The SS Lady Darling was an iron-hulled, three-masted steamship built in July 1864 by W. H. Potter and Company of Liverpool. She was 189.7 feet long and 29 feet wide, and in 1870 was lengthened to 239 feet and 895 gross tons. A single coal-fired boiler drove a 140 hp two-cylinder engine. Her final owner was James Paterson's company. On the night of 10 November 1880, south of Montague Island, the chief officer altered course eastward and just before midnight the ship struck Aughinish Rock on her port side near the engine room. The hole was about the size of a garbage-can lid, 2.5 m below the waterline, and she sank stern-first around 12:30 am. A contemporary sounding gave 15 fathoms (28 m).

The wreck was lost for over a century until August 1996, when a fishing trawler snagged its net on it and Bert Elswyk and Paul Mood located it. It lies facing south in about 30 m, 5.5 km south-west of Aughinish Rock, 8 km south-west of Montague and 2 km off Cape Dromedary. The stern section rises 4–5 m off the sand and contains the winch, metal decking over two decks, the upright engine with prominent cylinders, the driveshaft and a half-buried boiler. About 20 m away the bow section is fairly intact but tilted to starboard, with anchors and a donkey boiler on the starboard side.

Every surface is covered in sponges, jewel anemones, yellow zoanthids, sea squirts, gorgonians and giant jelly ascidians, and McFadyen found more prolific fish life than on other local wrecks: yellowtail, silver sweep, mado, bullseyes, nannygai, leatherjackets, striped morwong and butterflyfish. The Marine Life Network calls it one of the best wreck dives in NSW. The depth and exposure make it an Advanced dive.

Boat access only, with a permitted operator. From Narooma the boats cross the bar and run south-east past Montague Island, about 30–40 minutes; from Bermagui harbour the wreck is a shorter run north past Cape Dromedary. McFadyen's position is 36°19'06"S 150°10'06"E on the old AUS66 datum (about 200 m off a WGS84 fix).

Anchoring on the wreck is prohibited; historically a mooring system was installed and divers descend the line.

The wreck lies in open water off Cape Dromedary and needs calm seas, little current and a crossable Narooma bar (or a Bermagui departure). Southerly swell makes the site and the run home rough. McFadyen notes the historical mooring was inadequate for many local boats and at one time broken, so check on arrangements before going.

Visibility is best in summer and autumn.

Descend the mooring to the stern section, explore the winch, decking, upright engine with prominent cylinders, driveshaft and half-buried boiler, then swim about 20 m to the bow section with its anchors and donkey boiler. Return to the line with plenty of gas and ascend, doing a safety stop on the line.

Protected historic shipwreck (Underwater Cultural Heritage Act 2018). Nitrox (EAN28–30) helps extend bottom time. No penetration without training.

Access historically restricted to commercial operators holding NSW Heritage permits (McFadyen). Narooma operators run it occasionally for Advanced divers in good weather; check current permit arrangements with Underwater Safaris or Narooma Charters.