VOLUNTEERS aiming to restore a North Yorkshire railway station say there are still challenges to overcome - despite the fundraising drive continuing at pace.

The community has now raised about £135,000 to transform Richmond Station into a community and commercial centre.

More than £6,400 was raised at a supper and silent auction at Millgate House, Richmond, on Friday.

Donald Cline, from the Richmond Station Regeneration Project, said: "We have now resolved 90 per cent of the challenges that faced us.

"However, there are still some unresolved issues."

These include satisfying the legal requirements of the main funding bodies.

Almost £2m has been pledged by the Heritage Lottery Fund, Yorkshire Forward and the European Union.

Project bosses hope the remaining £350,000 can be raised by the community before the building opens, leaving the scheme debt-free.

Mr Cline described the money raised at the silent auction as an "incredible response".

The event was organised by the Millgate guest house owners, Tim Culkin and Austin Lynch.

Mr Culkin said: "When you live in a beautiful place like Richmond, you can't help but feel rather privileged, which is perhaps why we have always taken an active interest in helping local projects that protect the heritage of the town, whilst enhancing opportunities for residents and visitors alike."

After dinner, the 80 guests placed bids for 25 lots.

These included cases of wine, fishing trips, holidays in France and Canada, a homeopathic consultation, antique prints and a commission for an original picture by local artist Ed Kluz.

The highest bid was paid for a first-class trip to London with guided tours of the BBC and Parliament.

Mr Cline said: "It was a real pleasure to be invited to use Millgate House, but better still to have all the food and wine that was served on the night, donated by Tim and Austin.

"It was an incredibly generous commitment."

Fundraisers planned for the coming months include book and rail fairs, a performance by the Carlton Main Frickley Colliery Band and a hog roast supper with the Tees Valley Jazzmen and guest speaker William Hague MP.

It is hoped the redeveloped station will open in summer 2007.