Building work will restart on Oxford United's half-built stadium at Minchery Farm before Christmas - according to plans outlined by club chairman Firoz Kassam, writes Chris Koenig.

He made the announcement at an upbeat meeting called to celebrate the signing of a provisional deal between United and Oxford City Council.

Mr Kassam said: "It is our intention to start work before Christmas and to have the stadium open for the beginning of next season."

However he added: "That is my intention, but there are still obstacles to be overcome - and it's not all in my hands. There are other parties involved." He also revealed that the contractors Taylor Woodrow, who completed £6m worth of work on the stadium before downing tools and walking off site over a payment issue at Christmas 1996, will not be completing the job.

He said: "We are negotiating with three contractors, but Taylor Woodrow is not one of them."

Oxford City Council leader John Tanner, wearing a sweatshirt sporting a slogan on the back which read: "Oxford United will never be defeated", said: "This is a great day for Oxford, a great day for me, and a great day for Firoz Kassam.

"What we are signing is technically called Heads of Terms. The formal agreement will be signed in three weeks' time, but as far as the taxpaying people of Oxford are concerned this one is solemn and binding." He added that the land at Minchery Farm will be sold in three lots. First, the stadium land will be handed over when the stadium itself is completed.

He said that adjoining land, on which Mr Kassam intends to build a multiplex cinema and a hotel, will only be handed over when the stadium is complete. Richard Giles, the city council's head of estates, said the council and club had reached provisional agreement with Thames Water, previous owners of the land, who must be paid to release the land from a covenant that restricts its use to leisure purposes only. Under the terms of a Companies Voluntary Arrangement, organised by insolvency practitioners Buchler Phillips, the club must come to terms with creditors by January 27, 2000.

Mr Kassam said: "I am confident we can come to terms, or as confident as it is possible to be with Oxford United."

Story date: Friday 26 November

Converted for the new archive on 30 June 2000. Some images and formatting may have been lost in the conversion.