I've used them on several 2½" gauge locos with excellent results. Also used PTFE on piston valve heads with equally good results. With these smaller bores though I haven't used backing O rings and just relied on the plain PTFE rings on their own. I fit two thin rings side by side with the gaps 180° apart to prevent leakage. It is essential to allow clearance for expansion when the rings get hot.
I haven't done it yet but I've thought of using graphite filled PTFE for the rings as this material is harder and springier than virgin PTFE and may not need the backing O rings in the larger sizes.
John