The South Australian government has announced a significant step forward in the Northern Water project, which proposes building a large-scale desalination plant on Spencer Gulf and linking it to a 600km pipeline to support BHP’s water-intensive copper mining operations at Olympic Dam.
A $200 million pre-feasibility study, funded primarily by the state government and BHP, is still underway, with a final decision expected next year. Officials confirmed that Mallaquana Station, located 20km south of Whyalla, has been identified as the preferred site for the plant after a “multi-criteria” analysis compared it with Cape Hardy on the eastern Eyre Peninsula.
Two consortia WaterConnector and Watermark have been shortlisted to deliver the project. Both have been asked to submit bids detailing design, operation, and maintenance plans.
The government has allocated over $5 billion for the project, with a final investment decision on the bids scheduled for the 2026–27 financial year.
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