Gold dredging in California began in 1850 when a small river boat was fitted out as a dredge and gravel mining was attempted above Marysville, California on the Yuba River. The first successful gold dredge in California was built in 1898 by Biggs, Butte County resident Wendell P. Hammon, the "Dredger King," and his partner, Thomas Couch, a Montana mining businessman. This first model and those that followed consisted of a floating hull, a digging ladder, an endless chain of buckets, screening apparatus, gold-saving devices, pumps, and a stacker. The California dredge was developed from models used earlier in New Zealand and in Montana, proving to be much more efficient than earlier one-bucket attempts.

Hammon was instrumental in founding the Yuba Construction Company in 1906, by purchasing the Western Engineering Company and merging it with his own steel from a casting foundry in Marysville. Four large machine shops were built near Oroville to maintain and build the dredgers. Hammon founded the Yuba Consolidated Gold Fields on the Yuba River in 1904. This company became a large, profitable placer operation, a proving ground for new dredge designs and a training ground for dredge operators and others in this global industry. As many as 50 dredgers worked in the Feather River/Yuba River drainage at one time.

The Yuba Construction Company changed its name to the Yuba Manufacturing Company and later became a subsidiary of the Yuba Consolidated Gold Fields. In 1957 these companies merged into Yuba Consolidated Industries. The Yuba Consolidated Gold Fields was later incorporated into the Western Water Company.