This is a replica running a diesel engine in the tender, it was the main locomotive at the now demolished Nara Dreamland (opened 1961) theme park, which was once going to be the Japanese Disneyland and was essentially a clone of the original Disneyland.
Anyway, the park closed in 2006, and demolition started late 2016, everything left in the park was destroyed, rides, equipment, vehicles (including a pink Cadillac and fire truck), HOWEVER I belive this locomotive was saved, as it was hauled out of it's storage location (inside a tunnel), placed near a road entry, and covered in a tarp.
I'm trying to find out what happened to it, did it get moved to a park or museum or something? Maybe they're going to put into the new housing estate they build on the land in a park or shopping area or something? I don't know. Does anyone have any connections with Japanese train fans that might know or atleast have a better idea of what to search for or where online?