There ought to be good reason for optimism with this project. The land is already purchased so you “just” need to re-lay the track.
Ballast cleaners* are a thing and they are already pretty amazing at what they do, namely taking apart track and then putting it back, in place, from a machine that runs on those very tracks itself. I could imagine a giant version that not only cleans the ballast but also unties then reties the track back together at the new gauge.
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