The Blue Circle Southern Cement Company operated a short private railway to connect their cement plant at Portland with Ivanhoe Colliery and the NSWGR line to Mudgee.  Although only two kilometers or so in length, the line to the cement plant featured a steep gradient and the locomotives were worked quite hard.  Blue Circle Southern Cement at Portland operated an interesting stud of industrial steam locomotives, often augmented by hired NSWGR locomotives (particularly members of the Z(26) class of 2-6-2ST engines) and was one of the last commercial steam locomotive operations in Australia, with second-hand diesel locomotives taking over as late as 1983.  Complete closure of the cement plant followed a few years later.

No.3 on the Blue Circle Southern Cement loco roster was a chunky 0-6-0T locomotive built by Andrew Barclay, Sons & Co. at Kilmarnock, Scotland (builder's number 1234 of 1911) and appears to be to a standard design.  Together with No.5 and 2605 it was still at the cement plant when steam locomotive operations finished in 1983.