Penola is a great small town encounted when heading north from Mount Gambier heading to Narracorte. A really nice town it is. The place has been made more famous with its early association with Saint Mary MacKillop. Be sure to stay over when visiting Penola. Heritage factors in Penola are presented really well.
The first Europeans to the area were the Austin brothers who arrived in 1840 and established a run of 109 square miles (282 kmē). The first settlers were Scottish -born Alexander Cameron and his wife Margaret in January 1844 after obtaining an occupation license. In April 1850 Cameron obtained 80 acres (0.3 kmē) of freehold land, his station was on a pastoral lease, and established the private town of Panoola, later known as Penola.
By 1850, Brad had built the Royal Oak Hotel and was doing extremely well financially supplying liquor to the many travelers passing through to the Victorian goldfields. Penola Post Office opened around 1852.