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Frederickton is situated at the head of an open, exposed harbour on the southwest shore of Muddy Hole, a shallow indentation north of Carmanville. Frederickton (formerly called Muddy Hole presumable because of the shallow water in the bay), became the name of the settlement between 1901 and 1911.
A beached wreck lying close to the government wharf in Frederickton in 1979 was a mute testimony to the difficulties the weather caused for vessels in Hamilton Sound. H.M Mosdell (1923) noted that six men were drowned near this settlement when their boat was upset during November gales in 1908. Early settlers came to Muddy Hole from Fogo Island to exploit its land resources during the winter months. The area was forested, there was ample level land for building, and wildlife abounded. Above all, Muddy Hole was close to the many islands and excellent fishing and birding areas off the southeasterly tip of Fogo Island.
The settlement was first recorded in the Census, in 1845, with forty-five residents (most of whom Protestant Episcopalians, a few Roman Catholics) inhabiting eight houses. Five small fishing vessels and one large banking vessel were employed by the community. The population jumped to 150 inhabitants (including four English-born residents, and for the first time, Wesleyans) by 1857 (Census). One large vessel was employed in the seal hunt; the remainder of the boats were reported to be small dories. The key to Muddy Hole's growth (which at this time greatly exceeded that of Carmanville - then called Rocky Bay - which numbered under thirty residents) lay in its position as a good base for the seal hunt and cod fishery and the skill of the inhabitants.
According to E.R. Seary (1976), James Bonnel, George Cake, Richard Hipditch and Thomas King were resident fishermen of Muddy Hole in 1860. In 1871 Edward Dan, Charles, James, and John Hillier, and George, John, Robert, and Stephen King were also listed as resident planters and fishermen, and a James Weeks was reported to be a trader in the community. A school had been operating in the predominantly Methodist Community since 1857. A church had been erected by the early 1900's.
By the 1950's Frederickton had become a lobster-fishing area, with logging being pursued as a seasonal occupation; other workers commuted to jobs in Gander - Grand Falls area after the "Road to the Isles" and a local road linked Frederickton to Carmanville and Gander Bay communities. The population of the settlement reached 235 in 1951 and 346 in 1966. In 1982 the fishing season occurred from May to July, during which time lobster and cod were caught. Other jobs were found in Gander. Although Frederickton is located on a rocky, low stretch of coastline, some areas have agricultural potential and subsistence-type gardens have existed since Muddy Hole was first settled in the early 1940s.
Above information taken from Encyclopedia of Newfoundland & Labrador
