When General George A. Custer entered the Hills in 1874, he referred to the area as Elkhorn Prairie. It became the site of what is now Silver City, for many years an active mining town. Silver City is best remembered as the town with legends of lost mines. Today, the town is a resort area at the head of Pactola Lake and is about 3 miles west of US 385, the turn-off being about a mile north of the lake.
Many original buildings remain. Resort.