The Clutha Gold Trail has received a $300,000 boost for the Beaumont to Lawrence leg of the cycleway.
The Otago Community Trust yesterday announced the large donation, which has been welcomed by the trust behind the trail.
The 73km trail, which will cost an estimated $5.5 million, was the first in Central Otago to receive funding under the New Zealand Cycle Trail project, with $3.8 million from the Government.
A 20km section is planned in the Clutha district, between Beaumont and Lawrence, and the remaining 53km will be in Central Otago, from Lake Roxburgh to Beaumont.
Otago Community Trust chief executive Keith Ellwood said the trust was very supportive of the cycleway development in the region, which would benefit the community in terms of economic development, health, recreation and exercise.
Clutha Gold Trail Charitable Trust chairman Rod Peirce said trustees were "pleased and very excited" with the donation.
"We have our Government funding but we needed our co-funding. The full amount we requested from the Otago Community Trust was granted, which is just what we needed."
Mr Peirce said work on the trail was well under way.
"In construction terms we're more than halfway through."
The trail is being constructed in six sections.
Stage one from Roxburgh dam to Roxburgh was almost finished, but awaiting the construction of two bridges.
Further downstream, the 8km stretch near Lawrence was being worked on by Homer Contracting.
Mr Peirce said the 8km section followed the old railway line from Lawrence to Milton so track construction was almost complete.
Bridges in the Lawrence-Tuapeka area of the trail were due to be installed soon.
The trust hopes to have the Clutha Gold Trail completed by the end of the year.
