Australia’s Northern Territory and federal governments are fast-tracking what could be one of the world's largest prawn farms, by granting it major project status.

If it is approved, the $1.45 billion Project Sea Dragon would expand the country’s prawn production 20-fold, to 100,000 tonnes per year.

The farm sites will be located on Lejeune Station near the Northern Territories (NT) and Western Australia border, with prawn processing undertaken in Kununurra.

The farm, to be operated by Seafarms Group, is expected to employ 1600 people.

Chief Minister Adam Giles said the project is an example of how the NT economy could be diversified as Northern Australia is developed, whilst also bringing industry to remote indigenous communities.

The majority of prawns eaten by Australians come from Thailand, China and Vietnam, but those countries have had difficulties in expanding their industry.

"The Asian models haven't been industrialised and have disease issues, affecting size and biosecurity," said Seafarms Group chairman Ian Trahar.

"At Lejeune we're starting with a clean sheet of paper, it's all about biosecurity and producing much larger animals than we're seeing come out of Asia."

The prawns will be about 35g, or almost double the size of tiger prawns.

The project will see development of a hatchery, feed mill, grow out facilities and harvesting and processing capabilities, along with a specialist biosecurity, shrimp health, diagnostics and s science centre.

Source: 9news.com. Read the full story here.