Oldbury power station, near Thornbury, will soon be back to full power with both of its nuclear reactors generating electricity.

The power station on the bank of the River Severn has been given permission to by the Nuclear Installations Inspectorate (NII) to restart its number one reactor alongside number two reactor.

The station was due to close last December with the loss of more then 450 jobs but it was given a two-year reprieve and will now carry on producing power until 2010.

Zoe Young, spokeswoman for the Oldbury site, said detailed camera inspection of number one reactor showed it was still in good condition after more than 40 years in use.

Joe Lamonby, site director, said: "Having previously secured the future operation of reactor two in 2008, we are very pleased our regulator has granted us permission to restart reactor one.

"Working with our customer, the Nuclear Decommissioning Authority, a considerable amount of work has already been completed on site to ensure the reactor is ready to restart."

The site director added: "Safety is always our number one priority and the NII would not have allowed us to restart unless they were totally satisfied with our safety case.

"The time we have taken over this investigation is testament to the thorough case that we have prepared, and extensive analysis of the integrity of the core has demonstrated the reactor is safe."

Oldbury could be the site of a new generation of nuclear power station after energy company Eon said it was interested in the Severnside location.

It is one of four sites being investigated for a wave of new power stations which are desperately needed to guarantee future power needs.

A new station would pump more than £2 billion into the local economy and create about 10,000 jobs if Oldbury is chosen as a new site.

Eon has already held a number of public exhibitions in Oldbury and the surrounding area which outline its future plans for the site.