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The Federal Government and the NRL are reported to close to agreeing a deal worth up to $600 million to secure a new NRL side based in Papua New Guinea.

Australian Rugby League Commission (ARLC) Chairman Peter V'landys met with Federal Minister for the Pacific Pat Conroy on the sidelines of the NRL's Magic Round in Brisbane late last week to discuss the deal, following which Minister Conroy said the Government and NRL were "aligned on a way forward" for the expansion club.

Despite the complexities involved in launching and maintaining a side in Port Moresby, the Federal Government has been very public in its strong support for a PNG NRL side - proposed by the NRL Bid 25 consortium, established to progress an application for an NRL licence for a PNG based team.

It is understood the project could be worth $600 million in Australian Government funding over 10 years with money not just going to the NRL club, but into related community outreach programs.

Rugby league is considered to be a crucial cultural tie between Australia and Papua New Guinea, and ‘sports diplomacy’ has taken on new importance as China seeks to draw closer to PNG and other Pacific countries.

Considered to be the national sport of Papua New Guinea, the country's love of rugby league has seen PNG Prime Minister James Marape describe the bid for an NRL side as a matter of "justice".

Prime Minister Marape has indicated he wants a decision made before 2025, which marks 50 years of Papua New Guinea's independence from Australia.

Australian Defence Minister Richard Marles said they would like a side in the competition by 2027, noting “it's been a long-held ambition to have a PNG team in the NRL, and we as a government are really committed to that.

"The time frame that we are looking towards is in and around 2027 - it might not specifically be that year, but that gives a sense of the sort of time frame that we're working on.

"But ultimately, this does need to work for the NRL, first of all, it needs to work for the PNG government, and it needs to work for the Australian Government."

PNG already has a side playing in the second-tier Queensland Cup, the PNG Hunters, who are sitting sixth on the ladder in this year's competition.

They play out of the Santos National Football Stadium in Port Moresby, hosting regular home games at the 15,000-seat venue.

However, their time in the competition has not been without occasional complications, including concerns about the safety of players travelling into Port Moresby earlier this year during civil unrest.

Images: Santos National Football Stadium in Port Moresby (top) and the logo of the NRL Bid 25 consortium (below).

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