New Delhi: The rare photos of the war time leader were discovered among a box of maritime memorabilia bought recently at a job lot at auction.
Its owner noticed the album inside, decided to get it individually valued and was left 'surprised and taken aback by the historical importance' of his new purchase.
They found 125 pictures
Inside it they found 125 pictures from the early 1900s for a 30-year-old Churchill aboard the yacht Oceana.
Various images show Churchill steering the yacht with a cigar in his mouth, relaxing on the deck and striking a pose with his girlfriend and future wife Clementine Hozier.
The pictures are believed to have been taken between 1903-1905 by family members of Gilbert A. Tonge who owned the yacht from 1894-1919.
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At the time, Churchill had already served as a second lieutenant with the British Army and was a recently elected MP for Oldham.
The future PM defected
The future PM defected to the Liberal Party around the same time before rejoining the Tories 20 years later.
The album is now expected to sell for between £600-£800 when it goes under the hammer at Charles Miller Ltd in London on November 12.
Maritime memorabilia specialist Charles Miller said: 'This album is a rare find.
'Not only does it provide a snapshot into the life of Churchill at the time but unusually it contains images of people actually working on the yacht as well as images of the luxurious interior which is fully panelled and fitted to a very high spec.
'The backgrounds of the pictures are also fascinating - there are passing paddle steamers, warships and even a lady wearing a large hat steering a steam launch, and one shows a gramophone in a tent on deck.'
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The album was discovered in a Norfolk saleroom and also includes a photo of the tea magnate Sir Thomas Lipton aboard.
Churchill, who served as Prime Minister during World War Two from 1940-1945 and from 1951-1955.
Love for cigars
The PM was renowned for his love of cigars. He is said to have become partial to cigars around 1895 when he was in Havana, Cuba, to observe the Spanish battles against Cuban guerrillas.
It has been widely documented that the leader would smoke ten cigars a day - around 250,000 in his lifetime before he died in 1965 aged 90.
It was customary for the World War Two leader to start the day with a scotch and a cigar and would often puff through working, meetings and meals. (with Agency inputs)