Archives of the Hudson's Bay Company, which had a post on Eagle Lake, refer to Vermilion Station on the Canadian Pacific Railway.

[2] The early 1900s also saw gold and soapstone mining taking place on the southwest shore of Eagle Lake, with Vermilion Bay used as a supply centre.

Outfitting the guests of these camps brought economic activity to the area, such as the Naden Boat factory, in operation from 1974 to 2011.

[6] Granite quarrying began in the 1950s at a site just west of Vermilion Bay and continues to the present day.

The community has one licensed radio station, CKQV-FM, which also focuses on the larger population centers of Kenora, Dryden, and Sioux Lookout.