STEELMAKER Corus yesterday dismissed reports that it is considering selling its Teesside plant to competitors from abroad.

Bosses at the troubled Redcar plant were said to be considering offers from LNM, a group run by Indian businessman Lakshmi Mittal and CSN, Brazil's biggest steel producer.

Reports in yesterday's Financial Times said the move would make it easier for the Anglo-Dutch firm to secure nearly £200m in loans from banks.

Corus dismissed the reports as rumour and speculation.

Last month, the company said the Redcar plant would not be sold but encouraged to find its own market for slab steel.

"Our plans have not changed and we firmly believe those plans revealed on April 29 are the best way forward," said a Corus spokesman.

"With the right competitiveness, Teesside Cast Products can become a cash generative slab and bloom producer feeding the international market.

"At our latest estimate the market was worth 20 to 30 million tonnes with potential for growth. There is no reason why we can't be successful in this area."

Middlesbrough South and East Cleveland MP Ashok Kumar said Corus should be given the benefit of the doubt because it had given evidence to a Government select committee.

"They have confirmed their own position and I accept their word," said Mr Kumar.

"The only way we can progress is if they are honest and transparent in their decisions."

Iron and Steel Trades Confederation spokesman Tony Poynter said the mixed messages would only confuse the 2,900 employees who are facing an uncertain future.