At 2006 hours on the 28th of July, 1994 two electrically-hauled freight trains met head on at the 63 km point on the Beerburrum-Elimbah section (Approximately 1 km south of Beerburrum). When C531 (north bound from Moolabin to Townsville), hauled by electric locomotive 3901 collided with C740 (south bound from Townsville to Acacia Ridge), hauled by electric locomotive 3902, the north coastline was blocked for 22 hours, (signaling was restored 6 hours after the line was reopened). Locomotive 3901 was returned to service while locomotive 3902 was scrapped.

Investigations later revealed that C740 passed Signal BM18 (situated at Beerburrum) while it was displaying a red indication.