Several trains have been restored for the Weardale line

The first five-mile stretch of track is due to open to the public on 17 July, and on Thursday, work began on building the engine shed at Wolsingham.

The line, currently mothballed, was built in 1847 as an extension to the Stockton and Darlington Railway.

When the shed is completed, the first of three steam engines will be brought back to the area.

The Heritage Lottery Fund has given the project �900,000.

The �5m scheme has already received backing from the European Regional Development Fund to bring back to life the one time busy rural route.

Steve Raine, chairman of the Weardale Railway Trust, said: "We are looking to have three engines with us for our opening in July.

"We have one from North Yorkshire, another from Norfolk and we are negotiating for a third at the moment."

A ground-breaking ceremony was being held ay Wolsingham to mark the latest construction work.