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Goldsworthy Mining developed an iron ore mine approximately 100 kilometres east of Port Hedland in the early 1960s and built the towns of Goldsworthy and later Shay Gap as mine sites.A rail line was then built to Port Hedland, where dredging was undertaken to deepen and widen the port's channel, and a wharf was built opposite the township of Port Hedland on Finucane Island. Mudd sailed from Port Hedland to Japan with 24,900 tonnes of ore.The plane had flown from Perth without incident until about 10 minutes before landing at Port Hedland.
and Syd Hedley identified two landings and described the harbour as "pretty as well as safe".
Peter Hedland arrived in the area in April 1863 onboard his boat Mystery, which he had built himself at Point Walter on the banks of the Swan River.
He named the harbour Mangrove Harbour and reported that it would make a good landing site with a well protected harbour, and that there was also fresh water available.
In 1991, an immigration detention facility, the Port Hedland Immigration Reception and Processing Centre, was opened to deal with the arrival of boat people seeking asylum.
Port Hedland was seen as a good location, as it is in an area where many asylum seekers arriving by boat were entering Australia, and it had an international airport that would allow for easy deportations when required.The coastline in the area was seen by European mariners as early as 1628, when the Dutch merchant ship Vianen, captained by Gerrit Franszoon de Witt visited.