The department for Australia’s Federal Environment Minister, Sussan Ley, on March 11 issued a request to Perdaman Industries to cease work on a proposed A$4.5 billion urea plant on the Burrup Peninsula in Western Australia’s Pilbara Region while the Department considers concerns from Traditional Owners about damage to the UNESCO short-listed rock art and other culturally sensitive sites.
The request is not legally binding, and Perdaman Industries has yet to comment on the request.
The Burrup Peninsula, which is known as Murujuga by Indigenous Australians, contains what is widely considered to be the world’s oldest and largest ancient rock art collection.
The rock art has been found to be highly sensitive to the emissions produced from heavy industry, and scientific studies already have established an ongoing pattern of degradation on the surface of the art.
Western Australia’s Environmental Protection Authority (EPA) recommended Perdaman’s ammonia and urea project, located about 20 km northwest of Karratha, for environmental approval last September, subject to certain conditions, including air quality (GM Sept. 10, 2021).
EPA Chair Professor Matthew Tonts at the time said EPA’s conditions reflected the authority’s commitment to ensuring the protection of the Murujuga Peninsula’s unique environmental values, including the nearby rock art.
Tonts said the project proponent will need to demonstrate that the project has no adverse impact that accelerates the weathering of the rock art.
The Perdaman facility proposes to produce 2.14 million mt/y of granular urea, and is targeting first production in the fourth quarter of 2025 (GM May 7, p. 1).
The Northern Australia Infrastructure Facility (NAIF) in February this year announced its intention to invest A$255 million (approximately US$183 million at current exchange rates) in infrastructure supporting the Perdaman proposed urea project (GM Feb. 11, p. 34).
The investment will be used for upgrades to common-user infrastructure that will support the urea project.
Perdaman Industries’ subsidiary, Perdaman Chemicals and Fertilisers Pty Ltd., the developer the project, signed a 20-year offtake deal with Incitec Fertilizers Pty Ltd., a wholly-owned subsidiary of Incitec Pivot Ltd. (IPL), in May 2021 for up to 2.3 million mt/y of granular urea from the proposed plant.