Cargill's $500m Canola Plant to Boost WA's Biofuel & Export Future
US Giant Cargill Plans $500m WA Canola Oil Plant

American agricultural powerhouse Cargill has unveiled ambitious plans to construct a massive $500 million canola oil processing facility in East Rockingham, a move set to significantly boost Western Australia's value-adding capabilities.

A Major Boost for WA's Canola Industry

The proposed plant, codenamed Project "Crux", represents a major vote of confidence in the state's agricultural sector. Western Australian farmers produce over 2 million tonnes of canola each year, an industry valued at more than $1 billion annually. Currently, the vast majority of this crop is shipped overseas in its raw form to markets in Europe, Japan, and the Middle East.

Cargill's new factory aims to change that dynamic by processing the oilseed locally. "Local canola production continues to increase and with an insignificant domestic crush market, there is an abundant and increasing exportable surplus," stated the project's proposal, prepared by engineering firm Ramboll.

Site Details and Biofuel Ambitions

The facility will be built on Patterson Road in East Rockingham, strategically located next to the CBH Group's existing grain export terminal. The two parties are in discussions about leveraging the cooperative's established supply chain.

Once operational, the plant is designed to produce a substantial 3,000 tonnes of vegetable oil daily and will create approximately 60 permanent jobs. In a significant development for the state's energy transition, Cargill is also in talks with oil supermajor BP to supply canola oil to the proposed – though currently stalled – biofuels plant in Kwinana. This biofuel would ultimately be used to produce sustainable aviation fuel.

Approval Process and Government Support

The project will require approval from the State's outer metro development assessment panel. The City of Rockingham opened the proposal for public comment on Tuesday, 13 January 2026.

The development has already received strong political backing. Premier Roger Cook announced in 2024 that the State Government was in negotiations with Cargill, labelling the factory "a hugely exciting project" for Western Australia. Finalising the project will also require a new power connection and a road extension into the site.

The move by Cargill comes as other major players eye similar opportunities. East coast grain handler Graincorp has also reportedly considered building a plant worth at least $500 million on the Kwinana industrial strip.