The Heritage Lottery Fund has awarded £57,400 towards the restoration of GWR heavy freight 2-8-0 No. 2874 at the Gloucestershire Warwickshire Railway.
The 191st locomotive to be bought from Barry scrapyard for preservation purposes, it will be restored by owning group and charity the 2874 Trust.
Built at Swindon in 1918, No. 2874 was first shedded at Old Oak Common, working heavy coal trains from South Wales to London.
It was based at numerous other sheds during its career including Tyseley, Leamington and Banbury and was withdrawn from Neath in May 1963, reaching the scrapyard two months late. It left Barry in August 1987 and moved to the Pontypool & Blaenavon Railway.
The locomotive will be unique in operation as it is the only one of the class restored in as-built form with internal steam pipes.
Trust chairman David Foster said: “We are confident the project gives us opportunities to extend heritage skills and introduce them to a new generation, helping to ensure a long-term future for heritage locomotives and perhaps along the way we can encourage some to make a career in engineering.”
Work will begin later this year.