Melrose is located in the Silverbow County. It is not a mining camp but was rather a town that served as a supply depot for mining towns. It is at an elevation of just over 5,000 ft and is only 20 miles from the Continental Divide. The fact that it is on a main highway has extended the life of the town.
Some of the original log cabins have survived many winters and are still occupied.
In a drainage close to the ghost town sits the ruins of 23 charcoal kilns. Canyon Creek Charcoal Kilns were constructed in 1881 and used until 1900. They transformed 11,665 acres of pine trees into 19 million bushels of charcoal.