A severe canker disease has been causing decline and death of Corymbia calophylla in the southwest of Western Australia (WA) for some years, but the causal agent has never been investigated. However, there have been historical reports dating back to the 1920s of a canker disease of amenity planted C. ficifolia caused by 'Sporotrichum destructor', though the description and Latin diagnosis were never published. It has been suggested that there may be links between this species and the genus Quambalaria, a group containing leaf and shoot pathogens of species of Eucalyptus and Corymbia. The aim of this study was to investigate the identity of the pathogen historically attributed to canker disease of C. ficifolia, determine whether this pathogen is responsible for the current epidemic of C. calophylla canker, and whether it is synonymous with Quambalaria. Surveys examined the range of Quambalaria spp. on Corymbia spp. endemic to southwest WA. Their phylogenetic relationship to Q. cyanescens, Q. eucalypti, and Q. pitereka was examined using rLSU and ITS sequence data. Morphological characters were also compared. Sequences confirmed that Q. cyanescens and Q. pitereka are present in southwest WA, with the latter associated with leaf and shoot disease. A third group isolated from cankers represent a new species of Quambalaria. Comparisons of disease symptoms and conidiogenesis indicate this species is synonymous with 'S. destructor'. The species is formally described here as Q. coyrecup sp. nov.