Australian copper mining company OZ Minerals has signed an agreement to acquire the Carrapateena copper-gold project in South Australia for $250m.

The project comprises four exploration licenses covering 1,070 sq km located in central South Australia on the eastern margin of the Gawler Craton.

The company will acquire the project from Rudy Gomez (58%), Teck Australia (34%) and various minorities (8%).

OZ Minerals managing director and CEO Terry Burgess said that by acquiring this project, the company is significantly adding to its growth potential.

"This is one of the largest undeveloped copper projects in Australia today. It is also a project which fits our stated parameters – it is copper-gold, in a very favourable jurisdiction and has the potential to produce copper at between 50,000 and 150,000 tonnes per annum for a significant mine life," Burgess said.