town (township), Essex county, northeastern Massachusetts, U.S. It lies on the Saugus and Pines rivers, just north of Boston. It was settled in 1629, and its name is derived from an Algonquian Indian word meaning either “extended” or “small outlet.” It was set off from Lynn in 1815. The Saugus Iron Works (1646; now a national historic site) was the first successful ironworks and steelworks in colonial America. Shoes, tobacco, and woolen goods also were produced. Saugus is now primarily residential with services, retail trade, some light manufacturing, and lobster fishing. Inc. 1815. Area 11 square miles (28 square km). Pop. (1990) 25,549; (2000) 26,078.