A FISH and chip shop supplier is hoping to reel in a £1m financial boost after launching a green energy venture.

Henry Colbeck plans to build a new plant capable of processing used cooking oil.

The family-owned and managed company says the endeavour will bolster its bottom line by adding at least £1m to an existing £45m turnover.

The firm, which employs 150 workers and supplies goods such as cooking equipment, packaging and ingredients, has been supported by the North East Local Enterprise Partnership’s (NElep) Manufacturing Growth Programme (MGP).

Officials say the scheme has provided backing to gain market accreditation and Environment Agency permits needed to turn used oil into energy, which will help bring the processing base to fruition.

Bill Colbeck, chairman at the business, which operates from a site on Team Valley Trading Estate, on the outskirts of Gateshead, reiterated the company’s £1m ambition, saying MGP’s arrival had come at just the right time.

He also praised the impact of support firm BE Group and consultancy Improvement Architecture, which are delivering MGP on behalf of NElep.

He added: “We had built up a lot of knowledge regarding setting up a safe, efficient processing plant, but we needed advice on obtaining the necessary environmental permits.

“We had hit a bottleneck, preventing us from developing the project into a successful commercial venture.

“But the work didn’t stop at simply telling us how to get the permit and preparing the paperwork.

“MGP also helped us with developing our new business process to gain an accreditation and we are now preparing for the Environment Agency audit in the full expectation of a successful outcome.

“Without the help and positive support of BE Group, Improvement Architecture and everyone involved in the MGP, we would still be struggling to try to understand a very complex process.

“Once the new processing plant is in place, we expect to generate a turnover of more than £1m within 18 months.”

The MGP seeks to link manufacturing business advisers with senior management teams to identify operational improvements.

Colin Bell, NElep business growth director, said: “The MGP supports the goal set out in our plan to create more and better jobs and it’s great to see the positive impact the programme has had on Henry Colbeck.”

He added the MGP pilot programme aims to work with more than 80 businesses to create 160 manufacturing jobs.