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The Australian government will spend at least 10 billion Australian dollars (US$7.4 billion) on building a new base to house a future fleet of nuclear submarines, as Prime Minister Scott Morrison warns the Ukraine war will “inevitably stretch” to the Indo-Pacific.

Morrison will announce the project, the first construction of a major new base in Australia since the 1990s, in a foreign policy speech in Sydney on Monday. The Defence Department has selected three possible east coast locations for the submarine facility — Newcastle and Port Kembla in the state of New South Wales and the Queensland capital of Brisbane.

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