On the bay, it would be possible to provide a deep water berth for larger ships, which was necessary for coal to be exported intrastate, interstate and overseas.
It was noted that the line would benefit the district and the coal trade, as well as providing easy access to the beach resort of Pialba.
It would then utilise the first 7 and a half miles (12 km) of the Burrum railway to a point approximately the same location as Colton, then run north-east to Pialba and south to Urangan on a new formation.
The government had the option to buy the railway and wharf facilities at a cost, plus 5% of the value of rolling stock and other equipment, after ten years.
In March 1885, some of the Vernon Co. directors visited the Burrum coalfield and were surprised to find that little development of the coal deposits had taken place, but promises were made that the railway would soon be commenced.
The first share issue of the company in February 1886, did not meet with the expected response and difficulties were being experienced in obtaining land leases for right of way.
Vernon Corporation was on the verge of collapse in 1887, but interest shown by London capitalists, the Australian-based Transcontinental railway syndicate, in buying the company, gave renewed hope.
Soon after, the London-based syndicate had discontinued its interest in Vernon Corporation, and as it stood was unable to raise an additional £3000 deposit and eventually went into liquidation in 1888.
This proposal also failed to eventuate, and although interest in a railway did not wane, there seemed little likelihood of the government or a private enterprise building such a line.
Though there was some local opposition in such use of taxpayers' money, the Burrum Divisional Board, who were keen to see the railway built, agreed to act as the other guarantor.
Danish and German families played an important part in the development of the surrounding areas, and were principally involved in sugar-cane and timber-getting.
Construction had advanced sufficiently enough for McArdle and Thompson to open the railway to Aalberg (sometimes spelt Aarlberg, now known as Nikenbah) in October, 1896.
During the first three years of operation, the line sustained a loss, but as this had decreased over the same period, it was optimistically felt that the revenue would improve as settlement expanded now that an efficient means of communication had been provided.
Due to this, the Burrum coal catered mainly for the local market – between Gympie and Bundaberg – such as railways, industry, gas works, sugar mills and coastal shipping.
[4] The last passenger train to run on the branch departed Pialba on 7 August 1972, but the railway line was kept open for freight.
The last train to depart from the Urangan freight terminal did so on 29 October 1991, as Caltex stopped operations at the storage facility.
[5] Pialba railway station still exists, though the platform has been removed and the building has been converted to the Vietnam Veterans Association.
Some railway activists are calling for a modern rail link to be installed to Hervey Bay due to the city's rapid growth.
[4] People wishing to travel to Hervey Bay by rail must leave the train at Maryborough West and continue by QR's bus.
In 1966, Walkers Ltd. of Maryborough built a B-B diesel-hydraulic locomotive, the first of its kind, as an experiment, offering it to Queensland Railways on a trial basis.