TEESPORT operator PD Ports last night vowed to continue with plans to build a £300m container terminal and bring 5,500 jobs to the region - despite reports suggesting its new owners were lukewarm about the idea.

PD Ports was taken over by Australian company Babcock and Brown Infrastructure (BBI) earlier this year, and had said its new owners were fully behind plans for a deepsea container terminal.

But Steven Boulton, BBI chief executive, was reported to have said on a visit to the port that he was exploring all options for its future.

The Financial Times said Mr Boulton's comments showed an apparent coolness and the report suggested that meant he was considering abandoning the plans.

The report was also disparaging about Teesport's ability to lure major shipping lines, suggesting that the South was best-placed for deep-sea services.

But PD Ports director Martyn Pellew said last night: "I think what Steven Boulton has said was that he was happy with what BBI had bought when it acquired PD Ports, and that there were a number of options for the future of the port, one of which is the deep-sea container terminal.

"Our plans are, of course, dependent on getting a commercial customer to work with us on the container terminal.

"But we cannot attract a major customer until we have planning permission.

"At the moment, we are in the process of getting planning permission and, after we have cleared that hurdle, we will then work on the next stage.

"We have had a number of interesting discussions with shipping lines and shippers who want to use the port. But we have to get planning permission first and we are very much pressing ahead with that."

Mr Pellew said he was disappointed by the report, which he said would dishearten people and businesses who had worked hard to support the port's plans.

He said the only way the port would abandon the container terminal plans would be if it failed to get a commercial customer.

PD had been campaigning for the Government to halt expansion at congested southern ports to help bring more jobs and prosperity to the North-East, and take millions of lorry miles off the UK's roads.

But the Government has approved, or is "minded to approve", plans for three ports in the South.

PD Ports is trying to win planning permission and a major customer for the terminal in order to beat its rivals and meet the UK's shortage of port capacity.

PD initially calculated the plan would create 7,000 jobs, but it has now revised that figure to 5,500. The Northern Echo has been backing Teesport's case through its Support Our Port campaign.