While work to the east was also under way the EP&NE under its own name was extended further north to Carrizozo, near White Oaks.
James Douglas, a representative and co-owner of the growing Phelps Dodge mining corporation who was also the owner of the El Paso and Southwestern Railroad (EP&SW), entered negotiations with Eddy over the sale of the NMRy&CCo, the holding company for Eddy's rail and coal properties in the territory and Texas.