On 9 June, 1989, the Environmental Protection Authority received a referral from the Department of Mines of a mining lease application (MLA 70/473) by Magic Soil Ply Ltd. The mining lease application is to supersede a prospecting licence application (PLA 70/807) over the same area and is for a proposal to mine diatomaceous earth from the north·western corner of the lake bed.
The referral was held pending clarification of the Government's Policy on Exploration and Mining in Conservation Reserves. It was advertised on 1 July 1989 and a formal assessment at a level of Notice of Intent was set under Part IV of the Environmental Protection Act 1986. An inspection of the area was made in conjunction with a representative of the Department of Mines and a meeting was held with the proponent to discuss the guidelines, again in conjunction with the Department of Mines.
The Notice of Intent was submitted on 18 September 1989.