A STEEL firm will create 100 jobs as it bids to spearhead a 50 million tonne offshore pipe market, its boss has told The Northern Echo.

Liberty House Group yesterday finalised a deal to buy Hartlepool-based pipe mills from Tata Steel.

Officials say the agreement has secured 140 jobs, with plans in place to deliver another 100 over the next 18 months across manufacturing and office roles.

At the same time, Tata says it will pump £1m into another section of the mills, which it has retained, to continue work on high-strength tubing for construction and machinery that will safeguard 270 jobs.

The news represents another fillip for the region’s steel sector after British Steel, which was spawned from Tata’s loss-making Long Products division and employs hundreds of North-East workers, revealed a £126m turnaround just weeks ago.

The Echo revealed last year how Liberty was plotting a deal for part of the Hartlepool site, which is known for processing steel for the offshore energy sector, with bosses confirming officially last month that an agreement had been struck.

Speaking to the Echo last night, Scarborough-born Jon Bolton, Liberty Steel chief executive, said the business was excited about its new venture, adding Hartlepool will help secure its position in the oil and gas pipe marketplace as operators benefit from the recovering oil price.

Mr Bolton, who previously held senior roles at Tata and its predecessors Corus and British Steel, said: “We will be increasing the activity level at Hartlepool and will be looking to bring in some white-collar staff to support the business too.

“We are looking for it to be more autonomous.

“This represents an opportunity to support steel in the region.”

Under the terms of the deal, Liberty has taken on 42-inch and 84-inch mills, known as the Submerged Arc Weld mills, and Mr Bolton said the business plans to supply them with steel from its Scottish plate facilities.

Sanjeev Gupta, Liberty House Group executive chairman, said: “This is an important first step in our ambition to become a world leader in energy pipe and to position the group in the vanguard of the 50 million tonne a year global oil and gas pipe market.

“This high-calibre business and its skilled workforce gives us the basis to upgrade plate mills at Dalzell and Clydebridge to make high-value-added plates that can be rolled at Hartlepool to supply projects worldwide.”

Tata has retained a neighbouring 20-inch mill, since it is linked to the company’s strip products business that is centred on steelmaking in Port Talbot, Wales.

Bimlendra Jha, chief executive of Tata Steel UK, added: “It was important for us to find the most sustainable future for the 42-inch and 84-inch pipe mills, and I would like to thank everyone who has worked so hard to make this possible.

“With this sale, Tata Steel UK completes its portfolio restructuring to focus on the strip products supply chain linked to Port Talbot.

“I wish everyone involved in the new business the very best for the future.”