The Eagle Salt Works Railroad was built to haul
salt to the Nevada silver mills. B.F. Leete, a
surveyor on the Central Pacific Railroad, discovered the
hot springs 15 miles east of Wadsworth up the Hot Springs grade in 1869. He recognized that salt was a needed mineral in the reduction of
Comstock Lode silver ore, which was in high demand at that time. The hot springs contained 30% salt and when evaporated provided salt crystals ready for harvest and ready for shipment. In 1871, Leete's
Eagle Salt Works began furnishing salt to the Nevada silver mills. In his first year, he furnished about 3,000 tons of salt. The salt production peaked between 1879 and 1884, was steady until 1902, and declined until 1915, when the works were closed. Total production was 500,000 tons. Leete shipped the salt via the Central Pacific Railroad as the CP operated near his Salt Works. However, in 1903 the Central Pacific relocated its mainline between
Wadsworth - Toy (near milepost 325; east of
Lovelock, NV) in favor of a route to the south that goes through
Fernley and Hazen to avoid the grade over White Plains Hill. This relocation would leave Leete without a railroad to ship his salt. In August 1902, Leete negotiated with the Central Pacific that when they relocated and removed the tracks, that they leave every other tie in place from Leete (Milepost 294.5) to just east of Wadsworth. Leete proposed to build a light railroad using the old CP grade to a connection with the CP at Wadsworth. ==Construction of the line==