THE country's largest single-site multi-engined combined heat and power plant is coming to the region in a deal worth £11m.

Lattice Energy Services has signed a nine-year contract with Cleveland Potash, at Boulby, east Cleveland, to design, construct, operate and finance the new plant.

It comes after the potash firm was told it could set up a more environmentally-friendly gas supply system by the local authorities.

Bob Laybourne, managing director of Cleveland Potash, said: "We are aware of our location in a national park and environmental improvements are high on our agenda.

"After many investigations over the last 25 years, the welcome reinforcement by Transco of their gas supply to the nearby village of Brotton has allowed the economic arguments to sway the change from oil to gas.

"We are grateful for the understanding and assistance provided by the North York Moors National Park Authority and Redcar and Cleveland Borough Council, as well as the understanding and good humour of all those who have been inconvenienced during the recent pipe-laying operations."