In 1871, the LC&N board of directors decided to opt-out of the rail transportation industry and began to lease the railroads it owned or controlled to the CNJ, including the Panther Creek Railroad.[6] The Panther Creek Railroad continued operation until 1901, when the CNJ was acquired by the Reading Railroad.[7]
LC&N gained control of the Lehigh and New England Railroad (L&NE) in 1904. In 1912 a new L&NE extension opened, splitting from the main line at Danielsville, Pennsylvania and running west to Tamaqua to directly serve the LC&N. In October 1913, LC&N transferred its leasehold interest in the Tunnel to Panther Creek Railroad Company by deed which contained a provision that “in the event of abandonment, the right-of-way shall revert to Lehigh Coal.[8]” On December 14, 1913, the L&NE acquired the balance of the Panther Creek Railroad, running east from Tamaqua to Summit Hill, and with a connection to the Hauto Tunnel for access to Nesquehoning obtained in 1915. The L&NE made the route between Hauto and Maybrook, NY its main line.[9]
L&NE decided to end its railroad operations in late 1961. The rapid decline of the anthracite coal business was seen on the horizon led to the decision to cease operations. A few of its routes were spared when the nearby CNJ acquired, among others, its old line to Tamaqua (the old Panther Creek Railroad). This ex-L&NE trackage was operated under a subsidiary known as the Lehigh & New England Railway (not Railroad). The resulting Lehigh & New England Railway operated from 1961 until it was acquired in 1976 by ConRail.[10]
It is now used by the Reading, Blue Mountain and Northern Railroad from Tamaqua to Lansford.