Expected to employ 150 people, the new Kanmantoo project has the potential to generate up to 800 indirect jobs during the first six years of operation.

A State Government spokesperson said considering the example of other recent mines and the accessibility of the area, the project should not only bring workers to the area but families as well.

Kanmantoo General Store proprietor Peter McCormack said the mine had been a long time coming and should be beneficial to the area.

“Some of the old timers around the town were a bit dubious to begin with but mining practices have improved over the years,” he said.

“We have had outstanding growth in the town over the last four years and I would say it (the town) has tripled in size.

“Some of this growth has been in anticipation of the mine.”

Acting South Australian Premier Kevin Foley said the copper and gold mine was the second mine to open in the region in the past four years and would be operated by Hillgrove Resources.

“Back in 2002, there were less than 3500 people employed full-time in our State’s mining industry and today it directly employs about 7700 people.” he said.

A feasibility study completed at the end of 2007 showed the project, based at the old Kanmantoo copper mine, had the potential deliver 32.2 million tonnes of mineral resources.

State Minister for Mineral Resources Development Paul Holloway said Hillgrove Resources had made an effort to work closely with local community members and interest groups to develop the project.