This long journey of recovery has been bolstered by funding from Crown Lands to the tune of $965,000 which brings the State Government's total contribution to $2.75 million.

"This extra funding will support restoration of the railway's workshop building including replacing damaged structural steel, cladding, retaining walls, and roofing," Member for Bathurst, Paul Toole said.

"The NSW Government previously announced $2.3 million in 2018 for repair work, and the Zig Zag Railway has also contributed $881,000 in what's been a resilient partnership with the community."

Minister for Lands and Water Kevin Anderson said the Zig Zag Railway is a tourism gem listed on the State Heritage Register and the Lithgow Local Environmental Plan.

"The Zig Zag Railway has been an icon and tourist drawcard for the Blue Mountains for nearly half a century thanks to its committed volunteers dedicated to keeping the romance and heritage of Australia's steam train era alive," Mr Anderson said.

"The sights, sounds and smells of the old locomotives chugging through sandstone viaducts to reveal the remarkable scenery of the Blue Mountains is a unique experience of international significance."

The tourist destination has been training its volunteers in preparation for its planned reopening later in the year.

"As the working week finishes for most tomorrow, many of our volunteers will head to the railway again this weekend to continue training and practicing their skills in preparation for our reopening latter this year," they wrote on social media.

In May 2021, a steam train travelled the famous tracks for the first time in nearly a decade.

Zig Zag Railway Chairman, Ben Lawrence said at the time that it had been a long time coming.

"So many people have worked long and hard on getting the railway to where we are today," Mr Lawrence said.

"There have been times where we have been so close to this moment, only for it to just slip out of reach. But this week were able to return steam power back to the Zig Zag Railway as we put our newly restored engine through its paces."

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