Unfortunately, construction costs for the railway and expansion of the colliery had impacted company finances. Revenues were insufficient to pay interest on company bonds and bankruptcy was declared with the company liquidated in 1883. The
Cumberland Coal and Railway Company was incorporated in 1883 and changed its name to
Cumberland Railway and Coal Company in 1884 when it purchased the assets of the
Springhill and Parrsborough Coal and Railway Company (Limited). The new CR&C began mining on a much larger scale, opening the No. 1 and No. 2 collieries on the Springhill Coal Field. The company suffered a devastating loss on February 21, 1891 when a fire ignited accumulated coal dust in both collieries killed 125 miners (see the 1891 Fire under
Springhill mining disaster). Following the fire, coal production resumed on an ever-increasing scale in the Springhill Coal Field, fed by the railway boom across Canada and the economic protection afforded by the
National Policy which prevented a flood of cheap American coal into the country.
DOMCO and DOSCO In 1910 the
Dominion Coal Company Limited (DOMCO) absorbed the Cumberland Railway and Coal Company, maintaining the CR&C as a subsidiary. DOMCO was merged into the
British Empire Steel Corporation (BESCO) in the early 1920s, which was later subsumed by the
Dominion Steel and Coal Corporation (DOSCO) in 1930. In 1957 DOSCO was acquired by
Avro Canada, which became
Hawker Siddeley Canada in 1962. Under DOSCO ownership, the CR&C operated its Springhill mines as efficiently as possible, however by the 1950s, demand for coal was softening as railways dieselized and alternative heating fuels were implemented. DOSCO made few capital investments in the Springhill mines as production was winding down, which is believed to have contributed to two mining tragedies in that decade. The 1956 Explosion was caused by a runaway mine tram on November 1, 1956 and killed 39 miners. (see 1956 Explosion under
Springhill mining disaster) The mines returned to production in January 1957 however few improvements were made, other than what was necessary to begin mining again. Declining export markets for Springhill coal saw the CR&C decide to stop shipments through the port of
Parrsboro in the summer of 1958. The last train operated to Parrsboro on June 14. That fall saw the final chapter in Springhill mining history. The
1958 Bump was caused by the use of "room and pillar" mining techniques up until the late 1930s, creating undue stress on the local geology. Despite using the newer "long wall retreating" method, a devastating
bump on October 23, 1958 killed 74 miners when the collieries collapsed. Following the 1958 Bump, DOSCO never reopened the mine and abandoned all of its mining properties in the Springhill Coal Field, throwing thousands out of work and devastating the economy of central Cumberland County. The CR&C railway limped on for a few years after the closure of the coal mines. After June 14, 1958, the southern terminus of the railway was in Southampton, to serve blueberry packers there. Scheduled CR&C service was reduced to one daily round trip between Springhill and Springhill Junction. Traffic continued to decline, and permission to commence abandonment of the line was granted in February 1961. The last train ran in 1962, and the last of the tracks were lifted in 1964. ==Foray onto Cape Breton Island==