McGowan turns sod on controversial $6 billion Pilbara Urea Project on Burrup Peninsula

Premier Mark McGowan visited Karratha on Wednesday to officiate the start of construction of the first new gas manufacturing plant in the Pilbara in more than a decade. The Perdaman $6b Pilbara Urea Project, located 20km North-West of Karratha, will convert WA natural gas into 2.3 million tonnes of the commonly used fertiliser, urea, each year with the project estimated to generate $77b in revenue over its life. With Australia currently importing 2.4 million tones of urea a year, the project will essentially eliminate Australia’s reliance on imported urea. And with the project set to bring in 2500 construction jobs and 200 ongoing operational roles Premier Mark McGowan said it was not only a win for Karratha but for WA broadly. “This is an exciting day for WA,” he said. “This important project represents a significant investment in the Pilbara and WA, underlining the region’s role as the engine room of Australia’s economy.” “It also gives more strength to the local economy, more local employment and opportunities for people living in Karratha and also local Aboriginal people. The joint private, Federal and State Government project is not free from controversy however with three major Aboriginal rock artworks having to be removed from the site. Perdaman managing director Vikas Rambal said Traditional Owners had been consulted and Perdaman was following their lead on how to safely remove the rock art. Mr McGowan knocked back suggestions the State Government had been insensitive about the removal of the ancient rock engravings claiming the project will have a small impact on the area. “There’s around half a million pieces of rock art on the Burrup of which this project will impact three pieces so in overall terms we think it’s acceptable,” he said. “(The project) has received environmental approval and support from the Murujuga Aboriginal Corporation so it will go ahead.” The Perdaman project is also set to be the last ever major works project on the Burrup Peninsula with Mr McGowan signalling the State Government will now move to have the area put under protection. “This will be the last Greenfield industrial project here on the Burrup,” he said. “Other sites will be put into the National Park and we will seek out UNESCO World Heritage listing of the Burrup so that it’s protected for evermore.” It comes after last week’s positive final investment decision with Export Finance Australia to provide a $269 million loan to the project, alongside NAIF and 12 other commercial lenders. Construction of the project is estimated to be complete by mid-2027.