In 1865 the railway was bought by a consortium of Pittsburgh steel manufacturers, who had already bought the Marmora Iron quarries north-east of Rice Lake. They established an iron-ore supply route using barges up the Trent River and across Rice Lake to the railway at Harwood. From there it was brought along the Railway to Cobourg Harbour for shipment across Lake Ontario to feed the steel mills of America. This provided a steady income for the railway and the town until the ore ran out in 1878. It also had two longer term spin-offs in the form of a rail car company and the beginnings of a tourist industry.