MANAGERS were last night fighting to save 140 jobs at an engineering company hit by the collapse of power firm Enron.

Nepco Europe, of Stokesley, North Yorkshire, has been forced to lay off all its staff after parent company Enron Europe went into administration.

Management were last night in talks over the future of Nepco, which designs and builds power stations.

Options could include a rescue package funded by the banks or the sale of the company to a third party as a going concern.

It is also thought Nepco could also follow its parent into administration.

This would allow it to continue trading, giving it protection from creditors, while work goes on to secure its future.

Earlier this year it won a contract to build a power plant on the Isle of Man, with bosses predicting that the future looked bright for the company.

Jackie Gentle, a spokeswoman for Nepco, said she could not speculate on whether staff at the company would be given their jobs back.

She said: "The management are working really hard on this and have had to lay off staff while they try to secure their future."

More than 1,000 workers across the UK have lost their jobs as a result of the financial crisis that has crippled Enron.

Administrators have been looking to sell off parts of the business.

It was confirmed yesterday that Enron Direct, which employs 100 staff on Teesside had been sold to British Gas owner Centrica for £96.4m.

Workers have been told that their jobs should be secure.

The future of Enron's Teesside gas-fired power station, which employs 800 people, is yet to be announced.