The Northern Australia Infrastructure Facility (NAIF) has announced it will investigate its support for the Thunderbird mineral sands project in Western Australia's Kimberley region, after the joint venture behind the mine decided to export through Broome instead of upgrading the Port of Derby as originally planned.
NAIF provided a $95 million loan to Australian company Sheffield Resources in 2018 for the project, which was intended to fund roads, a power plant, and revitalise the Port of Derby. However, in 2020, Sheffield formed a 50:50 joint venture with Chinese steel producer Yansteel, creating Kimberley Mineral Sands (KMS), which now plans to export all titanium dioxide and zircon through Broome.
KMS CEO Stuart Pether said NAIF remains supportive of the project and is conducting due diligence on changes to the mining plan. The ABC understands KMS is seeking to increase the NAIF loan to $200 million. NAIF declined to answer specific questions but stated it is investigating what the change means for its support.
Federal member for the Kimberley Melissa Price expressed disappointment that Derby may miss out on port upgrades but called it a commercial decision. Shire President Geoff Haerewa said the council will listen to KMS's presentation this week before deciding how to proceed, while advocating to keep the original plan.
