Located on the outskirts of the Lincoln National Forest, it became a boomtown in 1879 following the discovery of gold and coal in the nearby Jicarilla Mountains.

The first Europeans to explore the area were the Spaniards of Don Juan de Oñate's expedition, who arrived in the late 1500s.

He followed in the footsteps of local Mexican prospectors to a shallow canyon east to the mountains, where he discovered a rich gold field.

The town was frequented by notable Old West personalities, including Dave Rudabaugh, Billy the Kid, Pat Garrett, and Shotgun John Collins.

Jonathan H. Wise established the town's first newspaper in 1880, called the White Oaks Golden Era.

[citation needed] Additional newspapers included the Lincoln County Leader, the Old Abe Eagle and the New Mexico Interpreter.

(Florin, 1970, P. 662) In November, 1880, a posse from White Oaks pursued Billy the Kid for more than forty miles, culminating in a standoff, during which Deputy Sheriff Jim Carlyle was killed after trying to negotiate with the fugitives.

National Park Service historian Robert M. Utley, in his book "Wanted: The Outlaw Lives of Billy the Kid and Ned Kelly," wrote that it is not known who shot Carlyle or why.

In the late 1890s, both the Santa Fe and the El Paso and Northeastern railroads were planning to extend tracks toward White Oaks.

She bought and developed the Three Rivers Ranch southwest of the town, eventually owning over 5,000 head of cattle.

By that time, very little remained of the original community; although the district covered over 1,800 acres (730 ha), only 6 buildings had enough historical integrity to qualify as contributing properties.