US vice president Mike Pence has announced America will partner with Australia and Papua New Guinea to develop the Lombrum naval base on Manus Island, amid rising anxiety about China's power in the region.
Vice president Pence used the APEC summit in Port Moresby over the weekend to confirm the US would also support the naval facility on Manus Island, which has a strategically vital position overlooking key trade routes.
Defence Minister Christopher Pyne says Australian vessels would be based permanently at Lombrum under the deal.