Darwin Port

COASTAL CARGO ADVANCING AUSTRALIAN TRADE

S A I L I N G TO SUCCESS As the nearest port to Asia, Darwin Port is strategically positioned as the gateway for Australasian trade. CEO Peter Dummett tells us about its productivity, development, and how it supports the natural marine environment of Darwin Harbour Writer: Rachel Carr | Project Manager: Ryan Gray

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nown as an adventurer’s paradise as a consequence of its diverse cuisine and tropical outdoor lifestyle, Darwin Port is a proven international hub and the nation’s ‘northern gateway’ as the nearest port to Asia.

Operated by Darwin Port Operations Pty Ltd (DPO), which is part of the Landbridge Group (Landbridge), a large private company based in the city of Rizhao in Shandong Province, China, Darwin Port manages commercial facilities at the East Arm Wharf and the cruise ship terminal at Fort Hill Wharf.

Furthermore, it is also a key support hub for the expanding offshore oil and gas fields in the Arafura Sea, Timor Sea, and waters off the coast of Western Australia (WA).

“It is the only port between Townsville and Fremantle with full access to multi-modal transport services,” introduces Peter Dummett, CEO of Darwin Port.

“Landbridge plans to grow Darwin Port by developing the infrastructure to meet future customer needs.

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“By doing so, Landbridge brings an opportunity to increase trade with Asia through the company’s extensive regional networks,” he continues.

With approximately 95 employees, Darwin Port provides world-class pilotage and harbour control systems and a seamless supply chain capable of handling containers, general cargo, bulk liquids and materials, live exports, and heavy-lift oversized cargo.

Moreover, it also services cruise ships and naval vessels at the Fort Hill Wharf facility. It is a first port of entry for large cruise ships visiting Australia 4 | APAC Outlook Issue 66

APAC OUTLOOK: COULD YOU TELL US ABOUT YOUR CONTRACTS AND RELATIONSHIPS WITH PARTNERS AND SUPPLIERS? Peter Dummett, CEO: “We have a great relationship with the stakeholders that operate within the port. We work hard to ensure that their needs are met and that the port runs in the safest and most efficient manner.

“The port model that we operate under is that of a landlord and infrastructure provider, and many companies operate outside and inside the port boundary to contribute to a wellstructured supply chain.

“It is critical that we understand each other’s businesses to assist in valueadding to the game, which is costeffective, safe, and efficient cargo movement.”

DARWIN PORT SUPPLY CHAIN

and is primarily used for this purpose in conjunction with naval vessel visits and small non-cargo carrying boats.

Fort Hill Wharf has a total quay length of 300 metres (m), with a natural deep-water berth located just minutes from the central business district (CBD). The facility includes a passenger terminal with the ability to accommodate offshore international passenger processing, as well as ships spanning up to 350m in length.

Dummett currently finds the supply chain space in Australia an exciting place to work in as it poses everevolving challenges and innovation that keep those in the industry invigorated.

“There is quite a bit of consolidation and integration being developed in the Australian supply chain at present. Some operators are looking

to provide a ‘one invoice’ concept for multimodal operations, which can appeal to some organisations,” Dummett reflects.

As Australia is a large country, efficient and cost-effective landslide logistics networks are critical for producers to get their products to market, regardless of whether they are domestic or international, further proving the dedication and hard work Darwin Port puts into its day-to-day efforts.

PORT DEVELOPMENT In recent years, DPO has continued to invest in the infrastructure of Darwin Port, focusing on optimising and utilising its existing assets.

“Key investments to grow the port’s capacity include the development of approximately 80,000 square metres (sqm) of additional bulk materials

stockpiling area as well as investment in additional undercover storage facilities,” Dummett reveals.

Darwin Port has implemented various ship loader productivity improvement initiatives and transformed its data collection and analysis processes to enable a comprehensive understanding of operational performance.

“Whilst we have put a lot of effort into growth-focused investments, we have also delivered major maintenance programmes with key projects, including the progressive replacement of our firefighting system at our bulk liquids fuel import facility, which was achieved without any interruption to terminal operations that facilitate all the Northern Territory’s fuel imports,” he continues.

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Livestock landmark: a gateway to the port

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he Berrimah Export Yards (Berrimah), just a stone’s throw from East Arm in the Northern Territory of Australia, is abundant with cattle destined for significant overseas markets.

Between ship loads, when the cattle pens are empty, the yards team are busy preparing for the next convoy of roadtrains from across northern Australia to deliver livestock.

More recently, you will find hard working people across the yard, in the laneways beneath the Ridgeback™ sheds or between the pens.

Indeed, those leaning on the rails of Berrimah are agriculture industry leaders, government representatives, and visiting importers from across Southeast Asia.

Regularly enough the yards will also host local, national, and international media, comprising cameras ready to capture the latest industry news in a relevant setting, showcasing a crucial part of Australia’s AUD$1.4 billion live export industry, all just a short drive from the Darwin central business district (CBD).

Telling the livestock trade’s proud and truly unique supply story is even more powerful when visitors, welcomed to the Darwin Port, witness the livestock loading process.

Berrimah, owned by the NT Livestock Exporters Association (NTLEA), is a showpiece for Australia’s modern livestock export industry. Its leading biosecurity controls, stringent exotic disease surveillance, and custom-designed infrastructure help underpin the integrity of animal health within the live trade’s supply chain.

Equally as important, the yard has developed into a thriving, best-practice animal welfare quarantine facility that processes 40,000 to 50,000 cattle a year for delivery to Darwin Port’s East Arm Wharf - long considered the busiest port for livestock export in the world.

Five years ago, the NTLEA-owned Berrimah, with the assistance of the Northern Territory Government, embraced patented

Ridgebacks™ technology for major upgrades to its quarantine pens, with shade and enhanced air flow capabilities to protect livestock from the top end’s seasonal extremes.

Since the quarantine pens received their first cattle in August 2018, the sheds have been a gamechanger for the yards.

Berrimah manager Ben Giblett said the two Ridgeback™ sheds are an attraction for live export customers from countries like Indonesia and Vietnam, who want to learn more about the supply chain.

“It’s pretty impressive to go down there and feel the difference in temperature, standing in there, there’s a breeze,” Giblett says.

“We take people through what we do, we show them how we bring animals in and scan, weigh, draft, and dip. This is conducted in the processing and receival area that is covered

by an older roof, which has served us well for many years but doesn’t have such a modern design. Then we take visitors down the hill, where the cattle go after induction, which opens up into the new Entegra sheds that have a different temperature with consistent airflow. People feel the climate difference and think it’s incredible.

Berrimah is one of six active pre-export quarantine yards between Darwin and Adelaide River.

A pre-export quarantine facility prepares animals for live export voyages by transitioning them onto the same pellet ration fed on the ship, while conducting health checks and any other animal husbandry and biosecurity requirements.

Less than 10 minutes by truck, Berrimah is by far the closest export yard to Darwin Port.

The mild temperature beneath the Ridgeback™ structures has enabled the company to also quarantine buffalo for live export during the past 18 months.

Reintroducing the heat sensitive animals to the facility for the first time in many years has been easier thanks to the Ridgebacks™ infrastructure.

As a result, water buffalo do not need to wallow in pools of water to cool down.

Giblett has proven buffalo remain comfortable with the cooler temperatures and air flow created by the Ridgbacks™, negating the need to install fans or sprinklers.

The buffalo, weighing 200 to 650 kilograms (kg) in liveweight, are drafted into shipping lines to suit market requirements.

The Indonesian and Malaysian market prefers young, feedertypes, according to Giblet, while Brunei and Vietnam request heavier buffalo.

Unlike cattle, which are required to remain in a pre-quarantine export facility for a minimum of two days, buffalo must quarantine for at least five “clear” days.

Export buffalo, most of which are mustered in partnership with Traditional Owners from across the top end, typically stay at Berrimah between five and 10 days.

“They increase their weight but that’s a compensatory gain because they come in here after a feed curfew for trucking,” Giblett explains.

“The main role here is for the buffalo to get gut filled, hydrated, and used to eating the same pellet they will be fed on the ship.

Day-one, we feed them exclusively hay whilst also introducing pellets. The introduction to pellets before they are loaded onto the ship improves the outcomes for the animals.”

The same principles also apply to pre-shipment preparation for cattle.

NTLEA CEO, Tom Dawkins, said Berrimah’s close proximity to the Darwin Port’s East Arm Wharf, plus its quality control, biosecurity, and good animal welfare practices ensure it’s a vital cog in the northern Australian live export supply chain.

that’s the first step towards a successful voyage. If cattle are then trucked and loaded onto the ship smoothly and efficiently, then you’ve really given yourself the best chance of a successful shipment.”

But shelter at Berrimah isn’t just about keeping livestock cool.

Maintaining dry pens and animals is just as important during Darwin’s wet season.

For Giblett, removing the challenge of wet pens with the Ridgebacks™, and even super dry dusty flooring, adds to the facilities’ productivity.

It’s easy to draft livestock, regardless of the weather, and pen cleaning between consignments is made simpler.

“We can handle multiple species with multiple specifications for different customers simultaneously, which is a benefit for everyone,” Giblett explained.

“If two to three ships arrive in two days for three or four different markets, we can service all of them and be ready for the next truck to come, starting the next shipment.”

As for the future, based on the success of the two existing Ridgebacks™ sheds, the NTLEA has further investment at the yards in its sights.

“We are working on plans for a third shed for the processing area, with quarantine pens designed specifically with buffalo in mind,” Giblett says.

“It would be a low-stress handling area for buffalo and humans and include snap-lock gates, hinges, and fully hessian (enclosures) that would enable ample flow.

“If we increase capacity it could help with any overflow from shipments too.”

This is good news for Berrimah, Darwin Port, and the entire live export supply chain.

Dawkins further added the oversight of a yard manager like Giblett, who spent many years sailing with livestock to their overseas destinations, made the transition from paddock to quarantine and onto the ship a smooth one.

Dawkins also said all pre-quarantine export facilities are pivotal to delivering healthy, well-prepared livestock to global customers.

“Someone like Giblett knows from experience that when you’re sailing with 4,000 cattle, or sometimes even 10,000 to 20,000 cattle, the difference their preparation makes is huge,” Dawkins comments.

“If they are well managed during quarantine, with introduction to shipping pellet and able to socialise happily in their pens,

www.ntlea.com.au

DARWIN PORT SUPPLY CHAIN

Continuing the focus on optimisation and efficiency, Darwin Port has a number of exciting projects planned to maximise the value that can be delivered from its assets.

This includes the planned development of additional hardstand areas within the port to support the stevedoring operators who are responsible for loading and unloading cargo from or to the vessel.

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This work will continue over the next few years alongside a significant investment in rejuvenating existing hardstand areas.

“We will progress the design and potential construction of conveying infrastructure to connect our bulk materials storage area with the existing ship loading infrastructure.

This will facilitate the next generation of bulk material export projects by

providing an integrated port/rail infrastructure solution.

“More broadly, we see a huge amount of potential to support the future decommissioning requirements of the offshore oil and gas industry and believe that we are located in a prime position with the correct assets to play a key supporting role,” Dummett explains.

DARWIN PORT SUPPLY CHAIN

PILOTAGE SERVICES Darwin Port Pilotage Pty Ltd (DPPP) is the designated pilotage services provider for the Port of Darwin. DPPP and DPO provide an integrated approach toward all acts of pilotage by partnering with the ship’s bridge team to ensure pilotage is done safely and professionally.

In order to achieve this, DPPP and

DPO provide pilots that are licenced and experienced for all types of ships that seek safe passage within the Port of Darwin. All pilots receive a significant amount of training within the port environment and on purpose-built simulators. The wide variety of shipping that use the port provides the team with ample training opportunities.

Darwin Port pilots are

International Standard for Maritime Pilot Organizations (ISPO) certified, and this accreditation is audited regularly to ensure that pilotage services provided are in accordance with the DPPP Safety Management System that has been developed by referring to the latest internationally recognised legislation, regulations, standards, and recommended practices.

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Qube Ports Qube is Australia’s largest integrated provider of import and export logistics services, providing a broad range of services to customers through an unrivalled network of assets in over 180 locations across Australia, New Zealand, and South East Asia.

Qube Ports is a key operating division within the wider Qube group, providing port solutions and logistics services with bulk and

general handling facilities in over 40 ports in the region. Qube Ports is a market leader in the provision of purpose-designed solutions for customers, handling containers, bulk, automotive, and general cargo.

We are the leading provider of supply chain logistics services to the energy sector, supporting thousands of onshore wells and rig supply vessels, barges, and offshore construction vessels annually. Qube Ports also manages 25 sites for the

forestry industry in Australia and New Zealand and has operations in Singapore and Indonesia.

Qube Ports is committed to an operational culture of zero harm and is dedicated to service excellence. We expand and develop new business opportunities by extending services at existing facilities, creating new facilities by investing in equipment and infrastructure, and working in partnerships to build new business opportunities.

Port of Darwin Qube Ports manages diversified operations around the Australian coastline, from Dampier in the west, where Qube services the oil and gas market, through to Port Kembla and New Zealand in the east, where the company handles motor vehicles, heavy machinery, project cargoes, and logs, and finally across the Asian market in countries such as Indonesia, Fiji, Vietnam, and Papua New Guinea.

Qube Ports has a significant presence at the Port of Darwin where we support customers with a range of services, including general and automotive stevedoring, bulk stevedoring and stockpile management, and cattle stevedoring for export markets.

Through the Port of Darwin, Qube Ports also provides stevedoring services for the oil and gas sector in Australia’s north, with Qube Energy providing a range of complementary services, including supply base and logistics services for major tier one customers.

Through our Darwin operations, Qube Ports also provides services to the Royal Australian Navy.

Investing in the future of the Port of Darwin With our two mobile harbour cranes, hoppers, and grabs for bulk discharge, together with investment in innovative cattle loading ramps, Qube Ports is investing in the growth and development of the Port of Darwin as a major import and export hub for Australia. These on-port facilities are complemented by major investments in energy supply base facilities as well as a truck and trailer fleet to support the oil and gas market.

Delivering integrated solutions Qube has developed a strong reputation for excellence and, along with our proven ability to deliver innovative solutions for our customers, the business has grown over the past 15 years to become an ASX 100 listed company today.

With a market capitalisation of more than AU$5 billion, Qube employs over 9,000 people in Australia, New Zealand, and South East Asia, and has worked hard to build a strong net asset position.

Qube’s key business strength and competitive advantage is that the company owns and operates the infrastructure that enables us to design, implement and manage fully integrated

supply chain solutions that provide our customers with flexibility, reliability, and cost competitiveness. The company has curated a culture that is based on flexibility and responsiveness to our clients’ needs built around three core values – integrity, reliability and inclusion.

Qube employs the best people in the industry, with a breadth of knowledge across multiple facets of the supply chain. The company also has an excellent reputation and proven track record in providing innovative, costeffective solutions to our clients, focusing on reliability and safety as our number one priorities.

Furthermore, a fundamental distinction of Qube’s businesses is the ability to offer customers a comprehensive logistics supply chain solution. This is possible due to Qube’s deliberate decision to develop capabilities across multiple aspects of the supply chain, from the port to the endcustomer for both import and export products. This integrated approach enables Qube to remove inefficiencies in the logistics supply chain and provide a valueadded competitive service to our many customers. +61 2 9080 1900 info@qube.com.au. | www.qube.com.au

DARWIN PORT SUPPLY CHAIN

MARKET SUCCESS

DARWIN PORT’S SAFETY PLAN Darwin Port is responsible for developing, managing, and maintaining the core port infrastructure, providing crucial commercial maritime services, including pilotage, navigation, and the maintenance of the commercial shipping channels of Darwin Harbour.

The Port Safety Plan (PSP) is underpinned by federal and territory legislation and standards, and is reviewed and approved annually by the Northern Territory government’s regional harbourmaster.

The objective of the PSP is to provide a safe working environment by upholding safety standards and promoting the safe and efficient operation of the port.

The PSP applies to all Darwin Port facilities, including the East Arm Wharf, Fort Hill Wharf, and the wider Port of Darwin. It also applies to stakeholders comprising tenants, licensees, and service providers. Other operators are obligated to comply with the PSP.

As Asia has the highest population density in the world, the close proximity of Darwin Port provides a competitive advantage in terms of shipping costs and duration compared to other Australian ports.

“In terms of product, the import of petroleum is the biggest commodity.

The Vopak terminal supplies fuel for the Northern Territory, all imported through our port,” Dummett states.

From an export perspective, bulk minerals are the company’s biggest market, with the majority being shipped to China for use in its steelmaking operations.

Indeed, China was Australia’s leading export partner in 2022, importing approximately USD$103 billion worth of goods.

Live cattle is also a major export, with Indonesia receiving nearly 90 percent of the commodity exported from Darwin.

East Arm Wharf has a rail-mounted bulk minerals ship loader with a maximum loading capacity of 2,000 tonnes per hour. Bulk minerals, such as iron ore and manganese, are transferred from rail wagons to the stockpile areas using a dedicated conveyor.

The Minerals Council of Australia reported that iron ore exports surged

by 20 percent in 2021. Geologically, Australia is an ancient continent with an abundant supply of minerals and a relatively flat terrain, and apart from some coastal regions, it is sparsely populated – both aspects benefit exploration and mine development.

As an island country, Australia has 17 nationally significant ports, selected based on ship call, throughput, and international sea trade values. The country mostly imports containerised cargo and exports bulk cargo. Darwin Port is the only multi-user and multi-commodity port in the Northern Territory.

SUSTAINABLE PORT OPERATIONS Darwin Port takes environmental sustainability seriously and undertakes a series of measures to protect the harbour’s marine flora and fauna. There are 36 species of mangroves and diverse marine life characterising Darwin Harbour.

Darwin Port has not needed to develop any mangrove areas since the construction of East Arm Wharf in excess of two decades ago.

“We continue to maintain a number of measures to improve environmental sustainability, and are currently developing a sustainability strategy to make further

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DARWIN PORT SUPPLY CHAIN

improvements for the future within Darwin Port facilities,” Dummett points out.

One area, known as Pond D, is 12 hectares (ha) in size and is protected from development and other activities that would be detrimental to migratory birds. The endangered

PORT OF DARWIN FACTS • The port was first used for modern commerce in 1869.

• The main commercial facility is East Arm Wharf, with a quay line of 800m.

• Fort Hill Wharf is chiefly used as a terminal for cruise ships and visiting defence vessels.

• The city of Darwin is nearer to the capitals of five countries than it is to Australia’s capital city, Canberra. As a fundamental access point for all flows of trade from the north, the port is also seen as a key facility for servicing offshore oil and gas production.

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Eastern Curlew, Whimbrel, and Great Knot are some of the migratory species that frequent it, particularly during the wet season.

Darwin Port does not have any waste or wastewater discharges to the harbour, as all waste is removed from the site by contractors and the sewerage system. Furthermore, stormwater from large areas of the wharf passes through sedimentation ponds prior to entry to the harbour.

“We have participated in the Darwin Harbour Clean Up since it started 13 years ago. 2023’s endeavour, coordinated by Larrakia Nation rangers, saw Darwin Port participants collect about 135 kilogrammes (kg) of rubbish from the beach and mangroves of the Wickham Point area,” he divulges.

These initiatives are part of a multi-faceted approach, including the Port Environmental Protection Plan.

Through this, Darwin Port regulates the speed of commercial vessels to minimise the risk of vessel strikes on marine fauna such as dolphins, dugongs, and turtles. The speed limits vary depending on the pilotage area of the harbour.

However, the port’s shipping channels do not require annual or frequent maintenance dredging, and the last project of that scale occurred during 2016.

“Our operations are ISO14001 Environmental Management Systems certified by an independent auditor.

Furthermore, we are currently developing a comprehensive sustainability programme, which will better coordinate our existing activities and bring in new sustainability measures to be implemented,” outlines Dummett.

NATURAL MARINE ENVIRONMENT Growing in fine sediments, mangrove forests line the tidal boundaries and cover more than 26,000 ha.

Three species of dolphin – the Australian snubfin, the Australian humpback, and the Indo-Pacific bottlenose – are commonly encountered within the Darwin Harbour region. These majestic marine mammals are seen alongside dugongs and six species of sea turtles, including flatback and olive ridley turtles.

DARWIN PORT SUPPLY CHAIN

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Celebrating over 50 years servicing the Northern Territory, CTB takes pride in its enduring relationship with Darwin Ports, working seamlessly to cater for the diverse needs of our stakeholders.

Tell us your story and we’ll tell the world

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“ W E C O N T I N U E T O M A I N TA I N A N U M B E R O F M E A S U R E S T O I M P R O V E E N V I R O N M E N TA L S U S TA I N A B I L I T Y, A N D A R E C U R R E N T LY D E V E L O P I N G A S U S TA I N A B I L I T Y S T R AT E G Y T O M A K E F U RT H E R I M P R OV E M E N TS FO R T H E F U T U R E W I T H I N D A R W I N P O R T FA C I L I T I E S ” – P E T E R D U M M E T T, C E O , D A R W I N P O R T

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The saltwater crocodile also inhabits the harbour, though it is actively removed from it as part of a crocodile management programme managed by the Northern Territory government.

Additionally, Darwin Harbour supports endemic and migratory birds, such as the snipe, godwit, curlew, and sandpiper species. Many shorebirds that visit the mudflats are migratory species protected by the Japan-Australia Migratory Bird Agreement (JAMBA) and the ChinaAustralia Migratory Bird Agreement (CAMBA).

Darwin Port manages marine oil spills in Darwin Harbour in accordance with the Darwin Port Oil Spill Contingency Plan. Furthermore, the Northern Territory government has its own contingency plan across the area.

Regarding environmental monitoring, Darwin Port conducts a sample and analysis programme to check the health of the facilities and their surroundings. Early detection of emerging issues will enable action to be taken, minimising environmental impact.

The physical, chemical, and biological properties that are monitored include water, marine sediment, air quality, noise, trade waste, energy consumption, and greenhouse gas (GHG) emissions.

connected inland areas to coastal ports, facilitating trade.

In the 20th century, containerisation revolutionised cargo handling, and many Australian ports adapted to this new system. Major hubs like Port Botany in Sydney and the Port of Melbourne expanded their facilities to accommodate larger vessels and increased trade volumes.

Historically, Australian ports have played a pivotal role in the nation’s economic development, facilitating imports, exports, and domestic transportation. Today, they continue to be vital to Australia’s trade and connectivity with the global economy.

The Darwin Port team takes great pride in delivering a comprehensive portfolio of maintenance and capital projects each year, with as many as 50 discrete projects completed annually in addition to its routine activities.

“Our focus, as always, is on ensuring this portfolio is delivered safely without harming our team, contractors, or stakeholders. We also take pride in ensuring all our work is delivered at the highest possible quality, environmental, and sustainability standards,” finishes Dummett.

A recent goal that Darwin Port achieved, working with its stakeholders, was the first load out of spodumene ore from the port.

PAST, PRESENT, AND FUTURE Australian ports have a rich history dating back to the early days of European settlement.

The first significant ports were established in Sydney, Melbourne, and Hobart during the late 18th and early 19th centuries. These ports served as crucial gateways for the transportation of goods and people.

During the gold rush in the mid-19th century, ports such as Melbourne and Sydney experienced a surge in maritime activity as immigrants arrived seeking their fortune. The development of rail networks further

Tel: 1300 327 946 darwinport@darwinport.com.au

www.darwinport.com.au

APAC Outlook Issue 66 | 17

DARWIN PORT 880 Berrimah Road, East Arm Northern Territory, 0822 Australia Tel: 1300 327 946 darwinport@darwinport.com.au www.darwinport.com.au

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