THE biggest celebration of the region's rail heritage for 25 years is back on track after talks to find a new train operator paid off.

Hundreds of thousands of visitors are expected to arrive in the region for Rail 2000's Millennium Cavalcade of Steam during the August Bank Holiday.

But the £3m project, due to take place on eight miles of historic line between Darlington and Shildon, faced derailment after VSOE, which runs the Orient Express, had to step down as operator for the event.

Although it had the accreditation needed to run steam trains, senior staff at VSOE left the company, leaving doubts over whether it could fulfil its obligations.

Talks, which have been conducted behind closed doors over the past few months, concluded yesterday with Lancashire-based West Coast Railway Company stepping into the breach.

And senior management from Virgin Trains have also thrown their weight behind the scheme, with Don Heath, a former BR engineer, taking over the operational side of the cavalcade.

Mr Heath was awarded the OBE in 1992 for his pivotal role in the electrification of the East Coast Mainline.

Involved in the talks at the Newcastle offices of the cavalcade's accountants and advisors, Charlton Williamson, were Rail 2000 staff, Railtrack, Darlington and Sedgefield borough councils, and others.

Rail 2000 chairman David Champion said: "If we hadn't managed to find another steam train operating company, there is no doubt that it could not have gone ahead.

"This has been a really terrific case of when the chips are down British people get themselves motivated, especially when there is an objective like this to pull off.

"We've got this great task force behind us, making things happen and it is just going to bring so much benefit for the North-East.

"Everybody involved has been very supportive and made sure that there jolly well was a train operating company with the resources needed."

Delighted with the outcome of the talks, John Buxton, Darlington borough's development and technical director, said: "I'm very confident that Virgin are 110 per cent committed to the project."