The village, 6 km west of Riverton, was laid out in 1859 on section 565, Hundred of Alma, by Robert Milne (ca.1813-1866), of 'Drumminer' (sic), who came from Aberdeenshire, Scotland, where there is a 'Rhynie' near Balmoral Castle - Gaelic for 'running water'.. In some quarters it is believed that it was named in honour of a Mr Ryan, the first storekeeper there. However, the distinctive spelling of the word makes this doubtful. Prior to 1859 it was known as 'Baker's Spring'. (Australia Post records say the post office opened in 1851.) In 1860, it was reported that:
There have been erected within the last few months three substantial buildings, one a public house, one a store and the other intended for a store also... It is reported... that Mr Stevens will have a mill erected in it ere long... There is at present a first-rate opening for a boot and shoemaker, a blacksmith and a carpenter; one of each would find ample work. Our present butcher is about suspending business and leaves a very good opening for another...
The opening of the day school was reported in 1862; it closed in 1966.
Rhynie, 34' 25' S. lat., 135' 45' E. long. (Co. Gawler,) is a road-board postal township in the hundred of Alma, and electoral district of Stanley. It is situated at the Government Freshwater reserve, and on Springs creek, 70 miles from Adelaide as per mail route, and on the main road from Adelaide to Clare, Mount Remarkable, and the far north. The river Wakefield lies 5 miles N., bearing W.S.W.; and the Woolshed creek, into which the Springs creek falls, flows 2 miles N.W. . The district is both agricultural and pastoral, the former pursuit being extensively carried on. The soil is admirably