A SURVIVAL plan which would involve employees purchasing shares, has been put to administrators seeking a buyer for a threatened North-East steelworks.

Proposals for a management-led employees' takeover of the Weardale Steel plant, at Wolsingham, County Dur-ham, were drawn up by union leaders and the company's former managing director, Bill Cooper.

Present at the meeting was Robert Oakeshott, founder and president of Job Owners Ltd, a company which has been highly successful in brokering management and employee takeovers throughout the UK.

He was called in by representatives of Durham Business Link to help prepare a business plan for the takeover of Weardale Steel.

"We have sent our expression of interest in running Weardale Steel to the administrators," said Mr Cooper, who was made redundant along with most of his workforce two months ago.

"We regard this as a very exciting and enterprising way of ensuring the future of the company."

Kenny Lally, Amicus shop steward, who represents the 83 workers at Weardale Steel, said yesterday: "We have to look at every possible way of saving the works and safeguarding its future. What I heard from Mr Oakeshott was very hopeful.

"I will be putting the proposals for a workers' takeover, led by management, to the whole workforce for them to consider."

The survival plan for Weardale Steel, which went into administration just seven weeks after being taken over by Midlands firm Eastwood Industries, involves workers buying shares in the company with a small percentage of their weekly pay.

Mr Cooper said: "I've always believed that if all the parties involved can get together around the table, then we can come up with a successful formula to save steel production in Weardale.

"Mr Oakeshott has pledged to help us find finance to set up the deal. We must now get our business plan in shape as quickly as possible."

Poppleton and Appleby, the Sheffield company of administrators which is now managing Weardale Steel, said there had been "some interest" from other parties in buying the 140-year-old works.

But if a successful buyer is not found soon, it will have to start winding up the company