A FUEL system that could save the petrochemical industry millions of pounds and help biofuels be used on a widespread commercial scale is being developed in the region.

Abfad Ltd, of Sunderland, has been working with experts from Newcastle University to pioneer what is thought to be the world's most advanced double skin lining system for commercial fuel tanks.

The Fuelvac project can prolong the life of tanks by preventing internal decay or corrosion, to the point where tanks could last for what creators call a "lifetime,"

or at least the life of a petrol station.

Abfad has been working on the Fuelvac scheme in conjunction with Newcastle University's Centre for Composite Materials Engineering and Resource Centre for Innovation and Design.

Chief executive Chris Haritou said: "Over the past ten years, more and more fuel tanks have suffered from internal corrosion.

"At one time this was a rare problem because lead in the petrol acted as a rust inhibitor.

But since lead was removed from petrol, internal corrosion has become much more of an issue."

He predicted that the situation could worsen with the increasing use of biofuels, which are known to have corrosive properties.

"Clearly, this poses a real problem for the industry with the Government's demands for increasing the use of biofuels, so we could not have perfected the system at a better time," said Mr Haritou.

"Because it is foolproof and relatively quick to apply, it means we could save the industry millions of pounds in tank replacements, loss of fuel and potential damage claims from pollution incidents."

Abfad has also been working with Knowledge House, an organisation backed by the North- East's five universities to encourage collaborative projects, such as the Fuelvac scheme.

Omar Al-Janabi, Newcastle University's Knowledge House representative, said: "This illustrates perfectly how high level skills developed at university can be applied to practical situations."