Little Peninsula Tunnel is of regional significance as one of two examples of river diversion tunnels dug on the upper reaches of the Yarra River to enable mines to extract gold from the river bed. It provides important evidence of the scale gold mining in the upper Yarra region, and is one of the more dramatic features that survives. Like Big Peninsula Tunnel, this site has attracted many generations of visitors, demonstrating its perceived value as a relic of the gold mining era.

The Little Peninsula tunnel is one of two diversion tunnels on the Upper Yarra River dug by alluvial gold miners. It consists of square section about 2 metres high and wide, and about 25 metres long. The tunnel was dug to divert the course of the river and allow the extraction of gold from the river bed. The outlet is now a popular picnic spot. (Supple 1991)

Little Peninsula Tunnel is one of two tunnels that survive near McMahons Creek. Other evidence of goldmining can be found throughout the area, however it is less dramatic and much has "disappeared" as the forests have regrown.

Physical Conditions: Good

Integrity: Intact