Buyer found for shipyard

More than 500 people lost their jobs at the yard in September

The firm which runs Plymouth's Devonport Dockyard, DML, has confirmed it intends to buy a north Devon shipyard which has been in the hands of the receivers since last September.

The deal to buy Appledore Shipbuilders, which is subject to a number of financial details being finalised, should be concluded within the next four weeks.

Union leaders say they are happy with the deal, but it is unclear how many of the yard's 500 former workers DML will employ.

Appledore had been struggling for months but gave up when its order book was empty and it called in the receivers, who then put the shipyard up for sale.

It is going to be a real challenge to get this operation up and running again Dennis Gilbert, DML Chief Executive

DML Chief Executive Dennis Gilbert said: "This is an important step forwards, both for DML and the former workforce at Appledore.

"If we do proceed it is going to be a real challenge to get this operation up and running again.

"We will need support from all individuals and organisations, within the region and nationally, who can influence, in any way shape or form, the success of the manufacturing and shipbuilding sector in the South West."

DML has signalled in the past it is considering using Appledore as a base for building specialist vessels such as military ships and superyachts.

Gary Smith of the GMB Union, said: "After months of misery and heartache there is light at the end of tunnel.

"DML have a good record of winning contracts, but in the short term we are not raising expectations on jobs.

"However, we will be doing out utmost to lobby for work and keep the jobs in the South West."