It would take more than twenty million cubic yards of material to build a one mile square island up to ten feet above sea level in a depth of ten feet. The cost would vary greatly depend on the source of fill material and the distance it needs to be transported.
You couldn't just make a sand pile. Erosion would quickly put the sand back in the water unless the outside perimeter is built to withstand the force of water in storms.
A good example of what you describe is the Craney Island Eastward Expansion in Portsmouth Va., USA. They are using material dredged from shipping channels to fill an area for a new marine terminal. Although the material is free, All of the engineering and construction needed to build the perimeter and get the material into the giant box will cost $4.5 billion if there are no cost overruns.
Part of that is the cost of outfitting the marine terminal to handle cargo but they're getting the material free. If you have to buy the fill material, I'd guess it would be more than that.
http://www.craneyisland.info/
Answered Apr 01, 2011
Edited Apr 01, 2011