Penhallow once had a station which served the LSWR as well as the GWR hence the stations name PENHALLOW JUNCTION. Both companies had their separate platforms and goods yard along with their own signal boxes. The Brewery was served by both railway companies.
LSWR and GWR loco's would use the cross over between lines to run around their trains and for through freight traffic to be shunted - Some Southern railway wagons would use the LSWR line and then shunted onto the GWR freight yard and visa-versa to continue their journey. From 1923 the LSWR amalgamated with the Southern Railway. It was then the SR and GWR shared facilities.
In 1947 the Railways were Nationalised and each became part of British Railways. In 1963 the old LSWR/SR line was closed and the old GWR goods yard became redundant. In 1964 Platform 2 was taken out of use. The old Southern line (LSWR) became sidings for use of the Brewery which still relied on traffic going by rail.
In 1982 the old station was demolished and the yard sidings were taken up and realigned to take military traffic. A new modern station building was put in place in 1984 and Platform 2 was re-instated in 1986. Penhallow Junction's passenger traffic increased in the late 1980's/90's even though the recession was hitting other parts of the country, with a new army/commando training establishment being open, partly in light of the Falklands war in 1982. Penhallow Junction still retains its name to this day.