MTH Smoke Fluid on 1976 Lionel Steamer

Your wick in the smoke unit was to brittle/dry  to handle that much drops

Check under the engine for dripping smoke fluid .  Open the engine area to check the wick .  you may have replace it before using the smoke unit.   I recommend having a repair man/women  check it. 

Good Luck & have fun!

You have great engine there .

Lionel smoke fluid will work better in this type of engine. Only about 4-6 drops work best. If it looks charred on the heater, replace the burnt sleeve.

You put in too much fluid. Put a piece of cotton in the stack and turn the engine upside down for a while.