On the south western shores of Port Stephens lies the Tilligerry Peninsula, containing the towns of Tanilba Bay, Mallabula and Lemon Tree Passage. A quiet family destination, Tanilba Bay greets all with its stone centenary gates, built in 1931 to commemorate the centenary of the arrival of Lieutenant William Caswells in Tanilba. That same year the stone water arches, incorporating the bollards from H.M.A.S. Sydney, were erected to greet people arriving by water. The decorative stonework which is a feature in this area reaches its greatest whimsy in the 'Mosaic Temple of the Stork'. This contemplative structure is next to the historic Tanilba House.
Tilligerry is said to mean 'pelican'. In the words of Henry Halloran the Tilligerry Peninsula is 'almost an 
island'. It is surrounded by the waters of Port Stephens and Tilligerry Creek and by Moffats Swamp on the west. The five hamlets have a unique history, flora and fauna. As a quiet family holiday destination, it provides facilities for many sports, fishing, safe swimming, boating and bushwalking in a varied bushland setting with a colony of wild koalas.
Meaning "three swamps", Mallabula was a collection of fishing huts on the foreshore and near the jetty until the 1960s. Then the flat was cleared for sand mining and trees were not replanted so that a housing estate could be developed. The barge used in the sand mining was floated out along a channel cut through the beach near Caswell Reserve around Tanilba Point and into another channel cut in the sea wall on Big Swan Bay, to commence sand mining operations there.
Bay), Lemon Tree Passage was renamed because of the lemon groves (or perhaps a native plant similar to the lemon tree called 'cheesebush') found by early visitors to the area. The word 'passage' in the name refers to the use of the water ways for travel north of Salt Ash. The first houses in Lemon Tree Passage were the fishermen's huts along the foreshore and in the area known as 'The Gibbers' along the banks of Tilligerry Creek where all roads began. Many small subdivisions developed Lemon Tree Passage, like the Tilligerry Estate dated 1920 that planned John Parade and Beach Road.
Lemon Tree Passage has an enclosed tidal pool, new boat ramp, boat hire, marina, police station, restaurant, bowling club, motel, parks, post office, Tilligerry Community Centre, real estate agents and takeaway food outlets.
Tanilba means 'place of white flowers' (assumed to be flannel flowers that used to thrive everywhere). The land was extensively cleared for mixed farming for the Caswell land grant of 50 acres and used to pasture cattle and grow wine grapes. Henry Halloran, a surveyor and real estate agent, bought the land in 1920 and planned a subdivision that would repeat elements of Walter Burley Griffin's plan for Canberra based on a central 'Avenue of the Allies'. To appeal to patriotism, street 
names were chosen to capture attention by their alliteration and to remind buyers of the heroes of the World War I, like Navy Nook, Army Avenue and Diggers Drive. Both the gates, 'The Water Gate' with the bollards from H.M.A.S Sydney, which was briefly in Port Stephens on its way to being scrapped after World War I, and 'The Entrance Gates' near Lemon Tree Passage Road, were built to commemorate the centenary in 1931 of the land grant to the Caswells, using unemployed workers during the Depression.
Once the site of the largest oyster farm in the Southern Hemisphere, Oyster Cove's response to the massive changes in the oyster industry is to diversify into the largest marine service centre in Port Stephens. Oyster farming is being re-established and further tourism developments are underway. A pleasant walk (marked on the Tilligerry map) along the foreshore east of Oyster Cove follows a disused private road through a forest of swamp mahogany, with views over the waters of Big Swan Bay.
post office, school (1883) and wharf. Early travel to all parts of Port Stephens was by coach to Salt Ash, then by ferry from Salt Ash wharf to other parts of the waterway. The Pelican Walk shown on the Tilligerry map begins at Salt Ash and wanders for 600m across salt marsh to the mangroves with views of Tilligerry Creek, water birds and Bobs Farm opposite. Oakvale Farm is a popular day trip.
