A BOSS at a firm which could bring an £800m investment to Gwent has promised: "We won't be another LG".

The area could become the centre of a major hi-tech defence industry if plans for a new plant are approved.

US firm Northrop Grumman is lobbying the Ministry of Defence to win an £800 million contract to supply the UK's next generation of military communication and spy systems.

Today they vowed not to become another LG, which promised new jobs for Gwent which never materialised.

Executives were in South Wales to explain their proposal to ministers at the Assembly.

The firm says that the majority of 250 mostly high skilled, well-paid jobs would be on their way to Gwent if they won the contract.

They propose setting up their Watchkeeper project headquarters next to their partner company General Dynamic UK in Oakdale business park. Senior vice-president Tom Dice told the Argus: "In Oakdale we have the ideal vacant building and the people with the skills we need.

"These are highly skilled, well-paid jobs and 90% of them would be going to local people."

Mr Dice said that unlike LG, which promised a false dawn for Gwent's workforce, the plant would be long term and create more opportunities. Mr Dice said: "Unlike LG this is a 30 year programme with the government as the customer.

"Market fluctuations will not be the same factor. This will be the first plant of its kind in Europe and it will create a cluster of related businesses in the area and become a centre for the most advanced industry around."

A spokesman for the Ministry of Defence said that two consortia were competing for the contract and that the winner would be announced within the next two weeks.