The development of a rare earths processing complex in Whyalla will supply about 10 per cent of the world's demand for rare earth elements.
The plant will process about 20,000 tonnes a year when it begins production in 2013.
Rare earths are chemical elements used in high-end technology products such as iPods and touch screens and are extremely valuable with prices as high as $60 a kilogram.
Whyalla's rare earths plant is expected to generate $1 billion in annual revenue for about 20 years throughout production.
Minerals processed in the plant will be mined in the Northern Territory.
Arafura Resources' Nolans Project is underpinned by the Nolans Bore phosphate, hosted rare earths deposit which has sufficient resources to support mining and chemical processing operations for at least 20 years.
Nolans Bore is located 135 kilometres north-north-west of Alice Springs in the Northern Territory.
Arafura Resources' Nolans Bore deposit contains about 848,000 tonnes of rare earths.
About 700,000 tonnes of mineral concentrate, rich in rare earths and phosphate minerals will arrive at the Whyalla complex each year by rail from the Nolans Bore mine.
Mineral concentrate from the Nolans Bore mine will be transported in purpose-built containers along the Darwin-Adelaide rail line for chemical treatment at Whyalla's processing plant.
The mineral concentrate will be transported via a purpose-built private road about 65 kilometres from the Nolans Bore mine to a transfer station at a siding on the main Darwin to Adelaide railway line.
Arafura Resources is currently planning to return thorium-containing process residues to the Nolans Bore mine for long-term secure storage, however, Arafura plans to investigate alternative storage facilities closer to the Whyalla complex and benign process wastes will be stored on site.
Chemical reagents, such as caustic soda, lime and magnesia will arrive by rail or road.
Upgrades to railways parallel to the Lincoln Highway will be conducted, with new sidings being built to accommodate for increased usage.
The Whyalla rare earths complex will contain a series of chemical plants and a processing plant where chemicals such as hydrochloric acid and sulphuric acid will leach out the rare earths, phosphate and uranium.
Arafura will produce rare earth oxides at the Whyalla complex, which will be in the form of crystalline white or primarily white/pale coloured powders which are safe to handle and store.
World demand for rare earths is about 110,000 tonnes a year, mostly from China.
The market is growing about 10 per cent each year, while Arafura expects to produce 20,000 tonnes of rare earth oxides a year after production begins in 2013.
Arafura Resources will be holding a display in the Westland Shopping Centre today to provide members of the public with more information.
The display will be held between 9am and 4pm.
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