Project Steam chairman John Sutherland said the Dunedin-based group was working to restore a P class steam locomotive by using the salvaged parts of four locomotives rescued for preservation.
The salvaged locomotives were among those the New Zealand Railways Department bought from British company Nasmyth, Wilson and Co in the 1880s and deployed to Otago.
Mr Sutherland, of Dunedin, said the locomotives were salvaged from locomotive dump sites in Otago and Southland as incomplete hulks.
The Dunedin Heritage Light Rail Trust was formed with the aim of reinstating the Mornington cable car line. Currently (2018) four trustees serve, and they have the responsibility of planning the detail of how the service may be re-established, and of seeking the necessary funding.
The High Street Cable Car Society is a body formed to enable enthusiasts to support the project, and is open to public membership. An AGM is held in the latter part of the year.