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The origins of Lam brought heavy rainfall and flooding to Far North Queensland. Upon striking Northern Territory, Cyclone Lam produced estimated wind gusts of 230 km/h (145 mph), which knocked down many trees and power lines. The highest observed wind gust was at Cape Wessel on Rimbija Island. The winds were strong enough to cause two anemometers to fail, with peak recordings of on Elcho Island and on Milingimbi Island. Offshore Northern Territory, Lam destroyed several houses along Elcho Island and left residents without water or electricity. In the town of Galiwinku on the island, two-thirds of the houses were affected, with 130 having roof damage, ten seriously damaged, and six destroyed. By a week after the storm, 250 residents were still displaced. However, water and power were restored to Galinwinku by February 25. Damage on Elcho Island estimated to be A$80 million (US$62.5 million). Total damage in the Northern Territory exceeded A$100 million (US$78.1 million).