She was meant to be Down Under to headline the World Tour Bushfire Relief charity concert, but sadly had to postpone due to the global health crisis.
The news was devastating to Miley, who was hoping to also secretly make a trip to Byron to buy her dream getaway pad – and reunite with her ex-hubby, Liam Hemsworth.
But she's not letting the setback derail her plans.
"She didn't want to risk the health of her band and crew," explains an insider.
"I wouldn't put it past her to jet in as soon as she can though."
The 27-year-old is contemplating a move back to her happy place in Byron Bay and whispers are rife that Miley's already looking for a property in the seaside location.
But the news isn't exactly going to sit well with Liam, 30, who's also said to be on the hunt for a place to call home in the idyllic beachside town.
"Word is getting around town that Miley's hired a broker to scour Byron for her dream home," an insider exclusively tells OK!.
"Of course, the places that fit the bill are just a stone's throw from Chris Hemsworth and Elsa Pataky's place, where Liam stays. Liam has heard this rumour and the poor bloke could barely keep from rolling his eyes."
Despite hooking up with fellow singer Cody Simpson, 23, just months after their split, Miley's still hoping a move to Byron will put her back in Liam's orbit – and help repair their relationship.
"If they're both in the same place, the chances are they'll meet up," adds the insider.
"Miley's holding on to the fact that he hasn't deleted pics of her from his Instagram account."
The star has even attempted to convince her new beau Cody that a move from LA to Australia is the perfect choice.
And with Cody recently admitting he'd 'love' to raise his children in his native country – he's from the Gold Coast – it seems the singer has been successful in her ploy to stay close to Liam.
WATCH: Did Miley cryptically reference Liam Hemsworth in her song Slide Away? Story continues after video...
OK!'s insider adds: "Miley has been lightly dropping hints to Cody for months now that they should buy a place in Australia together, and he's all for it. He's so besotted that he didn't even think twice about saying yes when she suggested they should get a beach house in Byron."
"It's like it didn't even occur to him that it's a small town and the chances of Miley running into Liam – or Chris and Elsa – are incredibly high. Of course that's part of Byron's appeal to Miley."
The Slide Away singer has tried to distract herself with romances with Cody and The Hills: New Beginnings star Kaitlynn Carter.
But as OK! has reported, when Liam's romance with Aussie model Gabriella Brooks, 23, started heating up earlier this year, Miley doubled down on her efforts to make her ex take notice of her again.
"Miley really seems to want to get back at Liam," tells another source.
"She's especially sore that Liam seems to be in love with his new girlfriend. She figured he would pine after her for years to come."
Between her PDAs with lover Kaitlynn, 31, and her raunchy Instagram snaps with Cody, it's pretty evident that Miley thrives on attention.
And while Liam did his best to ignore her, now that she's trying to move in on his turf, the actor's ready to take a stand.
"She'll face a lot of resistance among the celeb set in Byron,' tells the source.
"Liam's sister-in-law Elsa is queen bee and she's still disgusted with Miley over the way she treated Liam."
Late last year, Elsa didn't hold back when asked about how Liam was holding up following the split.
"My brother-in-law, well… after a relationship that you've dedicated 10 years to, he's a little bit down," the 43-year-old shared.
"He deserves better."
And now she's heard of Miley's plans to buy up Down Under, it's unlikely Elsa will welcome her to Byron Bay with open arms.
"If Miley moves there, she'll be iced out," adds the source.
Nevertheless, Liam will want to step on it if he's planning his own move to Byron.
The Isn't It Romantic star has recently been spotted spending time in the beachside town with Gabriella.
And word is he's considering finding his own home there to share with her.
But not if Miley has anything to do with it!
"Liam thought Miley would be bored of seeking his attention but she hasn't let up yet," admits OK!'s insider.
"He has no doubt she's plotting this move to continue to stay in his life."
Meanwhile, Miley's current squeeze remains oblivious to the drama going on behind the scenes.
"Poor Cody is super-excited about moving there – it's close to his family in the Gold Coast – but the poor guy has no idea about the politics behind the scenes between Miley and the Hemsworths," says the insider.
"It could be the worst move he ever makes."
As for Liam, he knows the battle is far from over.
"He knows her best," adds the insider.
"He reckons Miley's unsettled, and while she's feeling that way, no-one else is allowed to be content either."
WATCH: Liam Hemsworth poignantly says he will "always love" Miley in 2015 interview. Story continues...
While Liam's family is said to be very "taken" by his new girlfriend Gabriella – with the model becoming a regular face at family gatherings of late – there's been no love lost between the Hemsworth clan and his ex!
"Miley loved being part of the family and misses spending time with them Down Under," spills a source of the singer, who was particularly close to Elsa.
But after the actress declared last year that Liam "deserves much better", it's clear the family don't want anything to do with her any more.
"Miley just doesn't get it," adds the source.
While the Hemsworth fam is hoping that Miley loses their number, the singer's dad Billy Ray is missing his former son-in-law like crazy!
The 58-year-old is so #TeamLiam that he's been pleading with his daughter to dump her current beau Cody, pronto.
"He misses Liam, who he adored, and basically thinks Cody is a poor imitation of him," an insider tells.
"All Cody can talk about is boring stories about surfing and the lame movies he's watched. Billy Ray thinks Miley traded way, way down."