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In the original script when Lily notices the coal truck, she would fallen off of Thomas' cab, to which Thomas would go back for her. In the original script, Thomas is knocked off of Muffle Mountain by an explosion caused by P.T. Boomer. In the final release, the ground under him simply crumbles away.
There are two main problems with the movie, the first one being magic. It doesn't fit the world of Thomas, it doesn't make sense and it goes against the established realism. The second problem is that the trains do literally nothing in this movie and it focuses too much on the humans.
Lily goes to find Burnett, leaving Thomas stranded. Thomas rolls down the mountain and re-enters the Magic Railroad through another secret portal. Burnett explains the problem of getting Lady to steam to Lily. Lily suggests using a special coal from Sodor, and Burnett uses it to start Lady.
Villainous Breakdown: Diesel 10 loses what little of his cool he has multiple times throughout the film, but he goes completely off the rails when the viaduct he's chasing Lady and Thomas over collapses right after they finish crossing it, leaving him to plummet off the rails.
After a conversation, they realise that Burnett may hold the key to the clue of the gold dust. As Burnett reveals to Patch that Lady is magic, they realise that the railroad is vanishing. Thomas and Percy decide they must get Lily back to Muffle Mountain before Diesel 10 destroys the magic railroad.
By now Burnett Stone has finally got Lady to steam using special Island of Sodor coal, from the truck Thomas and Lily picked up from The Magic Railroad and along with Lily, Patch and Mutt, they set off into the magic railroad. The magic railroad, receiving energy from Lady, comes back to life, while Lady's face appears.
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Lily soon leaves Thomas to find her grandfather, but not long after a large gale blows Thomas off the crumbling cliff face, and racing down the mountain side, only to be transported back into the magic railroad through a small portal located in the field below.
