In 1951, a group of six local businessmen decided to build a new track. About 2km away from the original circuit, it still bears the corner name signs of the original circuit. As the piece of available land was on the edge of the coast, the track is known for its steep grades, the highest 57 metres which caused cost overruns and delays in track opening.

The new track was opened in 1956 and in 1960 the first Armstrong 500 production car race was held at the circuit. Extensive damage resulted from the running of the 1962 Armstrong 500, and, with the circuit owners unable to finance repairs, the circuit was closed and the race was moved to the Mount Panorama Circuit at Bathurst in New South Wales, to eventually become known as the Bathurst 1000.

• Location: Phillip Island, Victoria
• Length: 4.445 km / 2.762 miles
• Opened: 1956
• Turns: 12
• Race Lap Record: 1:24.0607 (Tim Slade, Brabham BT62)