PLANS to transform the North-East into a world-beating scientific powerhouse were unveiled yesterday.

The scheme is expected to attract £600m in funding and create up to 20,000 jobs in the region.

In response to the Government's decision to designate Newcastle as one of six Science Cities to develop technology, three organisations have teamed up to lead the campaign to stimulate the growth of the knowledge-based economy.

The Newcastle Science City Partnership consists of Newcastle University, regional development agency One NorthEast and Newcastle City Council. It is chaired by Paul Walker, chief executive of The Sage Group.

The centrepiece of the project is the £300m development of the Newcastle Breweries site, when it becomes vacant next year, to provide world-class scientific research, teaching and business facilities.

Other sites in the city include the International Centre for Life and land at Newcastle General Hospital, as well as Newcastle University's city centre campus.

The university will establish research teams, specialising in areas such as nanotechnology, bioscience and molecular engineering, to work with businesses on the sites and organisations, such as the NHS.

The project will also develop activity across the region with science and technology centres at Netpark, in County Durham, The Wilton Centre, near Redcar, east Cleveland, DigitalCity, in Middlesbrough, Durham University and NaREC in Blyth, Northumberland.

It is estimated that up to 100 technology-based companies could be set up or attracted to the region by 2010, generating 5,000 jobs in areas such as research, engineering, teaching, technical support, management and administrative duties.

By 2015, it is estimated a further 250 companies will have been formed, creating 15,000 more jobs.