Seafarms : SFG Keep River Road Funding

Microsoft Word - SFG Media Release - Keep River Road (473)

Our Ref: SFG ASX Announce Media Release Keep River Road 20‐06‐16 (473)

20 June 2016

Market Announcements Office Australian Securities Exchange

ANNOUNCEMENT 473

Level 6 By ASX Online

20 Bridge Street Number of pages: 4

SYDNEY NSW 2000 (including this page)

Media Release Seafarms welcomes commitment to upgrade Keep River Road

Seafarms Group Limited (ASX:SFG) (Seafarms) welcomes the $40 million commitment from the Australian Government to upgrade the Keep River Road on the Northern Territory side of the border with Western Australia (refer attached announcement). The upgrade is a vital piece of enabling infrastructure for the $1.5 billion Project Sea Dragon.

Project Sea Dragon is planned to be Australia's largest aquaculture project, potentially producing over 100 000 tonnes of Black Tiger Prawns per year and creating 1 500 jobs in north Australia.

The Keep River Road is a key link in the transport logistics for the project, which is located on Legune Station near the Northern Territory's border with Western Australia, about 110 kilometres from Kununurra.

Project Sea Dragon will include production ponds at Legune Station, breeding facilities in Darwin and a processing plant near Kununurra.

Stage 1 of the project includes 1 080 hectares of production ponds, increasing to about 2 100 hectares in Stage 2.

Seafarms Group Limited Executive Director Dr Chris Mitchell welcomed the funding commitment to upgrade the Keep River Road after it was recognised as a priority in the Northern Australia White Paper.

Dr Mitchell said "This commitment by the government is an important key step in the realization of the Project. Seafarms continues to work towards attaining its licences to operate by the end of the year"

Seafarms is due to begin on‐ground earthworks investigations at Legune Station, including a pond earthwork trial, and has been granted an occupation licence for the proposed breeding facilities at Bynoe Harbour and test‐drilling at its preferred processing plant site in Kununurra.

The project has been given major project status by the Commonwealth, Northern Territory and Western Australian governments.

Yours faithfully

Seafarms Group Limited

Harley Whitcombe

Director and Company Secretary

Media contact:

Elena Madden

Michels Warren Munday 0447 710 108

ENC

DARREN CHESTER MP MINISTER FOR INFRASTRUCTURE AND TRANSPORT JOSH FRYDENBERG MP MINISTER FOR RESOURCES, ENERGY AND NORTHERN AUSTRALIA SENATOR MATTHEW CANAVAN MINISTER FOR NORTHERN AUSTRALIA NATASHA GRIGGS MP CLP MEMBER FOR SOLOMON TINA MACFARLANE CLP CANDIDATE FOR LINGIARI

20 June 2016

MORE THAN $130 MILLION FOR NORTHERN TERRITORY ROADS

An additional $28 million to further upgrade the Outback Way is among a series of Northern Territory road projects, which will be carried out under a re‐elected Coalition Government.

The Outback Way investment, which increases the Coalition's overall commitment to the road to $70 million, will see sealing works carried out on 53 kilometres of the Plenty Highway and more than eight kilometres of the Tjukaruru Road.

The works will provide a shorter, more reliable, and safer route for the transportation of cattle to live export markets.

The Arnhem Highway will benefit from a $62 million investment targeted at improving flood immunity and ensuring all‐weather access for vehicles travelling on the highway between the Stuart Highway and Mount Bundy.

Works will include the raising of road embankments; establishment of relief structures; and realignment of a five kilometre section of the highway.

An allocation of $40 million will be provided to upgrade the Keep River Road on the border of the Northern Territory and Western Australia.

The upgrade is critical to providing the required infrastructure to support the development and ongoing operations of Project Sea Dragon and potentially open up Ord Stage Three.

The Outback Way, Arnhem Highway and Keep River Road were identified in the Northern Australia Audit and the upgrades are key priorities supported by the Northern Territory Government.

Combined the projects will support jobs and growth; improve safety, reliability and travel times; and reduce the road maintenance burden arising from heavy rainfall during the wet season.

The investment in Northern Territory roads forms part of the Coalition's plan to strengthen economic development opportunities and create jobs and growth in Northern Australia.

The Coalition's $5.7 billion commitment to road infrastructure in Northern Australia since 2013‐14 includes $600 million for high priority road projects through the Northern Australia Roads Programme and $100 million to improve the resilience of cattle supply chains through the Beef Roads Programme.

The commitments to the Outback Way, Arnhem Highway and Keep River Road are in addition to recent investments of more than $327 million to improve the transport network across Northern Australia.

In recent weeks, the Coalition has also pledged $29.5 million for the Barneson Boulevard which will provide a new link from Tiger Brennan Drive to the Darwin CBD and more than

$12 million for heavy vehicle safety and productivity upgrades throughout the Northern Territory.

Previous Coalition commitments to the road network in the Northern Territory include the

$90 million Northern Territory Roads Productivity Package to upgrade the Arnhem Link Road, Buntine Highway, Central Arnhem Road, Port Keats Road, Roper Highway and Santa Teresa Road; and the $70 million Northern Territory Roads Package to support upgrades on the Barkly, Stuart and Victoria highways.

ENDS

MEDIA CONTACTS

For Minister Chester: Brie Colley Ph 0455 230 603 For Minister Frydenberg: Dan Cronin Ph 0466 305 221 For Minister Canavan: William Rollo Ph 0422 329 182 Ms Griggs: Camden Smith Ph 0488 588 754 Ms MacFarlane: Ph 0499 992 711