A POWER station that was in the hands of administrators three years ago has confirmed plans to give profits to shareholders.

Drax - the UK's largest coal-fired power station - said it would pay a dividend to investors later in the year as it continued the dramatic transformation achieved on the back of spiralling energy prices. The business, in Selby, North Yorkshire, was listed on the stock market last year, has also benefited from demand among suppliers for cheaper fuels than gas.

Banks controlled Drax after it went into administration three years ago, when US power acompany TXU collapsed.