The M&MR line from Pencader to Lampeter was opened on 1 January 1866 but the mixed gauge rails had not been laid; accordingly, Davies and Beeston, the M&MR's contractor, were instructed to lay the necessary rails; they received £20,000 of M&MR shares for their trouble. While the work was proceeding there was an exchange station called Pencader Junction, a short distance north of Pencader C&CR station. The M&MR opened its line from Lampeter to Strata Florida on 1 September 1866, and on to Aberystwyth on 12 August 1867.