A NORTH-EAST dale could become Britain's first truly sustainable community following the discovery of "hot rocks" deep underground.

Experts believe global attention will focus on Wear-dale, County Durham, where a redundant cement works site has been proved to be the only place in the country with five renewable energy sources.

A task force set up to revive the dale's economy following the closure of Lafarge Cement's Eastgate works in 2002 said yesterday that drillers boring 1,000 metres down had found the final element in an energy jigsaw on which an eco-village could be founded.

Water heated naturally to 46C by Weardale granite can be pumped to the surface to heat buildings in the development, which could be a leading tourist attraction.

With homes, holiday accommodation and business units, the village could soon create 150 jobs, with spin-off benefits for the area.

From next year, the newly re-opened Weardale Railway will run to the site, making it an even more attractive tourist destination.

Eastgate is one of only two hot rock sites in the country and will be unique in combining geothermal energy with hydro-electric, solar and wind power, as well as electricity produced by burning waste from nearby woods.

Together, they have the potential to heat and light 4,000 homes, creating an opportunity for Weardale to become energy self-sufficient.

Members of the task force expect the site to attract international attention and are confident of finding commercial companies to develop the project without using public finance, although feasibility work, including the drilling, has been financed by £300,000 from development agency One NorthEast and £245,000 of European funding.

Task force chairman John Hamilton said last night: "Power companies were interested even when this was an unknown quantity. Now we have a real commercial proposition which is unique. We expect there will be a great deal of competition to be involved.

"The development should stand alone. It will not rely on subsidies. It will become a model of how to regenerate rural areas and will sustain the dale for generations, keeping people living and working in their home area."

Ian Burdon, of project manager PB Power, in Newcastle, said: "The new village will provide 21st Century jobs in high-technology fields.

"We are seeing another industrial revolution, where people use their brains, not their brawn. The development will be somewhere where people can set up new businesses and look to the future."

A Newcastle University team originally identified the drilling site on the Slitt Vein, near Cambokeels mine, where warm water was discovered in the late 1980s.

Team member Professor David Manning said: "This will attract international attention. There are no other projects of this type."

Development at Eastgate was one of seven key schemes identified by the task force after the cement works closed.

Bob Hope, the regeneration director at Wear Valley District Council, said: "This is absolutely critical to the future of the dale. It could be the catalyst for job creation and greater opportunities in the whole area."

Lafarge, which is also on the task force, said the 1960s cement works buildings, including its chimney, will be demolished over the next year.

Contractor Brown and Mason is due to start next month and could take all year.

Weardale councillor John Shuttleworth said Eastgate residents would welcome the bulldozers. He said: "It must be restored to a greenfield site. I will not be satisfied with anything less."