The Grant District Council in south-east South Australia will be asked to consider a proposal for a multi-million wood pellet mill for the region.
The proposed plant would use forestry residue to make compressed wood pellets that can be burnt to create electricity in Europe.
The company behind the project, Plantation Energy Australia, already has plans for a similar $25m mill in Heywood, just over the border from Mount Gambier.
The company says construction of the mill could begin as early as next September and it would employ up to 15 full-time workers.
A development proposal will be sent to the Grant District Council within two weeks.