[2] Nymagee was originally a copper mining town and in its peak supported a population of over 2200, half of those being Chinese migrants.

By 1949, the inhabitants were thinking of Nymagee as a 'ghost town', even though it still possessed a hall, racecourse and social and sports clubs.

[5] Nymagee had a market garden cultivated by Tong Mow, until ill health forced him to stop in 1920.

The first festival was visited by 600 tourists and the festival has since increased Nymagee's tourism by 60% and significantly increased the number of permanent residents[7][8] Nymagee is also home to the fictional character "Clancy" from the poem "Clancy of the Overflow", written by the famous bush poet Banjo Paterson.

The sheep station "The Overflow" featured in the poem is situated about 32 kilometres (20 mi) south east of Nymagee.