The Aboriginal name for Cockatoo Island is Wareamah. Little is known of the use made of the island by its traditional owners, the Wangal clan, or other indigenous people of the Sydney region. As saltwater people, the clan would have fished from and around the island and perhaps used its trees for the construction of canoes.

The impact of European heritage commenced in 1839 when the island was selected as a convict prison. Convict and industrial activities have stamped their presence on the island since that time.

The island has seen various uses as a quarry (with the sandstone used for construction of the circular wharf at Sydney Cove – Circular Quay); a dry dock – Fitzroy Dock (constructed by convicts for the repair of vessels); an industrial school for girls; a shipbuilding yard (necessitating construction of a second dock – Sutherland); a gaol; a dockyard for the Royal Australian Navy; an aircraft design and repair yard; and a submarine docking and refitting yard. Today the island is open to the public for camping and cultural activities.