Aeris Resources was unable to come to agreeable terms with Glencore regarding its proposed takeover offer for the CSA copper mine in Cobar in New South Wales.
The company stated it would not be going ahead with the purchase but continue to focus on its existing projects.
Aeris said in early April there was no guarantee the acquisition would proceed.
It offered Glencore around $878 million in cash and shares for the underground mine on March 20, which included $US575 million ($809 million) in cash and $US50 million in shares as well as royalties payable to Glencore.
CSA, an employer of 300 people, is the highest grade copper mine in Australia. It produces around 1.1 million tonnes of copper ore and over 185,000 tonnes of copper concentrate a year.
The mine was acquired by Glencore from previous owner Ashanti Goldfields in 1999.
“Whilst it is disappointing that the acquisition of the CSA mine couldn’t be completed, Aeris remains focused on its Tritton copper operations, the Torrens exploration project and exploring growth opportunities, both organic and through [mergers and acquisitions],” Aeris executive chairman Andre Labuschagne said.