In the early years of the nineteenth century large amounts of minerals from the mines in West Cornwall were being carried by horse to the coast to be loaded onto ships. Due to the increasing quantities of minerals and the poor state of the trackways, a railway to link the mines around Gwennap, Cornwall with the coast near Devoran was authorised on 17 June 1824. The track was of 4ft (1.22m) gauge, with wrought iron rails attached to granite blocks by cast iron chairs; it was the first use of edge rails in Cornwall.

The official opening of the Redruth & Chasewater Railway was on 17 June 1826 when some of the proprietors travelled in 3 wagons from Wheal Buller to the end of the line at Narabo Quay, near Devoran. The journey, downhill, was made under gravity with a horse assisting for the return. The line was extended into Devoran in November 1826, and then in 1827 it was extended at both ends; beyond Devoran to Point Quay and from Wheal Buller to Redruth. The railway company, whose headquarters were in Devoran, did not initially operate the line, but rather levied tolls on traffic using it. Several mines had long branches with storage sidings for the wagons.

Initially the line was generally successful. Serving both Great Consols and United Mines, the two largest in the area, and traffic by the 1830's was well in excess of 60,000 tons annually with the company reporting profits approaching £3000. Copper Ore transported down to ships for onward movement to South Wales was supplemented by coal carried in the other direction to serve the ever-deeper mines.

Initially the railway company had not been carriers, and up to 1854 the line was worked throughout by horses, but in November 1854 two tank engines, 'Miner' and 'Smelter' were delivered and began working between Devoran and Carharrack, making the Redruth & Chasewater one of the first narrow gauge railways to introduce steam locomotives. At this time the remainder of the railway was operated by the company's own horses. By 1859 traffic had increased to 90,000 tons annually leading to the acquisition of a third engine, spitfire. This enabled the whole line from Devoran to Redruth to be worked by steam except the final 1½ miles from Devoran to Point Quay which remained horse-worked until final closure.

The railway workshops, like the officies, were located in Devoran, and 'Miner' was substantially rebuilt here in 1869, but traffic began to decline as the copper mines closed and in 1879 a receiver was appointed. 'Smelter' was relegated to the status of reserve engine; but lack of maintenance meant that the line deteriorated and derailments were common. The extension to Chacewater that gave the railway its name was never completed despite works starting in 1853. Closure of the line finally came on 25 September 1915 when 'Miner' took the last train down to Devoran.

There are remnants of the railway at a number of places, notably in Devoran, at Hale Mills and at Redruth. At Devoran, Narabo Wharf has been restored and Old Quay House was the company's offices. The former railway workshops now form the village hall, and a level crossing gate is still to be found behind a low wall on the west side of the road. At Hale Mills in the Poldice Valley there is a steep sided rock cutting, a row of stone sleepers and a bridge made from old rails. There are also two tunnels. At Redruth a double row of stone sleeper blocks indicates the location of the terminus in a yard alongside Trefusis Square. Most of the route of the railway is now followed by the Redruth and Chasewater Railway Trail which links up with the Great Flat Lode Trail at Redruth.