Statement, Yara Pilbara
October 27, 2014
electorate of Durack is characterised by enormous resource development
projects, agriculture and farming, and untapped tourism potential. Unashamedly,
I am working hard to promote Durack within the parliament for its significant
contribution to the Australian economy and for its even greater potential. We
need the support of the nation and the parliament if Durack is to continue to
make a disproportionately large contribution to national growth and to GDP.
with the Minister for Trade and Investment, Andrew Robb, and the CEO of the Chamber
of Minerals and Energy of WA, Reg Howard-Smith, I embarked upon a journey to
see up close some of the developments in the Pilbara. Risk, perseverance,
enormous investment, ingenuity and a long-term view characterise project
development in the Pilbara. It is easy, though, to get lost amongst the
that is flying under the radar is a global ammonia production facility. Yara
Pilbara, the operator, is located on the Burrup Peninsula, near Karratha, in
the north-west. It adds value, as it is a downstream processor of gas with an
annual capability of around 850,000 metric tonnes of liquid ammonia. This is
shipped out of the nearby port of Dampier to markets in Asia. Thanks to
construction manager David Hegarty for making us welcome on our recent visit.
With a plan
to move further downstream, Yara has formed a joint venture with Orica and
Apache Energy to develop an ammonium nitrate plant which will support the
nearby mining industry. The existing ammonia facility will provide the
feedstock for production. When mixed with fuel oil, it can be used as an
explosive by the miners. With nearly 90 per cent of the construction completed,
the complex is the world's first to use a modular design-and-construction
approach. It is a world-scale facility with a planned capacity of 330,000
tonnes of ammonium nitrate and a construction budget of around $800 million.
The first production for the new plant is scheduled for around the second half
of 2015. During the construction phase, it has created 500 jobs. Once
completed, there will be full-time employment for around 65 people to operate
the plant. The company has a $50,000 million housing project underway in
Karratha. All the operational staff, with their families, will live locally.
That means no FIFO, which of course I welcome.
behind this wonderful new development, with its headquarters in Norway? Yara
Pilbara is a division of Yara International, the largest global producer of
ammonium nitrate and complex fertiliser. Yara International has operations and
offices in 50 countries. Investment of almost $1 billion in this new facility
hardly cracks a mention, but I am very pleased to bring it to the attention of
the House today.