It was created by the Homestake Mining Company and initially ran from Lead to Calcite and Piedmont by way of Elk Creek.

There was also a branch from the Nemo line connecting Este with a logging camp at Merritt.

[2][3] The line was originally intended to haul timber to the Homestake Mining Company in Lead.

[2] On November 29, 1881, a mule team hauled the first locomotive, a Porter 2-6-0, from Fort Pierre to Lead.

The Calcite Mine, the only source of traffic remaining on the railroad at the time, was planned to shut down.

On October 25, 1929, plans to shut down the railroad were completed; permission to do so from the state and federal governments was received on December 14.

[5] When payday came around, it was always customary for the Homestake Mining Company to send around $12,000 on a special train to pay loggers and miners.

The second time, The railroad's schedule was thrown off by an hour because the Homestake Mining Company hosted a picnic for its mechanics and machinists.