In 1880 the vessel was transferred in to the Australian East coast service where it sank whilst entering Clarence River on 20 June 1880.

In September 1862 the Wanganui Steam Navigation Company was formed in the view of an increasing trade to Wanganui by the purchase a new screw steamer of approximately 200 tons burden, suitable, not only for ordinary requirements, in the conveyance of produce and goods between that place and Wellington, but also specially fitted up for the transit of cattle [1] By December 1862 the vessel had begun construction with Captain Linklater (master of the local vessel Tyne) proceeding from New Zealand aboard the Asterope to bring the new vessel back out [2] By 30 July 1863 it was reported that, a fine new steamer was launched from the iron building yard of the Gourlay Brothers & Co with the vessel to be named by Miss Margeret Watt, eldest daughter of W. H. Watt, Esq., of Westmerethe the Wanganui, and is to be commanded by Captain Linklater for service in New Zealand coastal trade.

The saloon is elegantly fitted up, having carved oak and gilt cornices, and the walls ornamented with fine paintings in panels all round.

The left hand as you enter is a commodious cabin for the captain, and besides 9 berths partitioned off for passengers, there is sleeping accommodation in the saloon for no fewer than 34.

Here are the cabins of the engineers and mates[4] additionally described as handsome and complete a steamer as is to be found in Australian waters The saloon of the Wanganui is roomy and tastefully fitted up with brilliant panels of stained glass and finely finished hand painting representing flowers and fruits.

The couches are of crimson plush velvet, with ample sleeping room in the round stern and along the sides; and altogether, with the bright and variegated stained glass of the skylight [5]The Wanganui left Glasgow on 20 October 1863 and arrived at Wanganui on the Friday 4 March 1864 after a passage of 136 days under canvas the screw steamer had arrived off the river on the Wednesday, but had been prevented from coming in on that day and had to stood off as an easterly wind had come up, which prevented the vessel from making the land till the Friday evening before it could enter the river[6][7] Once the vessel reached its new home port it had its screw shipped and all of its machinery and rigging put in order before making a short trip down the Whanganui River on the afternoon of Wednesday 30 March 1864 to test the working of the machinery.

[8] One of the first voyages of the Wanganui in New Zealand on 12 April 1864 was from Wanganui to Nelson where while in charge of the harbours pilot, who ran the vessel up to the wharf with full steam on causing the vessel anchor to run foul of the Intercolonial Royal Mail Steam Packet Co SS Airedale's steering gear and carry away some of the Airedale's stanchions.

[10] When arriving at Marlborough on Thursday 29 December 1864 the Wanganui fired its signal gun which then promptly burst and went literally in pieces.

presiding[16] during which William Hobbs said, that the last time the SS Wanganui had been in harbor, he saw a man run down the road by the Anchor Inn, and break a window there.

Elliott and the mate went up the road to Nelson, and not finding him gave information to the police, at the lockup, near the Government Wharf that they feared a man had fallen overboard and was drowned, and that we had searched for him in vain[17] In early August 1866 John McKenzie (first steward) and Joseph Purcell (second steward), on board the SS Wanganui, were brought before the Resident Magistrate's Court at Wellington for Larceny.

The result of the trial was that the second steward was discharged from custody before the case was concluded, and the first steward was reprimanded, as the company did not press for a conviction [18] Just days later on 10 August 1866 John McKenzie alias John McDonald was again charged when Captain Robert Spark Low of the SS Wanganui alleged that he had stolen cheese of a value of £2 on or about the 27 July.

[19] James Signall, a warehousemen in the employment of Messrs Taylor & Watt, deposed that a Port Cooper cheese weighing 29 lb was supplied for the steamer SS Wanganui.

After having been charged for stealing loaves from the steamer in Wellington George Purcell considered it his duty to inform Captain Low of the circumstances of the cheese.

[20] As the Claud steamed out of port, the Wanganui described a circle, and, meeting both vessels proceeded on their way, the understanding being that the race terminated at the French Pass.

[20] At the outset much interest was manifested by the passengers in the race, but as it became more and more apparent that the Wanganui was so easily the victor, little attention was paid to the matter even at the conclusion, and the giant Claud steamed off for Wellington after having sustained a most unmistakable defeat at the hands of her comparatively puny competitor[20] At the June 1867 extraordinary general meeting of Wanganui Steam Navigation Company it was reported that during the previous 6 months the SS Wanganui had made 21 trips to Wellington 21 as well as 2 trips to Nelson and an additional 2 trips to Canterbury and had recently undergone several minor repairs [21] On 29 November 1867 a serious accident occurred to the second mate of the SS Wanganui, while the steamer was loading at Wellington he was assisting to move a lot of corrugated iron by prizing it along with a lever, the mass sprang back and with its ragged edges inflicted a ghastly wound on the second mate's stomach and chest, almost tearing its way upwards.

The birth took place shortly before the steamer came alongside the Wellington wharf and was delivered by Dr Earle, of Wanganui who was by chance on board, and by last accounts both mother and child were doing well [23] although 10 days later there was an announcement of birth of a daughter [24] During February 1869 The SS Wanganui made its way to Port Chalmers and remained in dock for nine days where during that time had her hull cleaned and painted, besides having one or two damaged plates replaced and a thorough overhaul executed as the vessels Sydney certificate of efficiency was due to expire on 15 March and it was necessary to have some few alterations made.

The donkey engine and boiler has been lifted, repaired, and set in a new cement bed, with iron floor, thus preventing all possibility of leaking.

The space under the Bridge has been so divided that if any sea was shipped forward that it cannot wash further aft than the division so the officer's berth and engine room could be kept perfectly dry.

The extension caused an immense amount of work, new side plates having to be put in, with beams and angle irons, to carry the new deck.

[34] The vessel was re-decked with about 7000 feet of 3-inch planking from stem to stern of splendid kauri timber and it was installed by Messrs Law and Gilmore.

The Wanganui was crowded with passengers as it proceeded down to the Heads and after a trip of about 20 minutes reached the anchoring ground and luncheon was prepared by the new steward, Mr C Robinson.

[62] Thomas King, master of the lighter Agnes, was also arriving near the wharf at midnight and observed the Ethel he passed it on the port side, and saw no light.

[63] The Native contingent of Armed Constabulary left Wellington on Monday 9 February 1880 aboard the SS Wanganui The detachment numbered 32 men, belonging to the Ngāti Porou iwi to be deployed a further reinforcement of the Constabulary in that district and to relieve the garrison at White Cliffs, so that the White Cliffs garrison would be free to begin road making on Waimate Plains from the northern end.

[65] By 19 May 1880 the a debtor, Mr Sinclair applied for confirmation of a resolution of creditors passed at the first meeting to change the bankruptcy to a deed of assignment.

The resolution was confirmed [66] The SS Wanganui arrived in Sydney on 5 April 1880 under Captain Thomas C. Bayldon the ship had left Dunedin on Tuesday, 16 March, calling at all coast ports to Greymouth, where after coaling it departed on the 30th at noon and then arriving in Neutral Bay In change of Pilot Cootts [67] The vessel had come over to Australia under offer to the Clarence and Richmond River Steam Navigation Company but negotiations for the vessels sale fell through.

[69] The Wanganui was described as having accommodation of a very comfortable character suitable for 40 gentlemen, and a separate cabin for eight ladies and carried both steward and stewardess with the saloon fare of £2 single and £3 return ticket whilst steerage was £1 and £1 15s for a return ticket [71] The steamer Wanganui was placed into service to leave Sydney every Friday night for Grafton and then depart Grafton on each Tuesday morning [72] By May 1880 the competition in the Clarence river steam trade was becoming particularly keen and a further reduction in the rate of passage to Sydney was announced by Messrs. Nipper and See at the following rates – Saloon single- fare £1 10s., return ticket £2 10s.

About 11 O'clock Mr Arthur Hood Pegus, Custom-house officer, came off and advised Captain Bayldon to land every one as soon as possible, as the steamer might tumble suddenly into deep water.

The Wanganui carried a large general cargo, but nothing except a case of gin, some casks of beer, and a few packages were saved up to 5 o'clock on Monday after noon.

[77] After hearing the evidence and deliberating it was found that the vessel was lost through the wrongful act or default of Thomas Cook Bayldon, the master, for attempting to enter the Clarence River at night time, and at an improper time of tide In connection with this they summoned him to appear before them at 2 p m that day to show cause win his certificate us master should not be suspended or cancelled At this subsequent meeting of the Board, Baylden's certificate was suspended for three months[77] The location of the wreck site is variously described as Captain Bayldon, in one of his boats, with a crew went after the steamer, and managed to sail the steamer clear of the breakers four miles and then held her with a kedge anchor.

The stern, when foundering, went clean into the air, showing fully 20 feet of keel[74]As accounted by William Burghardy a member of the Yamba Pilot's crew We reached the Wanganui at about daybreak, and at once got a line on hoard and towed her about two miles, when about three-quarters of a mile from the bar she began to settle down by the head and shortly afterwards foundered.