The Texas and Pacific Railway Company (known as the T&P) was created by federal charter in 1871 with the purpose of building a southern transcontinental railroad

Transcontinental railroad

A transcontinental railroad is a contiguous network of railroad trackage that crosses a continental land mass with terminals at different oceans or continental borders. Such networks can be via the tracks of either a single railroad, or over those owned or controlled by multiple railway companies...

 between Marshall, Texas

Marshall, Texas

Marshall is a city in Harrison County in the northeastern corner of Texas. Marshall is a major cultural and educational center in East Texas and the tri-state area. As of the 2010 U.S. Census, the population of Marshall was about 23,523...

, and San Diego, California

San Diego, California

San Diego is the eighth-largest city in the United States and second-largest city in California. The city is located on the coast of the Pacific Ocean in Southern California, immediately adjacent to the Mexican border. The birthplace of California, San Diego is known for its mild year-round...

.

The T&P had a significant foothold in Texas by the mid 1880s. Construction difficulties delayed westward progress, until American financier Jay Gould

Jay Gould

Jason "Jay" Gould was a leading American railroad developer and speculator. He has long been vilified as an archetypal robber baron, whose successes made him the ninth richest American in history. Condé Nast Portfolio ranked Gould as the 8th worst American CEO of all time...

 acquired an interest in the railroad in 1879.

The T&P never reached San Diego.