LOW-COST airline bmibaby yesterday announced it is to base a second aircraft at Durham Tees Valley Airport with the creation of more than 180 jobs in the region.

The airline intends to double the number of flights coming in to and leaving the airport, near Darlington, as well as launch a new route to Knock, County Mayo, west Ireland.

bmibaby's managing director David Byron said the investment in a second aircraft will create 35 direct jobs, including cabin crew, and about 150 indirect jobs around the airport.

"And for every job the airport creates, it induces about another one-and-a-half jobs elsewhere in the region," he added.

The new route to Knock will be introduced in March next year, together with daily flights to destinations including Alicante, Cork, Jersey, Malaga, Palma and Paris.

The increased services will see the airline carry about 400,000 passengers in and out of the region next year.

The announcement comes as Durham Tees Valley Airport is awaiting a decision on a planning application for a £56m extension and refurbishment of the site, to include a business park, new aircraft stands, hotel, restaurant, car parks and landscaping.

Hugh Lang, managing director of the airport, said: "This news marks another significant phase in the continued growth of our regional airport and is a major step forward for bmibaby, further strengthening our relationship with the airline.

"In addition to the substantial passenger growth and job creation that this aircraft will deliver, the introduction of a new route to Knock, which is the only direct flight from the North-East, illustrates bmibaby's strengthening support of our region and indeed the whole economy of the Tees Valley and surrounding areas."

bmibaby already has 16 Boeing 737 aircraft flying out of five bases in the UK and intends to grow by 20 to 25 per cent year-on-year until 2009 - the equivalent to three or four new aircraft per year.

The airline yesterday launched a competition inviting school children across the North-East to name the new aircraft. The winning entry will have the chosen name emblazoned on the side of the plane and win flight tickets for the family.

For an entry pack call (01332) 854402. Seats for next summer's flights go on sale next month at www.bmibaby.co