Keystone Historical Museum

The city of Keystone was founded in 1891 and named after the busy Keystone Mine. That Mine was established by William B. Franklin, Thomas C. Blair, and Jacob Reed. At the beginning the little  town grew slowly, but with the discovery of gold-bearing quartz, the town began to flourish. As gold production boomed, so did the town. During this time the population of Keystone reached over 2000 and was considered the largest community in Pennington County. Larger even than Rapid City.

Over time mining stop being so successful. In 1903, the Holy Terror Mine ceased to operate and the city of Keystone went into an economic depression for many years. In 1924, Keystone started to see an economic upswing - mainly because gold and mineral mining started up again.  The biggest economic boost came with the carving of Mount Rushmore during 1927-1941.

The town of Keystone has had its share of natural disasters. Gigantic fires in 1908, 1917, 1921, and 1937 destroyed numerous businesses in Old Keystone. The 1937 fire gave reason to established the Keystone Volunteer Fire Department. Today Keystone has a full-time fire department. 1927, 1933, and 1972 were flood years. The 1972 flood was the worst, with over 200 people being killed between Rapid City and Keystone Areas.

For the last 50 plus years, our main support has come from the tourist industry. This is evident as you travel down Winter Street. Known locally as “The Strip”. Throughout Keystone’s life it has seen many changes. Many of these changes are preserved at the Keystone Historical Museum.