A Papua New Guinea-based rugby league team will enter the NRL in 2028 with the backing of a 10-year Australian Rugby League Commission-Australian Government partnership.
Anthony Albanese announced the landmark expansion into the Pacific alongside PNG PM James Marape in Sydney on Thursday.
It comes after two years of planning and backed by an understood $600 million in funding form the Australian Government.
"I'm delighted to announce the Australian Government is supporting a PNG team to join the National Rugby League competition from 2028," Prime Minister Albanese said on Thursday.
"Rugby league is PNG's national sport, and PNG deserves a national team.
The new team will belong to the people of Papua New Guinea. It will call Port Moresby home."
Mr Albanese added the agreement will support diplomatic relationships with Pacific neighbours.
"This partnership that we're announcing today isn't just about Papua New Guinea, it's also about our relationship with the Pacific," he said.
"The partnership will support young people in the Pacific, girls and boys, women and men, to play rugby league with a focus on PNG, but also on Fiji Tonga and Samoa."
The Australian Rugby League (ARL) Commission confirmed the Pacific Rugby League Partnership would support the introduction of the side, set to be the league's 18th or 19th team, pending domestic expansion first, with Perth circled.
Players for the yet unnamed team are understood to benefit from tax incentives, meaning big money is on offer for any relocations to play for the franchise.
It is also understood there are plans for security and accommodation commitments as a hinging aspect to the expansion for players and officials.
PNG Prime Minister Marape said "to embrace a team from Papua New Guinea, is a monumental decision to stand into time as pivotal in the construct of anchoring PNG-Australian relationship, and the Pacific relationship".
He added "in the heart of every foreign relation lies people-to-people relations".
"When we engage with people-to-people, It secures the future of our space, our region and our nations," Mr Marape said.
"It goes both ways. Papua New Guinea is also into time wanting to invest in Australia."
ARL Commission chairman Peter V'landys said the announcement "is an historic step for Rugby League, Australia, PNG and the entire Pacific".
"Rugby League is the number one sport in the Pacific. This new Club will solidify Rugby League's role as the unifying language of our region," Mr V'landys said.
He also said around 50 per cent of funding will go to grassroots football and community programs with Papua New Guinea, with flow to other Pacific Nations.
"The Pacific Rugby League Partnership will help improve school retention, foster national cohesion, and provide opportunities for young people to be their best selves. We know when Rugby League is on the curriculum, kids go to school – and that changes lives," Mr V'landys said.
"Rugby League isn't just sport, it's a social force for good – a way to improve lives and build stronger communities.
"The new PNG team provides the NRL with a new 10 million-plus audience many who will go from being causal fans into engaged fans.
"Just as importantly the pathways investments will provide many new and exciting players to the game."
Anthony Albanese said the partnership will work to correct the economic barriers attributable to the "underrepresentation" of PNG players at the elite level.
"This is the greatest rugby league pipeline potential on Earth, bar none," he said.
"Once you bring in that economic development, junior pathways and opportunity you will have, I have no doubt that PNG, within a very short few years...they will be a powerhouse in the National Rugby League with home grown players."
