Peterhead Port Authority last night said the project will keep the north-east town among Europe’s elite ports.

– and create 210 jobs.

Around 60 jobs will be generated during construction at the Smith Embankment.

The work could get under way in August, and once completed would bring a further 150 jobs to Peterhead.

Peterhead Port Authority chief executive John Wallace claims the project has huge importance for the economic future of Peterhead.

He said: “We have had extensive cost-benefit analysis carried out and it has shown that 150 full-time equivalent jobs will be created by the Smith Embankment project, not taking into account those created during the construction phase.”

The survey also concluded that the new facilities would put an extra £11million a year into the local economy.

The port authority hopes the project will provide the pelagic – herring, mackerel and other species – fleet with the same level of excellence currently enjoyed by the demersal (white-fish) sector.

While the fishing industry will benefit hugely from the project, the new quay and deepwater berthing facilities will also provide the gateway for lucrative offshore decommissioning work, estimated to be worth £15billion over the next 20 years.

Part of the bay will be deepened to 33ft, meaning ferry and container contracts could also be attracted to Peterhead in the future.

Other industries such as agriculture and fabrication will also see benefits from the increased capacity.

The project now hinges on a £5million Scottish Government and Scottish Enterprise grant, after port bosses put together the bulk of the £32million needed for the vital improvements through a £9million loan, and £18million of its own money.

Members of Aberdeenshire Council’s Buchan area committee will be asked for their views on the project when they meet on Tuesday.