A breeding ground for a rare and little-known marsupial will triple in size after a funding boost from the federal and ACT governments.
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Mulligans Flat Sanctuary, north-east of Canberra, will be extended to create more than 1200 hectares of predator-free woodland, federal environment minister Josh Frydenberg and ACT environment minister Mick Gentleman announced on World Environment Day.
About $900,000 will be set aside in Tuesday's ACT budget to fund the expansion of the sanctuary.
The federal government will contribute about $600,000 to the project while the Woodlands and Wetland Trust will put up the remaining $300,000.
It is understood money to build a new visitors centre on-site will also be announced this week.
The site is home to several native species vulnerable to feral cats and foxes, including the near-threatened eastern bettongs.
About 30 bettongs were re-introduced to the ACT in 2012 from Tasmania after more than a century of extinction on the Australian mainland.
They were once common in the territory, with locals "unable to plant potatoes because they'd bounce around and dig them up", Mulligans Flat ecologist Dr Kate Grarock said.
Now more than 300 of the tiny, kangaroo-like marsupials bounce around behind the predator-proof fence.
"They're breeding like rabbits," ACT Parks and Conservation Service director Daniel Iglesias said.
"That's not by accident, that's because of a lot of careful planning and preparation. A huge amount of reintroductions fail, over 60 per cent, because it's so hard to bring native animals back into a place where they've gone extinct."
Threatened species commissioner Gregory Andrews said the fenced-off populations were an "insurance policy for the species".
"They're like Noah's Ark. They're arks to help us get to the long-term goal of a feral cat and fox free Australia," he said.
Nine other fenced-off areas like Mulligans are under construction on the Australian mainland to give native populations a chance to recover, Mr Andrews said.
Under the expansion, the woodland sanctuary's fenceline will be extended to the doorstep of the new Canberra suburb of Throsby.
Throsby will be a cat containment suburb, where owners can be fined up to $1500 if their cat is found roaming outside.
Mr Frydenberg expressed support for more cat containment areas across Australia.
Mr Andrews said the federal government had a target to cull two million feral cats by 2020 and eradicate feral cats from five islands.
However Mr Andrews said the threat of climate change also loomed large for Australian natives.
"By tackling feral cats, foxes and fire particularly and by reconnecting habitat and rebuilding habitat, we give our species the best chance to adapt to the climate change we can't avoid," Mr Andrews said.
But Mr Frydenberg doubled-down on his rejection of an emissions intensity scheme, which the new head of the Australian Energy Market Commission last week endorsed as the most effective policy for cutting greenhouse gas emissions.
Mr Frydenberg also resisted backing a low-emissions target plan, set to be revealed in Chief Scientist Alan Finkel's review of the National Electricity Market on Friday, instead opting to wait and see.
And he reiterated his support for what would be the largest coal mine in the country -Adani's Carmichael Mine in Queensland - which is staunchly opposed by environmental groups.
