More trips would link Singapore to Australian cities. SilkAir will offer direct trips from Darwin to Singapore four days weekly beginning March 26.

Virgin Australia will also fly from Darwin and Sydney to Singapore daily. The Darwin-Singapore trips are a joint venture between Virgin Australia and SilkAir, which is a subsidiary of Singapore Airlines, under a code-sharing agreement.

Northern Territory Chief Minister Paul Henderson pointed out that Singapore is the most dynamic hub in Asia and the additional SilkAir flights are timed to connect the air carrier to the rest of Asia and the world.

He estimated the four weekly SilkAir flights would add an extra 660 seats a week between Darwin and Singapore and one thousand seats weekly between Singapore and the rest of Australia.

Mr Henderson forecast demand for air services to Darwin would go up as the Inpex gas project pushes through and the number of U.S. troops based in the city increases.

"It brings more competition, and competition always drives down prices," Mr Henderson told ABC.

"We are the capital of northern Australia.... We are a rapidly expanding economy and we are relatively under-serviced in terms of our existing airlines and existing capacity so this is... a big vote of confidence in the Northern Territory," he added.

"Darwin is well known for its mining and tourism industries and we believe our new service will have much to offer to both the business and leisure traveller," said SilkAir Chief Executive Marvin Tan in a statement.

Virgin Australia announced it would open a lounge at Darwin Airport to accommodate eligible guests of the air carrier and flyers from alliance partners.

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