahon said the USFPI continues to provide significant economic benefits for the Top End.
"Under the Morrison Government, $8 billion is being invested over the next decade in new and upgraded facilities in the Northern Territory, making it a welcome boost to the local economy and to businesses in the Top End," Senator McMahon said.
Construction projects to support the growing USFPI will provide opportunities for many sectors including construction, professional services, maintenance and logistics.
The first detachment of about 1200 US Marines will touch down in Darwin soon.
Strict testing requirements are being in place to make sure they don't bring coronavirus in with them.
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