Investment In Resource Project Infrastructure Needs Announced

Investment In Resource Project Infrastructure Needs Announced

Western Australia Premier Colin Barnett

State Government Continues Investment In South-West

Victor P Taffa

The State Government will spend $83.5 Million over the next four years to secure land and upgrade vital water and road infrastructure, for the massive $3.5 Billion Perdaman Collie Urea Project.

Premier Colin Barnett said the decision would enable Perdaman Chemicals and Fertilisers (Perdaman) to take an important step to establishing a world-scale facility transforming coal into urea, using proven coal gasification technology.

“The Government is upgrading the infrastructure in support of this project.” Premier Barnett said.

“This project will have massive significance for Western Australia and the South-West, introducing a new industry, new employment and business opportunities and boosting exports.”


“As well as creating 1,500 construction and 200 operating jobs, the project’s demands for coal, supplies and services including road rail and shipping are expected to generate another 650 jobs, most of them in the Collie and Bunbury areas.” Premier Barnett said.

“At full production, the plant will produce 2 Million tonnes of urea each year for domestic and international fertiliser markets.”

“Perdaman’s plant will be established at a new 250 ha Shotts Industrial Park 7 km from Collie, which will also have the capacity to accommodate up to four other heavy industry operations.” Premier Barnett said.

The Premier said the Government funding package included:

  • Debt funding of $65 Million for the Water Corporation to upgrade existing water pipelines from Wellington Dam with costs to be recovered through user charges;
  • Up to $3.9 Million for Main Roads to upgrade six bridges between Bunbury Port and Shotts Industrial Park to enable delivery of components for the facility;
  • Up to $14.653 Million to LandCorp for infrastructure works for Shotts Industrial Park, including building internal roads and relocating existing roads, water pipes and telecommunications cables, and up to $1.353 Million to cover land costs while the facility is in construction.

Premier Barnett said that since February 2009 Government agencies and Perdaman had worked hard to secure the project, including assembling the land for the industrial estate, obtaining local, State and Federal government planning and environmental approvals, and negotiating services and infrastructure access arrangements.

Public funding worth more than $7.2 Million had already been committed to the Shotts Project.

“The Perdaman Project is an important pointer to WA’s economic future as a major exporter of advanced manufacturing products using our rich mineral and energy resources.” the Premier said.