DPI Water is currently undertaking detailed project planning works for the 270 km pipeline.
The works include environmental assessment and approvals, technical investigations and procurement preparation for the pipeline.
The construction of the new pipeline was announced in June, and is part of a $500 million investment strategy representing the largest investment into regional water security on record in New South Wales.
The tender process for the pipeline is scheduled to commence in late August, and is expected to be finalised by March 2017.
Construction on the pipeline is due to start in April 2017.
The pipeline will stretch from the Murray River to Broken Hill and will secure the areas long-term water supply.