The federal and Northern Territory governments are progressing significant upgrades to Central Arnhem Road.
On Monday it was announced a tender has been awarded to fully upgrade and seal a 14km section, improving access for remote communities and strengthening critical road infrastructure.
The Central Arnhem Road is a 645km highway connecting the regional centre of Nhulunbuy to the Stuart Highway. It services many Aboriginal communities and forms a key tourism drive and freight route for the mining and pastoral industries.
The works will upgrade the existing narrow seal to a two-lane seal, extending from the Manyallaluk turnoff to the Barunga power station.
A $21 million contract was awarded to Allan King and Sons to deliver the works, with construction expected to begin in September 2026 and complete by December 2027.
The program aims to deliver safer and more reliable journeys by reconstructing and widening narrow sections along the Central Arnhem Road to a dual-lane seal.
25km of works have already completed and another 18km is currently under construction. Further packages are currently in the design process.
The works carried out by Allan King and Sons will include:
• Upgrading, reconstructing and widening the road to a two-lane seal
• Construction of flood immunity improvements to ensure year-round access
• Upgrades to drainage, bridges and culverts
• Realignment of key road sections to improve safety for motorists.
The 14km section forms part of the $350 million Central Arnhem Road Upgrade program, jointly funded by the Australian and Northern Territory governments, with the Australian Government contributing $280 million and the NT Government contributing $70 million.
Federal Minister for Indigenous Australians, Malarndirri McCarthy, said upgrading the Central Arnhem Road will help improve safety and reliability for remote communities and Territorians.
"For many Aboriginal communities, this road is an important connection to essential services, education, employment and family," the Senator for the Northern Territory said.
"This investment will help deliver stronger infrastructure and more reliable year-round access, while supporting the communities and industries that rely on the Central Arnhem Road."
NT Minister for Logistics and Infrastructure Bill Yan noted that the Central Arnhem Road is one of the Territory's most important transport corridors, connecting remote communities, supporting major industries and providing a vital link between Nhulunbuy and the Stuart Highway.
"This significant investment will deliver safer, stronger and more reliable access while helping unlock economic opportunities across mining, pastoral, tourism and local businesses," he said.
"The upgrades will deliver a wider, stronger and more flood-resilient road, with improved drainage, culverts and floodways helping to reduce wet season closures and improve seasonal reliability."
Federal member for Lingiari, Marion Scrymgour, said the Albanese government is committed to improving road infrastructure right across the Territory.
"The sealing of this section of the Central Arnhem Road will bring more economic opportunities to our regions while also making it easier for Territorians to visit family and access services," she said.
"Delivering for the bush is a key priority of mine and I'll keep fighting in Canberra to deliver for remote Territorians."
Federal Infrastructure, Transport, Regional Development and Local Government Minister Catherine King said the upgrades will improve the transport network by "increasing accessibility to remote communities, enhancing road safety and increasing flood immunity".