City of Busselton Mayor Grant Henley has confirmed there is 'no signed agreement' with airline Jetstar on flights between Melbourne and Busselton.
Speculation has been brewing this week after a media outlet published news that Jetstar would begin the interstate flights in April.
However, on Monday Mayor Henley said discussions were ongoing and could neither confirm nor deny the existence of an agreement.
A Jetstar spokesperson reiterated the Mayor's comments on Tuesday, and said the airline was currently in discussions with local stakeholders "about the possibility of flying to Busselton".
"We expect to have an update soon," they said.
The issue of interstate flights and upgrades to the Busselton Margaret River Airport arose when the McGowan Government put funding on hold until an agreement was made with an airline company.
Back in June 2019, Mayor Henley told the Mail there negotiating with an airline but discussions could take up to six months or more.
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