The total cost of the takeover is around �40m

Receivers were called in two years ago after a troubled history in which the plant was mothballed in the 1990s.

At its height, the plant employed 2,000 people but the workforce had dwindled.

An investment company, who specialise in turning around ailing firms, has set up a new company Carron Energy to run the plant.

The former American owners AES spent �100m on refurbishing the coal-burning plant and it was closed for months during the major refit.

But the price of electricity then dropped making it unprofitable and receivers were called in.

'Good management'

A skeleton staff has been kept on to keep the plant ticking over.

Wholesale electricity prices have since moved up and last winter the plant was rented out to power company Innogy to meet demand.

Rutland, which has taken over Uskmouth through new company Carron Energy, said it expects the 360 MW station to start producing power for local supplies by the autumn.

A contract firm will be responsible for the operational running of the plant and is expected to recruit between 75 and 90 workers locally.

Mike Harris, of Rutland said: "We view it as an important station in south Wales. With good management we believe it can be brought back into operating efficiently as a business."

Mike Reynolds of Carron Energy said "We are sure that this is a good time to be buying and, whilst there is much to be done over the next few months, the prospects for the business look very encouraging."