The Nolan’s Bore neodymium and praseodymium open-cut mine with complex on-site processing 130kms north of Mparntwe Alice Springs has been designated as the Northern Territory’s first Significant Project under section 23 of the extreme and far-reaching Territory Coordinator Act 2025.
The $1.6 Billion rare earth mine is receiving significant Federal Government subsidisation. The mine is receiving nearly $850 million in Federal Government funding and loans, including $150 million in equity via Export Finance Australia, $200 million via the National Reconstruction Fund, and $495 million in loans from the Australian Government. The project has been in the news and spotlighted as part of the $13 Billion Trump-Albanese Critical Minerals deal announced in October 2025, and the Federal Government’s $1.2 Billion Critical Minerals Strategic Reserve. The $1.6 billion rare earth mine is also backed by Gina Rinehart, Australia’s wealthiest person who owns a 17.5 percent stake in the company Arafura Rare Earths. The mine aims to produce 4-5 percent of global rare earth demand.
ALEC is concerned and closely scrutinising the decision to designate Arafura Rare Earths mine as the first “Significant Project” in the Northern Territory under the extreme Territory Coordinator Act.
Alex Vaughan, Policy and Advocacy Coordinator, Arid Lands Environment Centre
“The Chief Minister is saying that this is the largest mining investment in NT history and the Australian Government is strongly supporting this project. As such this mine should be scrutinised fully and rigorously, and the far-reaching and discretionary powers to alter project approvals must be ruled out from Day 1.”
“This is a large-scale open-cut mine with complex on-site processing with significant proposed impacts to the local environment, using 4.8 billion litres of water annually. This subsidised mine must be fully scrutinised, and no corners cut regarding compliance, monitoring and assessment.”
“ALEC calls on the Northern Territory Government to rule out the use of condition variation notice under the extreme Territory Coordination Act, so as no existing approvals currently held by Arafura Rare Earth mine are altered without rigorous scrutiny and assessment, including via the application of long-standing community, cultural and environmental safeguards.”
“ALEC maintains our significant issues with this legislation and the huge concentration of power with the Chief Minister and Territory Coordinator leave the NT vulnerable to state capture, mismanagement and corruption.
“Ruling out the application of conditions variation notice, and future exemption and step-in powers would alleviate some of the widespread community concern.”