Ashwood is a ghost town in Jefferson County, Oregon, United States, 32 miles (51 km) northeast of Madras.

Sheep ranching became an important local industry by 1900 because of the availability of the railroad in nearby Shaniko that facilitated the shipping of wool.

[5] The minerals soon began to play out, however, and local residents turned back to ranching and agriculture as the mainstays of their economy.

[6] Ashwood is popular with rockhounds, as the area has an abundance of petrified wood, jasper, and thundereggs—Oregon's state rock.

[7] This region experiences warm (but not hot) and dry summers, with no average monthly temperatures above 71.6 °F.