Federal Member for Calare and Minister for Decentralisation and Regional Education, Andrew Gee, was there on Saturday to cut the ribbon with members of Cabonne Council and the local community.

"The new 9 x 12 metre extension has created a brand-new space, adding to what's already an iconic institution for the Eugowra region," Mr Gee said.

The extension has enabled the exhibition of the historic Birdsell seed thresher used for decades on the Herbert family farm.

"It was purchased new by Robert, my great grandfather, probably in the mid 1930s and used extensively by he and his son Ted in the local area until being superceded in the late 1950s by newer technology," Dave Herbert said on Saturday.

Mr Herbert paid tribute to the late Viv McMillan for his vision to see it and other historically significant machinery - including the unique windmill - restored for the community.

Dave's uncle Colin Herbert, who operated the thresher, was in attendance and the exhibit is complimented by video footage of it in action.

"We're very proud to donate this machine to the museum, as it holds a very significant place in the heritage of our family," Dave said.

Mr Gee said the museum's incredible display of memorabilia and local stories was a real boost to the community and tourism.

He highlighted a renewed interest in travel to regional Australia, and an awakening of interest in our history.

"The museum is the custodian of memorabilia from the infamous bushranger hold-up of the gold escort coach on 15 June, 1862.

"It houses timeless pieces such as restored sulkies, classic cars, and now one of the first harvesters ever patented in the world - an 1862 Birdsell, seed cleaner, which is still in working condition!

"We sometimes forget how fragile our history can be, but if people don't preserve it and if we don't look after it then it can be lost and the work and the generations of the people from this area, from the Wiradjuri people all the way through, all of that history is too important to be lost," he said.

"Well done to all the team ... it's wonderful work.

"For all the families who have brought these exhibits together and helped share them with the wider community, thank you."

Chairman of the Eugowra Museum Committee, Ray Agustin, thanked the Australian Government for funding the expansion through the Foundation for Rural and Regional Renewal Tackling Tough Times Together program.

"We needed to move forward, and in doing that we have now added to Eugowra's collection of historic items the Herberts' Birdsell seed cleaner - an unbelievable piece of equipment considering it was patented in 1862 - 21 years before McKay's Sunshine Harvester," he said.

"Preserving our local history is very important to the community.

"I'd like to pay credit to an outstanding museum committee without whom this building and the vast collection of community history it houses would not exist."

Cabonne Deputy Mayor Jamie Jones said the museum had come a long way since the community and council partnered to take on the former stock and station agent's building.

"Since then many improvements have been made by the community, and the success of this museum is seen through its need for a much bigger building," he said.

"The $34,000 .. .makes sure it can showcase even more local history for many years to come."