Mothballed Redcar plant rescued by Thai steel giant

Production is due to start again later this year after SSI agreed a £291m deal with Tata Steel UK for the Teesside plant. The deal will safeguard over 700 jobs at the site and was backed by business secretary Vince Cable as "very good news." Cable said: "I welcome the return of steelmaking to this historic site later this year. Coming just over a year after the plant was mothballed, it is a tribute to both companies involved." Win Viriyaprapaikit, SSI president said the sale marked a"historic moment" for his company and the local area. He added: "We look forward to resuming production of the top quality slab for which the plant is renowned as soon as possible." SSI will inherit the Redcar blast furnace, the Redcar and South Bank coke ovens, TCP's power generation facilities and sinter plant and the Lackenby steelmaking and casting facilities. Tata Steel and SSI will enter into a joint venture to operate Redcar wharf (TCP's bulk terminal). Tata Steel CEO Karl-Ulrich Köhler said: "I commend SSI, the government and the trade unions for their roles in bringing about this agreement, and in particular the people of Teesside for the spirit and fortitude they have shown throughout the last, difficult two years."