Plans for an 80 kilometre tourist path from Wallerwang to Kandos were discussed by members of the newly formed Tourist Trail Committee, at Portland RSL Club last November.
The proposed pathway is to run along the side of the railway line in towns within the Capertee Valley, with no intention of moving the existing tracks, Tourist Trail Committee team leader, John Moore said.
"The Capertee Valley is an amazing place to visit on its own, with a wonderful history from Shale Oil to gold, and an amazing array of birdlife," he said.
"The tourism path may run beside the line on a former maintenance track, making it so much easier to follow the lines as they were surveyed in many years ago," he said.
Mr Moore said the installation of the path was a potential for increased tourism.
"There is tourist benefit for towns both large and small along the route," he said.
"There is also concept for bike riders, no motorbike riders, and maybe horse riders, which could be developed further.
"It will be a safe riding and walking path."
Lithgow City councillor Maree Statham recently accepted the role of chairperson for the Tourist Trail Committee, under the auspices of Portland Tidy Towns.
"I'm very humbled and delighted as the local chairperson of this project which will benefit small towns like Portland, Wallerawang, Cullen Bullen, Kandos and Rylstone," she said.
"It's an amazing project, I'm pretty shocked it's come our way. An amazing chance, once in a lifetime."
Ms Statham encouraged residents within the local area to be part of the Tourist Trail Committee, in order to make the project a reality.
"We need to form a committee before the end of January," she said.
"We need to promote this idea because we've got some breathtaking views from here to Kandos and Rylstone, there are several hotels, guest houses and opportunities for people to promote local tourism."
Ms Statham said once a committee was formed she could find the "perfect person to start lobbying the state government".
"We need funding, there is already a track alongside the current railway line for emergency services and things like that, however it would need to be in better condition," she said.
She said those interested to benefit their towns should get in contact with her.
"I'd be delighted to form this committee and get locals to come to meetings. I can see great benefits for all of these stops all the way to Rylstone," she said.