The fungus has been isolated in the northern jarrah forest of Western Australia from the roots and collars of dead and dying Eucalyptus marginata and occasionally Corymbia calophylla in rehabilitated bauxite mine pits. It has also been associated with dead and dying plants of several mid- and understorey species in the northern and southern jarrah forest -Banksia grandis, Leucopogon propinquus, Dryandra squarrosa and an Andersonia sp., as well as the monocotyledonous Xanthorrhoea preissii, X. gracilis and Patersonia xanthina. P. elongata has also been isolated from sandy soils and loams in Victoria in eastern Australia. The fungus may have been in Western Australia since the 1990s.