NSW: Gateway to the Hunter

Port of Newcastle is investing in the region with plans for greater container capacity and renewable energy generation, while continuing to support traditional markets

PORT of Newcastle achieved throughput of 158.5 million revenue tonnes in the last reporting year, including coal, grains, mineral concentrates, fuels, alumina, steel, ammonia and petroleum coke.

Export of wheat decreased from 1.78 million tonnes in 2023 to 594,220 tonnes in 2024, due to a smaller harvest and greater domestic consumption.

“This year’s diversified trade volumes are tracking well, with grain tracking soundly against the historical average volume from previous years,” said PON chief Craig Carmody.

The port recently received 2500 passenger vehicles and other heavy equipment, an important development in its diversification strategy.

“Vehicle imports is one of PON's three strategic focus areas, along with a container terminal and clean energy precinct, with the capacity, availability, and potential for growth to accommodate industry needs,” said Mr Carmody.

“We have been importing high and heavy – such as rail wagons, locomotives, and excavators – for many years, which is complemented by our superior access to the national road and rail networks.

“This unique access will deliver the same benefits to the broader automotive industry,” he said.

Container movement

Mr Carmody said the port is on track to play a more diversified and prominent role in the state’s container movements.

He said this is enabled by the port’s fulfillment of all requirements under the Port of Newcastle Extinguishment of Liability Act (2022) in 2024, and the soon to be finalised NSW freight reforms.

“This is a win not only for PON, but for our customers, stakeholders, and our community, who were instrumental in helping to achieve this great milestone for our region, a promise 25 years in the making,” said Mr Carmody.

The port will expand its existing Multipurpose Terminal, which it believes will introduce competition, and drive innovation and efficiency across the NSW port system.

“PON’s natural advantages and strategic location allows us to offer a compelling alternative for importers and exporters within our catchment,” said Mr Carmody.

“The port is currently operating at around 50% capacity, and our deep-water channel can accommodate many of the large container vessels, providing efficient access to global shipping routes.”

PON has more than 90 hectares of available portside land allocated for the development of a container terminal, offering efficient road and rail access to the growing Western Sydney market for containers.

Other cargo

Increasing agricultural exports, like cotton and grain, is also a central focus of the port.

“Our connection to the rail network gives us a unique connection with the state’s producers of these commodities, particularly in the Western, New England and North-West of NSW,” said Mr Carmody.

“As the Hunter's global gateway, we play a key role in the import of specialised cargo for regional and state-significant projects.”

The CEP will connect renewable projects, production facilities, and the port’s deep water channel to help power Australia’s shift to clean energy.

Craig Carmody, Port of Newcastle

This includes supporting NSW’s renewable energy targets through the importation of wind farm components, battery electric storage systems, and supporting infrastructure components, such as transformers.

“Working alongside stevedores, freight forwarders, and transporters, our team has expertise in moving a range of heavy and specialised project cargo,” said Mr Carmody.

“Our Multipurpose Terminal has 16 hectares of adjacent storage space and is easily accessible via the national road and rail networks, giving importers and exporters an efficient and cost-effective option to get their goods moving.”

PON believes it has the balance right, in supporting traditional industries and developing new opportunities that will provide sustainable economic growth.

Clean energy powerhouse

PON says its Clean Energy Precinct makes it the most advanced port in Australia in clean energy production.

It is the only port currently at the stage of front end engineering design (FEED) and environmental impact statement (IES) stage, which are being undertaken by Lumea, coNEXA and GHD.

The CEP will support the generation of around 1.6 gigawatts in renewable energy, facilitating the production and export of more than 660,000 tonnes of clean ammonia per annum from 2030 onwards.

Along with the FEED and IES, the CEP project will deliver long lead time items that are critical to determining the capacity of the precinct and key commercial drivers for the project.

“The CEP is being design as a common user facility where three proponents can, in a staged manner, develop the hydrogen and ammonia production, storage, and export through pipelines to the berth,” said Mr Carmody.

Three of NSW’s top five energy users are located near the CEP, which has access to the Hunter’s gateway projects and the State’s Renewable Energy Zones.

“The CEP will connect renewable projects, production facilities, and the port’s deep water channel to help power Australia’s shift to clean energy,” said Mr Carmody.

“The CEP is forecast to add more than $4.2 billion to the gross regional product in the Hunter region and position Newcastle and the Hunter region as a global clean energy leader by 2040.”

The project has 29 domestic and global partnerships representing key industry support across the clean energy spectrum from production, bunkering and supply.

“Most recently, we signed an agreement with Mitsubishi Heavy Industries, enabling PON to draw upon their knowledge and technical expertise into the production, storage and distribution of hydrogen and ammonia,” said Mr Carmody.

“Being able to tap into the wealth of expertise MHI possesses is going to be incredibly valuable in informing the future site layout, enablement and design of the CEP.”

Community consultation is well underway, with several community briefings and drop-in sessions taking place already in 2025.

“We are committed to genuine consultation with the local community and other stakeholders about this project, and we’ve already undertaken significant engagement with local community groups, including Traditional Owners, port users, and residents,” said Mr Carmody.

“Continuing the conversation with our community is an important part of this stage of the precinct’s development and for PON generally.”

This article appeared in the April | May 2025 edition of DCN Magazine