The site, off Oak Lane, will recycle road metal, brick, concrete, tiles, demolition waste to be reused and resold back into the construction industry.
The proposal, has been put forward by utility contractor S & R Construction Ltd, based on Leys Road in Brierley Hill.
Director of S & R Construction, Steve Sankey, said: "I feel it is a great opportunity to develop on this land and will be a good saving for everyone.
"Without a recycling site, 100 per cent of material dug out would be going straight to landfill, but with this application we are looking to see only a fraction of that go there and therefore have important savings on virgin material.
"We are trying to create a safer, more productive environment, with up to 300,000 tonnes a huge amount to be recycling a year.
"We are struggling for landfill and need to look at innovative ways of saving.
"We are British Standard Approved and have an excellent track record for delivering projects to a professional standard, within timescale and budget.
"Another plus is we are creating 10 jobs, something we are very happy to be bringing to the area."
The firm has worked in partnership with Morgan Sindall & Enterprise, Ameys and Balfour Beatty and currently has contracts with Birmingham City Council, National Grid, Severn Trent and Western Power & Carillion.
It specialises in recycling and reselling of aggregate materials, with the company diverting an estimated 200,000 tonnes of waste away from landfill per year.
The application would see waste processed through a crusher, which would reduce it in size, then separate the different sizes and types of materials through a a screener.
The recycled materials would then be resold as construction materials and transported off site.
Ten jobs will also look to be created, which has been welcomed by ward Councillor Dave Tyler.
He said: "The proposals will seem to fit in well with the existing recycling sites in the area and a project like this is only going to help make a safer environment.
"I welcome anything that brings jobs to the area. I understand there might be a little unease from residents initially if plans are approved, but I think it will a productive development."