Partner Article

Corus deal would mark new dawn for the region

THE LIFELINE thrown to Corus’s mothballed Teesside Cast Products plant has been hailed as a “new chapter for steel making on Teesside” by the region’s business leaders.

Joanne Fryett, head of member relations at the North East Chamber of Commerce (NECC) said that Thai steel maker SSI’s decision to buy the plant was extremely significant to the long-term economic future of region.

Mrs Fryett said: “Steelmaking is at the heart of our local economy and it was a bitter blow when the plant was mothballed.

“The announcement is a new chapter for steelmaking on Teesside and gives hope to the highly-skilled workforce and the talented wider supply chain that this plant will once more be a major player in our economy.”

Meanwhile, Iain Sim, Chief Executive of Coast & Country, one of the largest regeneration and housing companies in the North East said this was the news that the region has been crying out for.

“We have a vested interest in the well being of the region and the work of a Registered Providers goes beyond the provision of housing, involving the delivery of many vital community-based services which include tackling financial exclusion, unemployment and worklessness.

“Since January Coast & Country has been working with partner organisations, including statutory, voluntary and stakeholder bodies, to help alleviate the impact of the plant’s closure but we can now look forward with renewed hope based on the knowledge that the Thai steel company SSI has signed a memorandum of understanding to buy the Redcar site from Corus.”

A £320m deal to sell Teesside’s Corus steel plant - mothballed with the loss of 1,600 jobs in February - is now being discussed.

The Thai steel company SSI has now signed a memorandum of understanding to buy the Redcar site and, If the deal goes through, a significant number of jobs would be created in addition to the existing workforce of over 700.

It is hoped steelmaking will start again in 2011.

This was posted in Bdaily's Members' News section by Ruth Mitchell .