The Newton family will fund the award for first prize until 2025, after the Lambert family stepped down as sponsors earlier this year.

The Newtons own multiple businesses in Katherine, Geoff Newton said they want to support local artists.

"In recent years we have purchased a number of works by local artists and we jumped at the opportunity to encourage the local arts community more by sponsoring the Katherine Prize," he said.

"We feel the Katherine Prize is a very worthwhile part of the local arts scene as it encourages entrants at all levels and in a wide range of media to show their work."

Godinymayin Yijard Rivers Arts and Culture Centre host the art prize, GYRACC chair Toni Tapp Coutts thanked the Newtons for funding the award.

"We thank aspiring artist, businessman and saddler extraordinaire Geoff Newton and his wife Julie for their commitment and financial contribution and look forward to the next five years of taking the prize into a new era," she said.

"It is with a little sadness we see the Lambert family finally withdraw from financing the Katherine Art Prize but we deeply appreciate their commitment of 45 years.

"It is a phenomenal prize."

Darwin artist Katherine Bradley won the 45th edition of the Katherine Art Prize in November.

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