Connaught Motor Company has revised plans for building a new generation of Welsh sports cars.

It was to create the Connaught Type-D in a factory close to the Performance Technium, Dafen, where it has a satellite design and engineering office, but now it is looking near Swansea.

Media reports say the company is maintaining an office in the Technium, Dafen, where it moved some staff in the spring, but has decided against a factory on adjacent land.

The company is also reported to have concluded a deal with Caparo Industries to build its steel-and-composite chassis and superstructure and to ship this into the planned Swansea site for assembly.

Connaught intends to start building its Type-D coupe next summer and first deliveries to customers will be in 2009. Stylists are working on a reshaping of the car to keep it as modern as possible after the original design was created some years ago.

Initially, Connaught will begin producing a 300hp petrol powered model with a hybrid following which will use a powertrain which is also being tested for commercial vehicle use.