Western Australian Premier and FLNG critic Colin Barnett had wanted James Price Point to be at least considered for a potential supply base, and importantly, his government had already bought more than 3000 hectares of land at this Kimberley coastal area from indigenous landowners by late 2013.
In March Barnett named "the location of a supply base in the Kimberley" as a key issue he had brought up with the Browse JV.
He has also given this JV an ultimatum that renewing the leases and eventually developing the asset would depend on whether they committed to a local supply base and domestic gas supply.
However, the JV has no plans for using a new supply base in the Kimberley which was confirmed when Woodside released the supplement to the draft environmental impact statement for Browse this week.
The 51-page document does not mention James Price Point once and said it the JV was considering supply chain and logistics support locations that have "existing supply chain services and infrastructure capability".
The potential supply chain and logistic support locations that are being considered were listed as the ports of Fremantle, Dampier and Broome, the airports of Karratha, Derby and Broome plus the Broome International Airport managed Djarindjin/Lombadina Airbase.
Barnett has declined to comment on this setback to his supply base hopes according to The West Australian.
Opposition Leader Mark McGowan scored some easy points as he called James Price Point development a missed opportunity.
"The James Price Point fiasco will for ever stand as a symbol of the cost of Colin Barnett's heavy-handed interventionism in the market," he reportedly said.
"This sad episode represents one of the Liberal Government's biggest missed opportunities. By his actions, Mr Barnett divided Broome, divided the local Aboriginal community, cost taxpayers tens of millions of dollars and lost the project - all for nothing."
Barnett's government has already held inquiries into economic and safety issues with FLNG development.