The Department of Infrastructure says it wants to process waste asphalt at a former quarry in Ballasalla for use at the Balthane roundabout.
It's applied for planning permission to process the asphalt containing coal tar at the Old Turkeyland Quarry.
It says the processed material will all be earmarked for the Balthane Roundabout scheme.
And it says the operation would be managed under strict environmental controls.
From Pisa to Peel: cyclist plans 1,250 mile charity ride
The Furys are back on Netflix this weekend
Key road closed again this weekend
Two ferries cancelled today, and more disrupted on Sunday
Two Sunday ferry sailings cancelled and two more at risk
Racers' leather company in liquidation
Two Saturday ferries cancelled, four rescheduled
Mountain Road partly reopens from this afternoon