Premier Colin Barnett has denied the state government has walked away from a deal with building magnate Len Buckeridge to speed the development of a private port at Kwinana.
Mr Buckeridge wants to build a bulk container facility and a separate container port.
Ten years ago a consortium signed a deal with the then Court government to allow it to develop the port on LandCorp land.
Today, Mr Barnett said that the bulk products port and the container facility were being treated as separate proposals.
"What I said to Len Buckeridge is that the government will treat those two proposals as separate and distinct proposals," Mr Barnett said.
"He cannot link one to the other."
Mr Barnett said the bulk products port is a realistic proposal and the state government has been negotiating with Mr Buckeridge on the sale of the land.
"Now we have a view that he probably wants more land than he needs and we also have a disagreement about price," he said.
"Those negotiations have been going on, and, if he is willing to pay a fair price for very valuable industrial land he can proceed with this project."
He said a bulk port has a lot of merit.
"It could handle some products, agriculture and mining both exported and imported," the Premier said.
"And of course the government has been insistent that the live sheep trade and cattle trade go out through that facility as well, rather than through the inner harbour."
Mr Barnett said he would not be influenced by the fact Mr Buckeridge is a significant donor to the Liberal party.
