Subsequently, First Nations took quantities of coal to Lytton for blacksmiths during the Cariboo Gold Rush, as did packhorses to Clinton as early as 1869.
[3] Following contact with Albert Elgin Howse of Nicola[4] and reading the Dawson report of 1886, Lieutenant-Colonel William Hamilton Merritt III journeyed from Toronto in 1887.
He proceeded to the Coast to form an investor syndicate to apply for a railway charter, because establishing economical transportation was a prerequisite.
[6] The NV syndicate comprised Charles Whetham, Stephen Tingley, and Dr. John M. Lefevre[7] (president).
[8] Later that year, the NK&S obtained a charter for the same route by disguising its application as Kamloops to Osoyoos via the Nicola Valley and Princeton,[9] with a branch to Spences Bridge.
[9] The $6,400 per mile federal construction subsidy for the first 72 kilometres (45 mi) was expected to also attract provincial financial assistance.
[14] That year, John Hendry, who possessed good connections within CP, staked out 1,100 hectares (2,700 acres) of coal rights southwest of present Merritt with the intention of starting a colliery.
[1] Ellis concluded that the coal quality and reserves compared very favourably with those of Vancouver Island and the Crowsnest.
In August 1905, he secured an option for coal development on another 1,100 hectares (2,800 acres) but planned to leave the property idle for two years.
This would eliminate competition from other speculators and also benefit his Vancouver Island mines, but the landowners thwarted his attempts.
Next, he claimed the coal was of poor quality and limited quantity, so he was no longer interested in the option.
He imagined his rejection of the area might induce Hendry to abandon the adjoining coal rights.
However, the press exposed the scandal and dashed his hopes of buying up all the Nicola options at bargain prices.
[22] CP obtained locomotive coal from Vancouver Island mines, where labour disputes threatened the ongoing supply.
To minimize heavy rock cuts, the right-of-way crossed the Nicola River multiple times.
[27] The next month, Ironside, Rannie and Campbell were awarded the bridgework, tracklaying and ballasting contract.
In mid-March, the eastward advance of the rail head reached the Clapperton Tunnel,[30] having progressed at 1.2 kilometres (0.75 mi) per day.
[33] Following inspection of the completed line in March 1907,[34] tri-weekly passenger service began at the beginning of April.
[23] The construction announcement in June 1909 revealed the plan had been revised to an extension southward from Merritt via the Coldwater River.
Both on the northeast side of the main line, the station was immediately to the north and the section house just beyond.^d .
Named for the Nicola Valley Lumber Co sawmill built in 1908, destroyed by fire c.1909, and rebuilt in 1911.^d .
Station erected on the south side of the main line about 400 metres (0.25 mi) east of Sunshine Valley Rd crossing.^e .
The first carload of coal came up out of the NVC mine in January 1907, but the first train load shipped out was that June.
The coal was loaded onto 1,400-kilogram (3,000 lb) capacity cars, which were brought to the surface by mules or horses, or up very steep slopes by steel cable and hoist.
[2] In May 1908, NVC chartered a train to bring a hundred of Vancouver's most influential businessmen to inspect the Middlesboro operation.
[2] On the spur crossing the river, the replacement of a wooden bridge with a steel one in 1938 indicated confidence in the mining future.
[92] During World War II, a federal subsidy to coal producers kept prices affordable for consumers.
[2] In November 1915, the Kettle Valley Railway (KV) took over the management of the line,[95] and coal shipments continued as the primary traffic.
During 1916–1959, blockages on the KV Coquihalla segment or in the lower Fraser Canyon created bursts of activity when trains temporarily diverted via Merritt.
Freight comprised lumber and chips from the mills, equipment for industry and ranches, and copper and iron from Coyle.