peninsula extending from the northeastern corner of Arnhem Land, Northern Territory, Australia, into the Arafura Sea. An estimated 200 million tons of bauxite were discovered there in 1952. A consortium began mining operations in 1971 and opened a reduction plant to produce alumina in 1972. The company built the town of Nhulunbuy to house the miners and plant workers. The Peninsula is part of an Aboriginal reserve, and the mining company pays royalties to the Aboriginal Benefits Trust Fund.