In 1853, this iron furnace was built by W.H. Wilson as the Big Sand Furnace. It was named after the Big Sand Creek, which runs through the area. The original name can be found etched into the sandstone blocks that lay on the ground nearby. Around 1864, the name was changed to Hope Furnace. This was probably due to the fact that Big Sand Station became Hope Station. A wealthy man named Douglas Putnam Jr. eventually purchased this iron furnace.

"He is diligent, methodical and careful in business. Of the strictest integrity, honorable in his dealings and highly respected by all who know him."

In the fall of 1861, Douglas Putnam Jr. entered the Commissary in the State Service as a clerk. He served as an aid on Gen. Grant's staff during the battle of Shiloh. On July 25, 1862, Putnam joined the 92nd Ohio Volunteer Infantry and began moving up the ranks. He soon made Adjutant and was promoted to Major on February 1, 1863. Putnam achieved the honor of being named Lieutenant Colonel on March 22, 1863.

On September 20, 1863, he was wounded during the Battle of Chickamauga when a bullet tore through his leg. Putnam was also wounded 3 times during the Battle of Mission Ridge, which caused him to be permanently disabled. On April 11, 1864, he resigned because he felt that he was unfit for further service.

Putnam traveled to Hope furnace after leaving the army and became the manager. In 1869, he decided to leave Ohio and travel to Ashland, Kentucky to become the president of the Ashland Furnace. However, in 1870, he purchased this failing iron furnace and all of the property. He then formed the Putnam, Welch, and Company. Putnam allowed his men to run the operation, which was nearing the end.

The Big Sand Railroad, a.k.a. the Hope Furnace Switch, was a short track that connected Hope Furnace to Hope Station. The iron was hauled to Vinton Station for shipment on the Marietta & Cincinnati Railroad. It was also used to transport raw materials to this location, which came from the Vinton Furnace Tract. The bed of the Big Sand Railroad is now concealed underneath Lake Hope.

Legend has it that a worker was making his rounds one stormy night when something tragic happened. Apparently, he was near the top when a sudden lightning strike blinded him. Unable to see, he fell into the stack and was instantly incinerated.