The Gwabegar line branches off from Wallerawang, on the Main Western line.

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'Wallerawang' derives from the language of the Wiradjuri Aborigines who occupied the area before white settlement. It is said to mean 'place near wood and water' or 'plenty of water'. The railway arrived at Wallerawang in 1870 and until the line to Bathurst was completed in 1876, all passengers alighted at Wallerawang and joined a Cobb & Co. coach for the journey west to Bathurst or north to Mudgee. The line between Wallerawang and Capertee opened May 15, 1882.

Capertee sits on the peak of the Great Dividing Range, about 800 m above sea-level and has a population of about 180 people. The district was occupied by the Wiradjuri people prior to white settlement. Grazing, farming, timber and the local mines and power stations constitute the basis of the local economy. The line between Capertee and Rylstone opened June 9, 1884.

Kandos (famous for its association with the production of cement ) is a small industrial town of some 1800 people located in the Capertee Valley. The town came into existence about 1913 when a cement works was set up to take advantage of local supplies - limestone being conveyed from the quarries by means of an enormous aerial ropeway. The original name - Candos - was an acronym based upon the names of the six directors of the first company.

Rylstone is an old stone village of about 1200 people on the Cudgegong River. Wool, sheep, cattle, coalmining, wine, olives, tourism and cement production are the mainstays of the local economy. The line between Rylstone and Mudgee opened September 10, 1884.

The Village of Lue is situated at the junction of the Mudgee, Rylstone and Barrigan Roads. It was originally named Dungaree. When the village moved to accommodate the railway line the name was changed to Lue - the name being officially recorded in 1884.

Mudgee reputedly derives from the Wiradjuri Aboriginal term 'Moothi' meaning 'nest in the hills'. The area is noted for its fine wool, beef, fat lambs, cereal crops, lucerne, vegetables, vineyards (introduced by German immigrants in the 1850’s) and honey. The elegant Victorian-era railway station with its French Empire style roof was designed by John Whitton was built in 1883-84. It is now the ‘Mudgee Station Restaurant’. The line between Mudgee and Gulgong opened April 14, 1909.

Prior to white settlement, the district was occupied by the Wiradjuri people whose language furnished the term 'Gulgong', said to mean 'deep waterhole'. Gulgong is a highly picturesque and well-preserved settlement of single-storey weatherboard, iron, stone and brick buildings with old-fashioned iron-lace verandahs, tiny wooden cottages, horse troughs and hitching rails. The mainstays of the local economy are kaolin clay mining, magnetite mining, a flour mill, the enormous coal mine at Ulan (25 km north-east), tourism and rural industries such as wool, wheat, oats, cattle and fat lambs. One of Australia's most famous poets and short-story writers, Henry Lawson, lived at Gulgong as a young boy (1871-72). The line between Gulgong and Dunedoo opened November 28, 1910.