After independence of India, this area saw a lot of activity. In the 1950s when Rourkela Steel Plant was being constructed, a marshalling yard was set up at Bondamunda to cater to the requirements of bulk transportation. New lines were added. A 170 km (106 mi) line was constructed to establish a direct link with Ranchi. Bondamunda was connected to Barsuan iron ore mines in 1960 and the line was extended to Kiriburu in 1964. The marshalling yard is the second largest in India.[2]
Bondamunda was electrified in the year between 1961–62.[3][4]
The 156 km (97 mi) long line connecting Bimlagarh on the Bondamunda–Barsuan branch line and Talcher on the Sambalpur–Talcher–Barang branch line, was sanctioned in 2004–05 and construction is in progress. This line when complete would reduce the distance between Rourkela and Bhubaneswar, the state capital, from 460 km (via Sambalpur) to 300 km.[5]