Australia's Northern Territory (NT) government is urging Canberra to incorporate Rio Tinto's fuel infrastructure at Gove into the country's proposed A$3.2bn fuel security reserve, arguing the site could provide 220mn litres (1.38mn bl) of storage capacity.
Chief minister Lia Finocchiaro, alongside the Gumatj and Rirratjingu Aboriginal corporations, wrote to prime minister Anthony Albanese on 31 July seeking federal funding to refurbish fuel tanks that may otherwise be decommissioned as Rio Tinto winds down its Gove bauxite operations, which are expected to cease towards the end of the decade.
The federal government has outlined plans for a 1bn litre (6.29mn bl) reserve of diesel and jet fuel, with the Gove tanks potentially representing around 22pc of that capacity. The site comprises seven fuel-compliant storage tanks and a deep-water port capable of receiving and distributing bulk fuel. The NT government says decisions on the future of the infrastructure will need to be made by mid-2027.
According to a Rio Tinto asset memorandum, the fuel infrastructure includes a tanker wharf used to unload oil products into a harbour tank farm and a separate light-fuel tank farm connected by pipeline. The operational tanks comply with relevant fuel-storage standards and were identified as assets with potential future use for petroleum storage.
Retaining the tanks would strengthen Australia's fuel security while supporting jobs and economic transition in the region, Finocchiaro said. Rio Tinto plans to close both the Gove mine and the Andoom mine, which forms part of its broader Weipa operations, towards the end of the decade.
While the site offers substantial storage capacity and deep-water port access, Gove is located far from Australia's major fuel consumption centres, potentially raising questions about distribution costs and response times during supply disruptions.
About 121,000t of gasoil, 11,000t of gasoline and 5,000t of jet fuel were imported into Gove last year, vessel tracking data from Kpler show.
The Gove facilities form part of a broader industrial precinct that includes cargo and export wharves, workshops, warehousing and an airport — assets that stakeholders have been assessing for post-mining uses. Traditional owners, Rio Tinto and the NT government have been exploring opportunities to repurpose infrastructure and support economic activity in East Arnhem Land after mining ends.
Rio Tinto did not immediately respond to a request for comment on whether the company has held discussions with the federal government, the defence sector or potential commercial operators about taking over the Gove fuel assets, or whether demolition of the tank farm remains its preferred option.
Australia held 39 days' worth of gasoil consumption, equivalent to 22.89mn bl of gasoil stocks in-country or within its exclusive economic zone on 28 July, latest government data show. The country held 34 days' worth of jet fuel consumption, equivalent to 5.87mn bl, and 43 days' worth of gasoline consumption, equivalent to 11.48mn bl of stocks.
