The Federal Government will spend $120 million on upgrading the Carpentaria Highway and $23 million to upgrade the Stuart Highway at Coolalinga.
The road spending is part of the Federal Government's economic stimulus measures to be further explained in tomorrow's Federal Budget.
The Carpentaria Highway was part of the Northern Territory Cattlemen's Association wishlist before the August NT election.
The NTCA wanted these works on the highway - Strengthening and widening upgrade to crossings, and bridges, seal widening, shoulder and seal maintenance required.
Deputy Prime Minister Michael McCormack said the Government is focused on delivering priorities and boosting local jobs as part of Australia's road to recovery.
"We will draw on local businesses to stimulate local economies through an additional $1 billion for local governments nationwide under the Local Roads and Community Infrastructure Program," he said.
He said key investments include $120 million to upgrade the Carpentaria Highway, a 380-kilometre-long highway, which runs from near Daly Waters to Borroloola, in the heart of the Beetaloo Basin onshore gas exploration program.
The government's plans to "prioritise" the Beetaloo's development are expected to be part of the Budget talks as well.
Mr McCormack said there would be $47 million spent for National Network highway upgrades across the Territory.
Beside the Coolalinga work, there are more upgrades planned for the Stuart Highway.
Road and rail projects worth more than $7 billion are being fast-tracked to get the Australian economy moving again.
Mr McCormack says the shovel-ready projects will speed up supply chains and create thousands of jobs.
Many projects are already in the planning stage and some are backed by funding commitments from state and territory governments.
"We want to ensure our farmers and miners and other businesses can get their world-class goods to market faster and cheaper," Mr McCormack said today.
"That will happen with better roads and better rail, which is why we're continuing to invest in making our transport corridors more efficient with further investment in infrastructure in this budget."
Prime Minister Scott Morrison said the cash injection would lay the foundations for an infrastructure-led recovery from the coronavirus pandemic.
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