Plans for £2bn crude oil refinery

A £2bn oil facility creating thousands of jobs is being proposed on Teesside.

The crude oil processing plant, built by development company SONHOE on the Wilton International site, would process 200,000 barrels a day.

It would lead to 2,500 new jobs during construction, and a further 400 on site with 1,500 associated posts once the complex is operational.

The facility, which would convert crude oil into low-sulphur diesel, could be built within seven years.

It would also incorporate the production of hydrogen and be one of the largest hydrogen producing plants in Europe.

Backing has been given by the Department for Business, Enterprise and Regulatory Reform (BERR), One NorthEast, Tees Valley Regeneration and Redcar and Cleveland Council.

'Significant benefits'

Mike True, SONHOE managing director, said: "We are still in the early stages of this project but the fundamentals are very strong.

"The technology is proven and has been demonstrated to work in many other facilities around the world.

"We are confident that this development will bring significant benefits to the region, to the UK and to Europe as a whole over a long period of time."

Public consultation into the plans would be held in due course, he added.

Joe Docherty, chief executive of Tees Valley Regeneration, said the group had worked with SONHOE on the project for several years.

He said: "We tick all the right boxes in terms of having a great location next to the North Sea, a skilled workforce and vital industrial infrastructure.

"The massive project will bring enormous benefits to the Tees Valley through jobs, investment and offshoot business opportunities."