When the NCR expanded eastward into Nevada, they took over the old Southern Nevada Correctional Facility and renamed it. The facility is located near train tracks that run parallel to highway I-15 and the convicts were used to maintain and expand them. According to the Powder Gangers, no correcting was done - only manual labor.
The majority of NCR troops guarding the facility were called away to patrol the Colorado River, and the convicts decided to stage a coup d'état and took over the facility using improvised weapons and explosives made from small amounts of dynamite they had stashed away. The uprising was successful and they seized control over the NCRCF. Almost all prison guards who were stationed there were massacred by the insurgents and only a few escaped.
After the uprising, the group of insurgents formed the Powder Gangers. Most became small gangs who terrorized the southern areas of the Mojave Wasteland including Goodsprings and Primm, while others headed to Vault 19 or remained at the NCR Correctional Facility, utilizing it as a base of operations.