A further Act of Parliament was passed in 1862, giving the jointly owned Llanidloes and Newtown Railway (L&NR) (which was managed by the Cambrian Railways since 1860) the rights to extend southwards from Llanidloes with 1 miles of double track to Penpontbren Junction where the M&MR Llangurig branch would diverge through the Cambrian Mountains to Strata Florida and the MWR line would continue to Builth Road (serving Builth Wells).