It is hoped more than 200 jobs will be created by the end of next year after a contract to bring a new lease of life to a construction yard was announced today.

D-CECC Ltd has been contracted to by the engineering company Qualter Hall to construct two tunnel boring machines at the Haverton Hill Construction Yard, Teesside.

The machines will eventually be used in the building of two stages of the Channel rail link project.

The project will provide work for around 100 people over a six month period and it is hoped this will be increased to 200 by the end of next year.

Each machine will be 120 metres long and around eight metres in diameter and weighing about 990 tonnes each.

David Eason, managing director of D-CECC, said: "I believe this should open up the prospect of revitalising the Haverton Hill site which has some of the best facilities in the country for this type of work."

Frank Cook MP for Stockton north said: "This is an important day for the area because it demonstrates we can complete successfully in winning major contracts of this kind in what is a very tough international market.

"Now, we must build on this success to ensure the facility can have a long-term future as a centre for excellence in engineering construction."