In August 1896, three people led by Keish (Skookum Jim Mason), a member of the Tagish First Nations, headed north, down the Yukon River from the Carcross area, looking for his sister Kate and her husband George Carmack. The party included Skookum Jim, his cousin, known as Dawson Charlie (or sometimes Tagish Charlie), and his nephew Patsy Henderson. After meeting up with George and Kate, who were fishing for salmon at the mouth of the Klondike River, they ran into Nova Scotian Robert Henderson who had been mining gold on the Indian River, just south of the Klondike.
On August 16, 1896, the Skookum party discovered rich placer gold deposits in Bonanza (Rabbit) Creek, Yukon. It is not clear who made the actual discovery, with some accounts saying that it was Kate Carmack, while others credit Skookum Jim. George Carmack was officially credited for the gold discovery because the actual claim was staked in his name. The group agreed to this because they felt that other miners would be reluctant to recognize a claim made by an Indian, given the strong racist attitudes of the time.