The name, derived from a local aboriginal word Kunga Tuko means, "different speech".

Joseph Lean arrived 13 December 1840 and for several years captained some of the earliest Kanmantoo mines.

[citation needed] The town is named after the Kanmantoo mine about 2.5 kilometres (1.6 mi) south.

In 1840, copper was found and the Kanmantoo mine was opened by the South Australia company.

Cornish, German, English and Irish came in abundance to the area for the "rich" potential in mining.

In 1845, Geologists reported that the quality of the surface ore looked to be even more valuable than survey taken at Burra Creek.

[citation needed] Kanmantoo is on the Old Princes Highway between Nairne and Callington, but most through traffic now bypasses the town on the South Eastern Freeway.