The Silverton, Gladstone and Northerly Railroad was incorporated in 1899 after Otto Mears and associates were unable to procure financing to build a branch of the Silverton Northern Railroad to the mining area around the town of Gladstone. The railroad was chartered in 1899 by the Gold King Mining Co. to haul ore from the mines on Cement Creek to the Silverton smelters. It was 7.5 miles long and had .5 miles of spurs. It was leased by the Silverton Northern in 1910. (Mears leased the Silverton Northern in the same year and purchased the SN outright in 1915, although traffic was discontinued soon thereafter.)