Arriving in 1898 via stern wheeler from St. Michael to Dawson City, Mackenzie first tried his luck in mining ventures between Fox and Monte-Cristo Gulches, only to reach the conclusion that far greater riches were to be found in the provision of various services to the miners.
[3] In conjunction with his business partner H. Stratton and with the promotion and financial support of Thomas O’ Brien, Mackenzie applied for a charter on December 17, 1898.
[4] It is primordial to note that it was O’Brien and a few others –James Arthur Seybold of Ottawa, William D. Ross of New Glasgow, Llewellyn N. Bate and Harold Buchannan McGiverin of Ottawa- and not the initial agents which headed the parliament's list of applicants on the charter.
On the one hand, conditions of the charter demanded that settlements with the over one hundred creeks’ claim-holders for damage compensation be made entirely before the construction of the railway.
In November 1906, the Klondike Mines Railway was completed, traveling a total distance of 31.81 miles between Dawson City and Sulfur Springs.
[14] Since all of these dredges worked steam thawing plants, these companies were dependent on the railway for the constant delivery of cordwood required for the process.
The dependence which characterized the relationship between the gold dredging companies and the Klondike Mines Railway was mutual: having interrupted its passenger service to focus its activities on freight business, the eventual dissolution of three of the dredges on the railroad route meant a significant and incurable blow to the railroad's operation.
More so, the railway's efficient focus on providing the materials for the creation and operation of mechanized mining companies implied and necessitated its eventual termination.
[20] Manufactured by Baldwin Locomotive Works in 1885, wielding a tractive effort of 15,100 pounds-force (67,000 N) and a boiler pressure of 150 pounds per square inch (1,000 kPa).
Until permanent shutdown of the KMRy in October 1913, this coal-burning engine was the most used of the roster and indeed served as the company's principal revenue and construction locomotive throughout its eight years of operation.
Operating for a mere two seasons on the KMR, No.4 and its tender were bought by the White Pass and Yukon Route in 1942, using the locomotive into the early 1950s.
The locomotive was used on theme park railways in the lower 48, most recently at the Dry Gulch RR in Oklahoma, where it then was put into a long restoration.
Klondike Kate 4 operated on Boreas Pass Railroad Day on the South Park Rail Society rebuilt trackage (Denver, South Park & Pacific Railway then operated by Colorado & Southern Railway was abandoned 1938) at Como, Colorado, USA.
[22] The remains of the motor car, wheel-less since 1944, now sit in the Dawson City Museum locomotive shelter aside KMRy #1 to #3.