[1] A standard gauge line duplicated the southern section from Port Augusta to Maree in 1957 on a new nearby alignment.
A small southern section of the original line between Port Augusta and Quorn has been preserved and is operated as the Pichi Richi Railway.
The most southern part of the line between Port Augusta and Quorn is now referred to as the Pichi Richi Tourist Railway.
It is suggested that The 'Ghan name is in recognition of the Afghan Cameleers that plied their trade in the area well before the railway; however, see The Ghan (Etymology) for alternatives.
The South Australian Railways, as the agent of the colonial government, wanted to build the line, and there were others who thought that investors, predominantly from the United Kingdom, would offer better value for money.
[13] All three could not see going further north than Beltana (232 km) due to rain fall and environment, The two options out of Port Augusta were the Western Plains and the Pichi Richi routes.
An extensive permanent survey was conducted circa 1876 and the final route mapped to Government Gums due to the water available at the terminus.
Discussion occurred about whether the existing line should be extended or a 1435 mm (4 ft 8+1⁄2 in) standard-gauge railway from Tarcoola should be initiated.
[39][40] The tortuously curving narrow-gauge line between Marree and Alice Springs was notoriously prone to delays, often caused by flash floods washing away bridges and tracks.
When heavy rains fell inland in New South Wales and Queensland, gigantic "flash floods" came down normally dry riverbeds; bridges, embankments and other earthworks gave way under the onslaught.
Rolling stock, sidings, marshaling areas and water points for the steam engines were all key issues in increasing traffic on the line.
The Leigh Creek and Telford Cut Coalfields were first excavated in 1943 following a shortage of coal during World War II and between 1951 and 1954, discussions surrounded two route options to upgrade to standard gauge.
The South Australian Government and agriculturists wanted to extend the standard gauge line a further 88 km to Marree.
[63] The Minister for Transport, Senator George McLeay and the Commonwealth Railways Commissioner, Mr. P. J. Hannaberry, both stated that they were "strongly in favour" to extend the standard gauge line all the way to Alice Springs in 1952.
This was predominantly for coal to be transferred from the Leigh Creek and Telford Cut Coalfields to the power stations at Stirling North.
The line was extended to Marree for cattle to be transported to market from the grazing plains, including around the Birdsville Track.
Between 2000 and 2002, the line was extended 12 km (7 mi) to Port Augusta station, running alongside the standard gauge mainline for about half the distance.