The Whitby Stone Company was formed in 1832, by the same Whitby based businessmen who were involved in the horse-drawn Whitby and Pickering Railway. The aim of the Stone Company was to transport sandstone, ironstone and whinstone from the Grosmont area to a stone quay at Boghall, Whitby for export to such places as London, Margate, Ramsgate and Tangier.. G. W. Waddington was a founder member and is now buried in Grosmont churchyard.
The unusual thing about this rail, from the earliest productive mine into the Cleveland ironstone in Grosmont, is that is it plateway rather than the usual bridge rail. The company name is cast on the underside.