THE world's aerospace giants are preparing to do battle for a £2 billion contract on which hundreds of East Lancashire defence jobs could depend.

The Ministry of Defence is soon to decide on a replacement for the famous Nimrod maritime patrol aircraft which has been in service for more than 25 years.

Some of Britain and America's biggest defence firms - including British Aerospace, Boeing and Lockheed Martin - are pitching in for a share of the deal.

And which ever of the two main contenders wins, East Lancashire firms are set to benefit.

British Aerospace and Boeing have joined forces to offer the Nimrod 2000 - a refurbished version of the existing aircraft with new engines, interior and the latest in high-tech equipment.

BAe's military aircraft division in Lancashire, which employs 12,000 at the Samlesbury and Warton sites, would be expected to take on a significant part of the workload if the Nimrod 2000 was chosen.

In the other corner is the Orion 2000 offered by the Lockheed Martin/GEC consortium - a new version of world's most popular large maritime patrol aircraft.

Pendle Aeroform is one of 140 UK companies which would be involved with work on the Orion and would supply leading edges for the wings - a significant contract which would help secure jobs at the Burnley factory.

Bids for the Nimrod replacement have been submitted and a decision is expected to be announced by the MoD within weeks.

Both main contenders are seen as having strong claims for the contract.

The faster, jet-engined Nimrod will be based on a tried and tested aircraft. And by using some of the existing parts of the aircraft, the BAe bid claims it will save money which can be used to spend on the latest electronic systems being supplied by Boeing.

The Orion consortium argue that its option, with electronics supplied by GEC in the UK, is the best for British industry and opens up a potential export market of 250 aircraft around the world.

Maritime patrol aircraft are seen as an increasingly important part of a modern defence force.

As well as conducting anti-submarine surveillance and collecting intelligence they carry out important search and rescue roles.

The Nimrods, which came into service in the 1960s, played a vital role in the Falklands and Gulf campaigns.

They have also been used in peace time during incidents including the Piper Alpha oil rig disaster.

Converted for the new archive on 14 July 2000. Some images and formatting may have been lost in the conversion.