The NSW Department of Planning and Environment says the sale process for a key parcel of former BHP land at Mayfield is "independent" of container terminal legislation which passed through Parliament last week.
The 52-hectare Intertrade site is on the landward side of Port of Newcastle's proposed container terminal.
The government attracted criticism early this year for putting the land on the market, potentially compromising the port's plans for what is seen as an important economic driver in the Hunter.
The port says the $2.4 billion container terminal has been on hold due to controversial financial penalties if it develops a freight rival to Port Botany and Port Kembla.
Those handcuffs could come off after Parliament passed legislation which will allow the port to compensate the government in return for extinguishing the penalties.
The department said it expected a decision on the successful tenderer for the Intertrade site in early 2023.
"The tender process is independent of any legislative change made to the Port of Newcastle (Extinguishment of Liability) Bill 2022," a spokesperson said.
"Shortlisted proponents have progressed to the request for tender stage."
Committee for the Hunter chief executive Alice Thompson said it seemed "premature" for the state to sell the site without a broader strategy in place for industrial and other activity at the port.
Port of Newcastle's lease area does not include the Intertrade land, but the consortium is keen to use it as a container distribution hub.
The company lodged a submission during the tender process and is waiting to hear if it has been successful.
The government rejected a port offer to lease the former steelworks land in 2019.
Planning Minister Anthony Roberts said early this year that the site could be used for advanced manufacturing, clean technology, energy or the defence industry.
The port said at the time that it could proceed with the terminal without controlling the Intertrade site "but the opportunities to build ancillary businesses around it and make it bigger and more vibrant for the Hunter certainly diminish".
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