A British steel works has won an order to make 60,000 tonnes of rail for a new high speed line linking two holy cities in Saudi Arabia, it was announced today.

Tata Steel, which employs 4,000 workers at its Scunthorpe plant in north Lincolnshire, said work on the prestigious multi-million pound contract, estimated to be worth £30m, later this year.

The new railway will allow millions of pilgrims to cross the 276 miles between Mecca and Medina at speeds of 200mph.

The line will cross desert, withstanding temperatures ranging from freezing to 50 degrees.

Gérard Glas, Rail Sector Head for Tata Steel, said: “This is a prestigious project which will see the holy cities being linked by rail for the first time.

“Tata Steel is delighted to be contributing to this high-speed line, which will have to overcome some major challenges presented by building a high-capacity rail line across some of the most extreme terrain in the world.”

Steel for the project will be made in Scunthorpe plant before being rolled into rail in lengths of 25 metres to be finished there and at the company’s plant in Hayange, Northern France.

A Tata Steel spokesman said: “A substantial contract of this sort is welcome news for the company, especially so for everyone at our Scunthorpe plant.”

And Sean Scorer, the chairman of the Scunthorpe works multi-union committee, said: “The winning of a 60,000 tonne rail order is extremely welcome news.

"The steel will be produced in Scunthorpe and finished through both Hayange and Scunthorpe rail centres.

“In real terms this is a relatively small order, however, very positive in the sense it has been won in a market sector we wish to expand in at every opportunity.”

The Saudi order comes as the works get a £50m investment to rebuild a blast furnace in October - the biggest cash injection since Tata Stel bought the former Corus workers in 2007.

The new Saudi line is expected to carry around 160,000 people a day — and even more during the annual Hajj pilgrimage - they will be transported on a fleet of 35 new high-speed trains. The £10.3 billion project is expected to open late next year or 2015.

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