Peniel chapel is an independents chapel and was one of 4 small chapels that served the local farming community of Islawrdref Dolgellau on the foothills of Cader Idris, the chapel was rebuilt in 1872 and is still standing to this day now covered with surrounding trees, the chapel is no longer in use as the number of parish members dwindled over time but was used for local weddings and christening until 1990.

The preacher and poet O.M. Lloyd (1910-1980) served as minister at this chapel around 1955 when he was minister of the Tabernacle Dolgellau and surrounding small independents chapels.
He was minister of the Tabernacle until 1978.