In 1845 James Watson placed the following advertisement in the Maitland Mercury:
James Watson who formerly kept the Shamrock Inn, begs leave respectfully to inform his friends and the public that he has opened that commodious House built by Mr. Henry Nowland, at the Chain of Ponds half way between Singleton and Muswellbrook and trusts by a strict attention to the comfort of travellers and moderate charges to merit a portion of their patronage. Splendid stabling and supply of horse provender. Chain of Ponds, Liddell 
This was the Lady Gipps Inn which was re-named the Lady Mary Fitzroy in 1847.
James Watson was granted a publican's licence for the Lady Mary Fitzroy in 1848.