PD Ports said yesterday that its application to invest £300m in Teesport and create 7,000 jobs would be in the hands of the Government by the spring.

In a trading update, the ports and logistics group announced work was under way on the Harbour Revision Order - the permission needed to expand a port - and would be submitted early next year.

PD Ports also said interest continued from shipping lines and terminal operators over the potential development of a deep sea container terminal on the Tees.

The company is campaigning for the Government to halt expansion at the southern ports of Felixstowe and Harwich, and instead allow Teesport to expand, to bridge the multi-billion pound economic gap between North and South.

Decisions on the two Suffolk ports are expected to be made by Christmas. If they are approved, Teesport will have to scrap its plans as the projected shortage of port capacity will have been met.

The Northern Echo is backing PD Ports' expansion through the Support Our Port campaign.

Yesterday PD Ports, which operates facilities at Tees and Hartlepool, said it was expecting significant profit growth following a boom in port traffic.

This was partly due to more container traffic and steel slab passing through.

A partial shutdown of the oil pipeline running into Teesside also led to a growth in volumes, and Teesport's container volumes have grown by nine per cent following new feeder services from southern ports.

PD Ports said it had reached an agreement with Corus over a long-term slab export programme, which will last for ten years.

Expected profits from property, which were due to come from the £500m Victoria Harbour development at Hartlepool, will not materialise for another year after planning consent was delayed until Christmas.

PD also highlighted this week's announcement that supermarket giant Asda was to create a £20m import centre at Teesport, which will bring 450 jobs.

About 70 per cent of Asda's non-food goods will be shipped directly into the Tees from the Far East, rather than going through overheated southern ports and transported across the UK by lorry.

The warehouse is already being built and is expected to be open by February.

PD Teesport has concluded a 30-year lease agreement with Asda for the land, and also agreed a separate port services agreement for container handling and storage.

Shipments of the deep sea containers are already being handled through Teesport.