AUSTRALIAN Defence says it is continuing to work with the Territory government over the sale of the former Naval Fuel Installation at Stokes Hill.

Defence said the 3.9ha Frances Bay Drive site was surplus to its requirements and was selling the former navy bulk fuel storage facility for the Royal Australian Navy Operations. The site has been identified as part of the Darwin City Deal and is approximately 500m from the Darwin central business district.

The Northern Territory government has expressed interest in an off-market sale of the fuel tank site, subject to completion of necessary due diligence activities.

A time frame for the site’s sale has not been set.

Defence said it was working with the government to progress due diligence activities at the site, which include environmental and historic heritage and Indigenous assessments.

The site is contaminated as a result of its historical activities as a former naval fuel installation. A specialist environmental assessment is determining the extent of site contamination. Defence said it is sharing the cost of these investigations with the government.

“Consistent with the Australian government’s commitment in the Darwin City Deal, the Department of Defence is working with the Northern Territory government to facilitate unlocking the potential of the former Naval Fuel Installation at Stokes Hill, while preserving its significance for the Larrakia people,” a Defence spokesman said.

“Defence is working with the Northern Territory government and the Larrakia people to progress due diligence investigations for the Stokes Hill site.

“Subject to outcomes of the due diligence process, the Northern Territory government will develop a masterplan for the Stokes Hill site, in consultation with Defence, City Deal partners and the Larrakia people. The masterplan will take into account the cultural significance of the site to the Larrakia people, historic heritage values, environmental management and opportunities to further activate the foreshore.

“Defence will develop a divestment strategy that seeks to realise the outcomes of the masterplan when those outcomes are known.”

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