Coal was discovered in the area in the 1890s. The Cook Inlet Coal Fields Company built a town, dock, coal mine, and a railroad at Homer. Coal mining in the area continued until World War II. There are an estimated 400 million tons of coal deposits still in the area.
Homer was named for Homer Pennock, a gold-mining company promoter, who arrived in 1896 on the Homer Spit and built living quarters for his crew of 50 men. However, gold mining was never profitable in
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