When Abram Darby discovered a method of using coal in the manufacture of iron the old iron districts were virtually doomed and the scene was set for the utilisation of the natural resources of South Wales. Coal, ironstone and limestone could be obtained in immense quantities and water to turn the huge wheels in order to work the bellows which gave the necessary blast could be obtained in abundance.

While there was no tradition of industrialisation amongst the landowners, there were however English bankers and businessmen who were prepared to sink their capital in establishing iron manufacture including some of the old Quaker merchants of industry.

Anthony Bacon who in 1765 had been granted two mineral leases in the Parish of  Aberystruth, one of 65 acres for 99 years at Cwmglo Isha Nantyglo and the other of 75 acres for 99 years at Cwmglo Ycha Nantyglo, established in the same year the Cyfartha furnaces at Merthyr. In 1776 Bacon was joined by Richard Crawshay. Two years later the Kendall family erected the Beaufort furnaces. While the Clydach Iron Works, although in being since the beginning of the century were firmly established by Frere & Cook in 1793. Six years later the first real development took place in Nantyglo and Blaina.

As a result of an indenture made on the 30th November 1789 btween Henry Earl of Abergavenny on the one part and Thos. Hill, Thos. Hopkins and Benjamin Pratt on the other part the latter were given rights to “all the mine beds, veins and quarries of iron ore, iron stone, coal, limestone, shale, clay and marl lying or being within, under, or upon a very large tract of mountain land in the Parish of Aberystruth in the County of Monmouth with liberty to search for such materials and to erect buildings, forges and other works there on” at a yearly rental of £1,300 – the lease to remain for seven years. The company became known as the Blaenavon Company.

The Blaenavon Company found that the property was too large to be worked adequately and the Nant-y-glo portion was detached in 1791.

Then on the 30th April after Hill had proposed partnership with Messrs. Hartford Partridge & Co. bankers of Bristol the first company was formed to operate in the area. The Blaenavon and the Nantyglo firms were to pay half of the renewal rent of £1,300. As a result, two blast furnaces an engine house and several forges together with workmen’s cottages (Market Road) were to be erected.

On 27th January Hartford informed Hill that the works were ready, the whole costing £27, 316 .. 17s .. 3d. Hill refusing to pay more than £10,000. On the 28th January 1795 the furnaces were put into blast. However continual differences between the owners occurred and after operating for only one year the works closed down. Financial difficulties had also helped in the closure.

During the period of employment Hartford had let out his minings on contract. One which was dated 1794 was with a John Morgan mine owner who for three years contracted to raise three 200 dozen (a dozen being 36 cwt.) of good clean perfect ore.

On february 8th 1802 a Mr. Joseph Harrison bought the works and formed Nantyglo Company. He contracted to supply Mr. Samuel Homfray of Penydarren 15 tons of pig iron weekly for six months and after for 21 years with 390 tons of pig iron weekly. However his energy and enthusiasm far outweighed his financial resources. He refused to seek help and in 1804 he was forced to relinquish the undertaking. Then followed seven years of unemployment and misery. The furnaces were once again put out and the forges became silent, “the gradually became tenantless and fell into decay and desolation.. Industrial death, in a worse, more grievous, more pitiful and more enduring aspect than before, again settled down on Nantyglo” .

The turning point was in 1811. The natural advantages of the area were immense and only required capital, combined with skilful and united management to develop the property into a vast, profitable undertaking.

In 1810 Richard Crawshay of Cyfartha died leaving a good sum of money to his nephew Joseph Bailey. Joseph had started at the bottom and rose to be manager. It was he who fetched the wages from the bank in Brecon. He had come from the North of England. In 1811 he entered into partnership with Matthew Wayne furnace manager at Cyfartha. Together they bought the Nantyglo works for £8,000, some of which was borrowed from Morgan the banker of Abergavenny. They obtained a lease from Hill and Company for a term to end on 22nd June 1869 on land which was “situated and lying in Nantyglo on the North West and North East sides of the said mountains of hilly land, commencing at a part called Pont Lamarch and running from thence in a direct line to a MERE STONE placed on a certain hill called MYNYDD CWN CELLAN near to and on the North side of an old TILE STONE called GRAY-CLUCH and from such Mere stone in a direct line to a certain BARN occupied and situated near to the said CWN KELLAN brook”.

And from thence along the course of the said brook, on the South West and North sides thereof to its junction with a certain brook called the EBBW FACH near the Aberystwith church and from thence following the course of the said River Ebbw Vach on the South West and North West sides to its junction with the EBBW FAWR to the extent of the said Earl of Abergavenny’s estate, and the better to ascertain the boundary from Pont Lamarch to the said MERE STONE placed on MYNYDD CWN KELLAN and thence to the barn mentioned to have been formerly occupied by William Anthony, a ditch has already been thrown up all which hilly land was situate in the Parish of Aberystruth in the Manor of Abergavenny and Belleine in the County of Monmouth”.

Wayne sold out his share in 1813, and went to the Aberdare valley and Jospeh was then joined by his brother Crawshay. They were both self willed and of indomitable courage and on the whole the relationship between the two men did not run too smoothly. However a great impetus in the works now took place. The two brothers, being now joint partners, Nantyglo rapidly rose or more correctly surged into active and abounding life. Furnaces and forges rose from their ruins and renovated with surprising celerity and workmen flocked to their quarters from all the contiguous and districts of Monmouthshire, Breconshire and Glamorgan.

In the year that Crawshay Bailey joined his brother it was found necessary to expand the works. What became known as the Old Forge and Mill were built. This addition to the producing power seemed to create the necessity for still further increases and orders came pouring in. By 1825 an additional forge “The New Forge” was added which all gave an added impetus to trade and the firm of Messrs. J. & C. Bailey was attaining a world wide reputation. The demand for iron rails and all that went in the building up of a great railway system in this country was insatiable. In 1833 the firm was compelled to build the New Plate Mill which greatly increased the supply again and gave a renewed and swelling impetus to the demand “Nantyglo was not simply moving by gradual and toilsome progress into prosperity but leaping and surging into it”. As Thomas Hill said to William Morgan, the Abergavenny banker “The Nantyglo people are coining money, aye and rolling in bank notes”. The grand crescendo in these successive and rapid advances was reached in 1844 when the famous Lion Mill was built with its extensive buildings, stores and workings. Nantyglo had become one of the most important iron producing works in the world; every new improvement for the speedier and more perfect making of iron was seized upon and immediately adopted, and nothing was neglected which skill, enterprise and capital could secure to develop Nantyglo into a grand centre of iron industrial enterprise.

While Nantyglo works had been developing upon such a prodigious scale lower down the valley at Blaina other important enterprises had been taking place chiefly at Cwmcelyn and Coalbrookvale.

The Blaina works were founded in 1826 by a Mr. George Jones a Staffordshire iron master and capitalist. He worked the business with considerable success and with large profits to himself, for many years and having realised a large fortune disposed of the works and the whole of his interests in the lease hold property to Mr. Thomas Brown ( of Russel & Brown). After several years he disposed of the property which had continued to enjoy the prosperity of the former owner. The new owners were Messrs. Levick and Simpson – “The rivals of the Bailey’s”. These two gentlemen extended the business and considerably enlarged the works. Orders came pouring into the Blaina works and the town soon became as populous as Nantyglo. The demand for their manufactures far exceeded the supply and the two proprietors decided to purchase several small freehold properties in the area, together with the well-established Coal Brook Vale works.

The Coalbrook Vale works were started in 1820 by Mr. George Brewer who was believed to be a relation of the Darby’s of Coalbrook Dale, hence the name Coalbrook Vale. Brewer was quite as successful in his enterprise as the Baileys in Nantyglo and the other proprietors in Blaina. On the death of George Brewer in 1845 his son Tom Llewellyn Brewer assumed control of the works, and became one of the most popular iron masters in the area and retained his connection with Coalbrookvale long after Levick and Simpson had carried out their purchase in 1855.

It was only to be expected that with such a rapid increase in  the industrial development of the area some difficulties and set backs were to be expected. One of the chief difficulties of course was transport.

In 1792 an Act of Parliament authorised the construction of the Monmouthshire canal and in the following year a similar act gave authority for the construction of the Brecon and Abergavenny canal. The former incorporated the building of a tramroad from the head of the canal at Crumlin to the Nantyglo works. This was completed in 1815. In 1804 the construction of a tramroad from Nantyglo through the Clydach Gorge was authorised. However this was not undertaken until the Baileys took over the Nantyglo works. Two sets of tramroads were commenced about 1819 one of which followed the gorge of the Clydach . This entailed a great deal of labour and a certain amount of engineering skill as a walk through the sylvan glade will testify. The other tramroad known as Mr. Bailey’s Tramroad followed the right bank of the Clydach Gorge and later became the L. & M. W. Railway line from Abergavenny to Brymawr which was completed in 1868? Mr Bailey’s tramroad ended at Govilon.

With these outlets completed the transport of iron manufactures became a fairly easy matter. Returns of Iron for shipment at Newport by the Monmouthshire Canal were as follows: -
 

In 1811 Nantyglo had 2 furnaces. By 1830 there were 7 furnaces. In 1825 Blaina had 4 furnaces with a weekly output of 2,400 tons per annum and by 1839 Blaina had 4 furnaces with a weekly output of 240 tons a yearly output of 5,200 tons, and by 1839 had 3 furnaces with a yearly output of about 500 tons.

In 1833 Crawshay Bailey bought the Beaufort Iron Works, Joseph his brother having retired to Glanusk Park to become later Member of Parliament for Worcester in 1835. The two works later were operated as one concern; Beaufort supplied the pig iron from the furnaces to be made into rails for the home and American markets. These were made in the rolling mills in Nantyglo.

A furnace usually in operation in South Wales in 1831 would produce 5 to 6 tons of pig iron in 12 hours. To produce this 15 tons of roasted iron ore, 22 ½ tons of cake and about 6 ½ tons of limestone were used. The iron would be run from the furnace every twelve hours, tapping it in the front and on the level with the bottom of the hearth at the side on which no twyer (a tube through which the blast of air enters the furnace) was used. Some of the workmen employed in the iron works at that time were founders, moulders, cinder workers, engine keepers, fitters, limestone burners, bridge stockers, coakers, coal sellers, barrow fitters, mine burners, mine weighers, carpenters, smiths, masons and hauliers.

The iron stone used by Harford and Co. was called the Welsh mine. However, years later the famous seam called the Black Band was discovered. The discovery of this famous seam took place when the Baileys were experiencing financial difficulties. They had overdrawn at the Abergavenny bank and the manager was undecided about continuing the overdraft. When the news arrived that Mr. Bailey had stuck the Black Band seam, “Tell him” said the manager handing the money required to the messenger “to draw upon us for any amount he may need”. That was the turning point in the fortunes of the Baileys. The Black Band contained 37.8% of metallic iron. Then it was found that Spanish iron ore contained 55 to 60% of metallic iron and gradually the latter supplanted the demand for local ores. By 1865 the imports were one third of the local ores; by 1874 the imports were four times that used from local ores and by 1890 no local ore was used at all.

The years 1850 to 1860 were perhaps the most prosperous years in the life of Nantyglo and Blaina. During that time Levick and Simpson expanded half a million of money in purchasing contiguous properties and improving their undertakings and in Nantyglo. Crawshay Bailey, now basking in sun of great prosperity had left Ty-mawr and was living at Llanfoist House, while two nephews Richard and Henry, were acting as managers. Crawshay, however, was a continual visitor to the vast undertaking he had built up.

Signs of depression in the local iron trade first appeared in the early eighteen sixties. Competition in other parts of the country was growing and fluctuations in the iron trade generally all helped to cause a deterioration in local industry. Levick & Simpson made gallant attempts to keep the works going, but in 1866 the dreaded cholera spread through the area (and in 1867 Levick and Simpson were forced to close their works) Levick was considered an ideal employer by the standards of those days and although between three and four thousand of his workers became unemployed they inaugurated a subscription and presented a testimonial to him for his sympathy and generosity to them.

However unlike Levick & Simpson who had all their assets tied up in the works the firm of J. & C. Bailey was able to tide over the disastrous years with but a limited loss and by 1869 Nantyglo emerged “once again into the sunshine of bright prosperity”. Levick & Simpson having no reserves, the management was carried on for a few months by trustees.

The latter endeavoured to dispose of the whole of the property and the works were prepared to sell at a considerable loss. Negotiations were opened with a Mr. James Carlton a Manchester capitalist of good repute and large influence, but the general condition of the iron trade at this time was at a very low ebb, with the result that both Blaina and Caolbrookvale works completely closed down in August 1867.

Repeated efforts were made again to dispose of the works and on one occasion a contract was signed between the Trustees and a Mr. Heally. A deposit was laid down but having failed to come to an agreement with come of the land lords of adjoining properties it was impossible to complete the purchase of the property an Mr. Heally had to forfeit a large sum of money.

In the autumn of 1868 contract was again made with Mr. Carlton and earnest efforts were made to prevail upon him to purchase the property, but continued depression in the iron trade remained and made him hesitant. While in this state of hesitancy he received an offer from Massrs J. & C. Bailey who were desirous of selling out their Nantyglo properties.

Immediately he began discussions for the purchase of the whole of the Nantyglo and Blaina iron works and after protracted negotiations the Nantyglo and Blaina Iron Works Company Ltd, came into being. The first directors were Mr. James Carlton, chairman, Mr. James Clark (Manchester), James Rowley (Flint), Frederick Levick Junior (Blaina), John Richardson (Blaina), and Charles J. Richardson (Blaina). Frederick Levick son of a distinguished father, possessing a thorough knowledge of the iron trade, the works and their capabilities was appointed general manager.

The tasks confronting the board of directors were immense. The mines were flooded, the mills and forges out of repair, the furnaces almost in ruins and the works in every branch of them in a state of general dilapidation. Those workers, however, who had remained were overjoyed that the days of unemployment were over and went to work with a zeal, and within a month the works were producing pigiron once again. A profit of £50,000 was made in the first year of the company’s existence and everything pointed to the prudence and sagacity of Mr. Carlton’s venture and to the energy and skill of Frederick Levick’s management.

August 1870 the second year of the undertaking dawned still more brightly for the shareholders and workmen alike. The Company had two furnaces in blast and one in the course of erection in Blaina and one in blast in Coalbrookvale and 2,000 men were now employed again. The acquisition of the Nantyglo works now pending would not only immensely augment the producing power of the Company, but would reduce enormously the cast of fuel and lessen very considerably administrative expenditure. This would mean a cheapening of the cost of production and so increase the Company’s profit. Nantyglo would pass on to Blaina the pig iron for the production of the finished iron and the various coal properties would be let to responsible tenants on lease. A new and enlarged company was to be formed, of which the existing company would form the nucleus: the whole of the valuable railway system was to be reserved as a separate estate. The directors whole heatedly agreed with the project and so Messrs. J. & C. Bailey sold their works at an unusually low figure in 1871. Thus the company which had reigned supreme in Nantyglo for exactly 60 years came to an end.

The new and enlarged Company  was speedily formed and the existing profitable company was merged into it. New directors were appointed and the whole-united properties commenced business in August 1871. They were proprietors not only of all the industrial undertakings in Nantyglo, Coalbrookvale and Blaina but also of the a number of valuable contracts at highly remunerative prices for the supply of raw materials, together with £100,000 standing to the company’s credit with its bankers and everything was set fair for a prosperous future.

One big defect in the composition of the new board of directors was that the majority were men who were utterly destitute of special scientific and technical knowledge, and were unable to meet the exigencies and management of a large iron works, and they also knew nothing of the local and general conditions of the iron trades. More over Mr. Frederick Levick was not appointed one of the new directors, but was made a kind of consultant and advisor to improve and make alterations if necessary. He , more than anyone else knew that capabilities of the district and the local conditions of the iron trade.

He advised the directors to increase the production of finished iron at Blaina with materials from Nantyglo where there were immense quantities of coal. Any surplus coal would be offered for sale. His suggestions immediately brought stiff opposition from the Nantyglo mineral agents and employees who believed that their services would be dispensed with. Strong representations were made by these people to the directors to reject Mr. Levick’s suggestions and unfortunately for Nantyglo and Blaina their directors agreed to turn down Mr. Levick’s propsals.

This was unfortunate and was to spell the doom of the company itself. Not only did they reject Mr. Levick’s advice but also they ceased to call on him for many months in spite of the repeated appeals of Mr. Carlton and another director Mr. Reed. The consequences were that for many months the Nantyglo and Blaina works were without a manager.

Ultimately the technical strength of the directors was strengthened by the inclusion of Mr. Henry Bailey a nephew of the old Ironmaster. It was he who had managed the Nantyglo works in its last years of production. He with Carlton and Reed eventually induced the directors to appoint a resident manager. Despite inefficiency, and error of judgement a dividend was declared upon the first years working, and realising the errors of their ways, at last invited Levick to attend the board meetings, requesting him to visit and inspect the works together with Mr. Henry Bailey. He was also asked to put forward suggestions for future management.

Levick’s former ideas and suggestions were now agreed upon. However ominous signs of troublesome days in the iron industries of South Wales and Monmounthshire were appearing and in spite of recantations and resolutions the Company was to meet great difficulties. In 1873 the iron workers at Dowlais and at other contiguous properties struck work for higher wages and the Nantyglo and Blaina workers followed suit and for three months remained idle. This proved more disastrous to the Nantyglo and Blaina Company than the other ironworks affected by the strike.

The local Company used all the coal raised for the production of iron and consequently had no organisation for the sale of coal and no customers to purchase it which the other iron companies had, and so were able to recoup some of their losses. Thus when the iron workers struck the collieries became idle.

Eventually the strike ended and the improvements suggested by Levick began to take shape. The Company suffered a loss, although not a very large one which was very displeasing to the directors. However in 1873 the loss was turned into a profit, consequent upon a dispute with a Mr. Bird, who was involved in a dispute with the Company. The amount however could not be included in the year’s balance sheet. The shareholders became very indignant and resentful. As a result the directors placed their resignations in the hands of the shareholders.

One of the most vehement of the dissatisfied shareholders was a Mr. Hugh Mason of Stalybridge a cottonspinner. At the Annual meeting he declared that the Company, under proper management should have made a profit of £200,000. As a result the shareholders accepted the resignations of the directors. This step proved fatal. The new directors were offered £50,000 rental for the works but this was turned down.

The new board of directors in 1874 ordered a new and independent valuation of the works, the result of which was never declared to the board, but it is believed to have amounted considerably in excess of the purchase money. In the next year the then manage Mr. Spenser stated that the value of the works amounted to £243,483 .. 7s. .. 3d. Hugh Mason was dissatisfied with this valuation and ordered a Mr. Radford in 1876 to undertake a new valuation. This independent valuation after allowing for depreciation re. at the lowest price of the day – amounted to £239,633 .. 3s .. 7d. only £3,850 below Spenser’s valuation.

However in August 1874 a net-profit of £1,300 was realised but in 1875 there was a loss of £1,741. Mason was supposed to have debited several thousands of pounds fairly chargeable against capital to revenue accounts, his reason for transferring thios amount being “We shall never have a better opportunity to show a loss and it will mend our balance sheet next year”.

The next year 1876 instead of mending the balance sheet it damaged it grieviously for the Company sustained a loss of £63,213. The chairman of the board at this time was Richard Shaw M.P. for Burnley. It was divided amongst itself and it was evident that a ‘smash’ was on the way. Shaw wanted dictatorial powers but these were not forthcoming. He resigned and Mason became Chariman of the board of directors.

Such a loss did not rehabilitate the Nantyglo and Blaina Comapany in the public confidence. The total sales in coal and iron for 1876 was £194,649 and so there was a loss of about 30% on the total turnover. The chief reason put forward for the loss was “bad trade in coal and iron”. However Mason had taken upon himself to sell 20,000 tons of coal at 5s/9d a ton which was subject to commission of 4% by the selling agents without consulting the directors and virtually appointed himself managing director as well. It was also said that he sold in his own name thousands of tons of coal without reporting the sale to the works office.

Affairs continued to deteriorate and in 1878 the Nantyglo and Blaina Iron Works Company came to an end. An enterprise which had started so well and gave every sign of proserity faded out because of bad management, which failed to accept the sound advice from men who understood the iron trade and local conditions coupled with a lack of trained technicians.

The following is a description of the works as they appeared in 1878: -
Here the fires are out, engines are silent, and are off the rails, which they once kept bright their ceaseless roll; ponderous beams and cranks are rusting to ruins on their sockets; gates and doors unhinged, many of then removed; engine houses, forges stoves, rows of lofty sheds in process on unroofing, affording no shelter to the rusting works below from the winds and rains of heaven, and above all, no hum of the thousands of human voices that once made the place vocal, no tread of the many thousands of busy workers who animated the scene with the activities of a ceaseless industrial life and built up colossal fortunes for those who possessed the works in more propitious times. Not a sound, not even a murmur of a whispering breeze disturbs the death-like quite – a sinister solitude”.