Legune Station, in the NT’s Kimberley region, where Seafarm will build a 10,000ha aquaculture farm

ONE of the world’s largest integrated land-based prawn farms is a step closer to construction following the completion of a novation of an option to acquire the surrounding 280,000ha cattle property in the Northern Territory.

Seafarms Group Limited has successfully novated the option to purchase Legune Station to the AAM Investment Group, an Australian owned agricultural investment and asset manager with a portfolio of diversified investments throughout the country including saleyards and property assets.

Seafarms, a leading aquaculture producer, had held an option to buy the property for a period of time – during which it received all required approvals to commence development of Project Sea Dragon – one of the world’s largest integrated land-based prawn farms.

Spanning 178,870ha in the east Kimberley region of the Northern Territory, Legune was transacted through CBRE Agribusiness on a walk-in, walk-out basis, including the associated licence area providing an additional 106,400ha. AAM Investment Group is an agricultural operational specialist and as such will continue to run Legune’s large-scale cattle operation and invest further in property improvements to improve production capacity.

CBRE’s Geoff Warriner and Chris Holgar handled the deal.

“The Legune transaction was an immensely complex transaction and marks the first of a series of acquisitions by AAM Investment Group in Northern Territory,” Mr Warriner said.

“The sheer size of Project Sea Dragon and the benefits it will deliver to the local communities means it has achieved Major Project status by the Northern Territory, Western Australian and Australian Governments and once developed will provide an exciting new industry for Northern Australia,” he said.

The finalisation of the novation transaction provided Seafarms with long-term land tenure security for a period of 90 years to develop the project whilst also providing increased capital efficiency. In a major landuse change for the region, Seafarm will develop a 10,000ha portion of land on Legune along the Kimberley coast for the aquaculture project. Earthworks has already commenced on the site.

Beef Central reported on the original sale of Legune, widely reported as being around $62 million, in this earlier article.

The Legune transaction marks the first of a series of acquisitions by AAM Investment Group in Northern Territory.