Following a new line being opened in February 1970 by the Federal Government, the line was made redundant and the company concentrated on operating shunting and track maintenance services to the mines industry in and around Broken Hill with its remaining two diesel locomotives. Under the 1886 Act, the Government of New South Wales had an option to buy out the company for 21 times the annual divisible profits of the preceding seven years. Silverton calculated it was entitled to $5.8 million, but through legislation this was removed, the company having to settle for a $2 million payment.