US energy company Clipper Windpower is to develop a new generation of offshore wind turbines in Northumberland.

Clipper Windpower will be based in Blyth. The project has secured £5m from regional development agency One NorthEast.

The move will initially create about 25 engineering jobs and further bolster the region's reputation in the renewables and offshore sectors.

It is hoped the prototype project could lead to further contracts to eventually build a new generation of wind tur- bines in the region, possibly creating several hundred jobs in a multi-billion dollar global industry.

Clipper will work with the North East Centre of Excellence for New and Renewable Energy (NaREC), in Blyth, which will provide engineering, testing and development services to support the project.

The investment is the culmination of two years' collaboration between Clipper Windpower, One NorthEast, the Department for Business, Enterprise and Regulatory Reform and UK Trade and Investment to bring the project to the region and identify supply chain development.

James Dehlsen, chairman and chief executive of Clipper Windpower, said: "Clipper Windpower looks forward to a strong relationship with One NorthEast and NaREC, whose excellent engineering, testing and development capabilities will play a major role in the project's delivery.

"We are also very pleased with the local area, which provides excellent regional university capability for support of offshore wind technology development."