Australia Opens New PNG Naval Base Amid $300 Million Cost Blowout
Udumbara
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Australian taxpayers have footed a $500 million redevelopment bill for Papua New Guinea’s (PNG) Lombrum Naval Base—over double the $175 million price tag initially announced by the previous Liberal-National government in 2018.
Labor’s Defence Minister Richard Marles confirmed the blowout during a rain-soaked opening ceremony on Manus Island alongside PNG Prime Minister James Marape.
The expansion, now officially His Majesty’s Papua New Guinea Naval Base (HMPNGS) Tarangau sits north of mainland PNG and is the largest security infrastructure project Australia has delivered in the region
The project’s inflated cost was partly due to the elongated delivery timeline.
“There have been a number of factors which have led to the cost, and part of that is the time that has been taken to deliver the project,” Marles told the ABC.
He cited COVID-19 disruptions and landowner disputes as key causes for the delay.
“But ultimately we’re really pleased with what has been delivered—at $500 million this is the biggest infrastructure project that Australia has ever undertaken in the Pacific,” he added. The redeveloped base includes new working and living accommodation for the PNG Defence Force (PNGDF) and a medical centre for the base and surrounding community.
A government statement says the facility will significantly expand PNG’s sovereign defence capabilities and allow greater cooperation with Australia through joint training exercises.
12 Armoured Vehicles for PNG
Marles also handed over 12 up-armoured LandCruisers to the PNGDF.
Worth $3 million and built specifically for PNG’s needs, the lightweight vehicles are designed to operate across challenging terrain and respond quickly to domestic security threats.
The diplomatic ceremony follows the conclusion of large-scale Exercise Talisman Sabre 2025, which, for the first time, included activities in PNG—a move the Defence Department says reflects growing interoperability between the two militaries.
Canberra and Port Moresby are also finalising a bilateral defence treaty, due to be signed in coming weeks, which will formalise joint operational planning and training arrangements.
Treaty Talks and Defence Integration
Marles is also scheduled to meet PNG Prime Minister James Marape and Deputy Prime Minister John Rosso to discuss the growing integration between both countries’ militariesLast year Marles announced relaxed eligibility rules that could allow PNG nationals to join the ADF with mooted ideas to allow permanent residents who have lived in Australia for at least 12 months to enlist, including priority selection paths for British, Canadian, New Zealand, and American citizens.
The next stop for Marles will be Vanuatu with Foreign Affairs Minister Penny Wong and Pacific Island Affairs Minister Pat Conroy.
The delegation will meet Prime Minister Jotham Napat and senior ministers before heading to his home island, Tanna, for further talks on the Nakamal Agreement—a development pact covering infrastructure planning, economic cooperation, and climate resilience.
In parallel, Senator Wong will head to Fiji for a Pacific Islands Forum foreign ministers’ meeting, where she is expected to push for greater regional unity amid increasing concerns of Chinese Communist Party influence.
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