South Australia finds itself in a difficult situation regarding a $32 million golf course renovation project following news that Saudi Arabia will discontinue funding for LIV Golf after the 2026 season.
The Saudi Public Investment Fund, which has invested over $5 billion in the breakaway golf tour since it began in 2022, announced Thursday that financial backing will cease at the end of 2026, forcing LIV officials to search for alternative funding sources.
The Australian state has already begun construction on transforming the North Adelaide Golf Course with a design by Greg Norman, intending to host the LIV tournament there starting in 2028.
Environmental activists have organized protests against the development, which requires cutting down nearly 600 trees. Demonstrators held a “vigil” at the golf course this week to oppose the tree removal.
State lawmaker Robert Simms, who opposes the renovation, criticized the government’s commitment to the project. “The government only ever committed to this project on the basis that it was going to be supposedly the jewel in the crown for LIV Golf,” Simms stated.
However, Premier Peter Malinauskas, South Australia’s top elected official, stood by the decision to move forward with the project, which received approval more than a year ago.
“Well look, LIV hasn’t been cancelled so I think … we’d be putting the cart before the horse if we just, sort of, decided to cancel the golf course when LIV very much intend to be here into the future,” Malinauskas said during a Friday interview with ABC Radio Adelaide. “Now, let’s wait and see how that plays out.”
Despite criticism from traditional golf fans who dislike LIV’s team-oriented format and entertainment focus, the Adelaide tournament has achieved remarkable success since its 2023 debut in a nation that typically struggles to attract top golf talent.
The February event at The Grange Golf Club drew more than 115,000 spectators, with Saturday’s attendance of 38,500 setting a new record for the largest single-day crowd in LIV Golf history.
The tournament has earned recognition as the World’s Best Golf Event for three consecutive years from the World Golf Awards, an industry organization focused on golf tourism.
State officials consider the event a cornerstone of the Labor government’s major events strategy, claiming the tournaments from 2023-2025 generated approximately $217 million for South Australia’s economy.
Malinauskas revealed that LIV Golf CEO Scott O’Neil has provided guarantees that the Adelaide event will proceed as scheduled.
“As far as South Australia’s concerned, particularly given the unqualified success this event has been economically for our state, that’s a good thing,” the Premier explained. “Having said that, I’m not naive to the fact that these reports have been going on for a good, you know, almost a fortnight and it’s something we continue to monitor very closely.”
While major American and European tours have prohibited LIV participants from competing in their events, Australia’s smaller professional tour has welcomed these players and benefited from the attention they generate.
The all-Australian Ripper GC team, led by captain Cameron Smith, claimed the team championship in Adelaide this February, thrilling local fans and golf administrators.
“Not only are they great golfers, they’re great ambassadors for Australia,” said James Sutherland, CEO of Golf Australia. “They not only play here on the local tour but push their mates on the LIV tour to come down as well.”
