Troubled steelworks lands orders

There are 1,920 employees at the Teesside plant

An under-threat Redcar steelworks will continue production for the next two months after landing new orders.

Almost 2,000 jobs at Teesside Cast Products are at risk after a consortium led by Italian firm Marcegaglia pulled out of a 10-year contract.

But the internal orders from Corus mean the plant can continue operating until at least the beginning of August.

The plant is involved in a 90-day consultation period. Bosses at the plant are trying to land more orders.

The Corus Response Group, made of local businesses and Redcar MP Vera Baird, is campaigning to keep the plant in operation.

'Welcome boost'

Alan Clarke, One North East Chief Executive and chairman of the group, welcomed the news.

He said: "These new internal orders from Corus are a welcome boost to the workforce and management who are working hard to secure the future of Teesside Cast Products.

"The team is working hard to win new export orders in international markets to generate further new work and opportunities for the plant.

"The plant has a reputation as a producer of world-class steel - it is a potentially viable business."

The agreement which has fallen through was signed in 2004 and committed the consortium of Marcegaglia, Dongkuk Steel Mills Co Ltd, Duferco Participations Holding Ltd and Alvory SA, to buying just under 78% of the plant's production for 10 years.