SUPERMARKET giant Asda has announced it will seek permission to build a £25 million store in Gorseinon.

It is the second time the American-owned grocery chain has asked Swansea Council's planners for permission, and an application is expected to be submitted within the next two months.

The retailer says it will discuss its revised proposal for Heol y Mynydd with people in the area as early as next week.

The move, which will not be welcomed by some local traders, comes after an Assembly planning inspector threw out plans for a store on the site in June 2007.

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Making the ruling, Stuart Wild said: "The proposal would be unacceptably harmful to the vitality, attractiveness and viability of the Gorseinon district centre."

The decision came after a strong campaign by Gorseinon Chamber of Trade, which was supported by some 5,200 petitioners.

Asda has reviewed the inspector's report and believes it now has a proposal that addresses the concerns raised about the earlier application.

Its property communications manager, Chris Marlow, said: "Our previous public consultation demonstrated there was a clear demand for this store, especially for the 300 jobs it will create.

"The store would be a size in keeping with the town, but large enough to encourage more local people to shop in Gorseinon at the existing town centre traders. It would also provide the community with an improved local choice of where to undertake their main food shopping, rather than at other centres with more attractive retail offers.

"We are looking forward to discussing the proposal with local people, and demonstrating how this carefully redesigned scheme will help Gorseinon compete with other towns."

Asda is not the only supermarket chain interested in opening a store in Gorseinon. Last year, Aldi announced plans to build an 1,100sq ft store at the former Bryngwyn Works, near Lime Street, less than half a mile from the site earmarked for Asda.

However, while the town's chamber of trade had opposed the original application from Asda, they welcomed the Aldi application.

Chamber spokesman Phillip Sillick said local firms had no need to worry.

He said: "It is a reasonably sized store, and it may provide a small boost to the bottom end of town, but I think it is unlikely to have a big impact."

The announcement from Asda has been welcomed by Swansea Council leader Chris Holley, who said the application marked an upturn in the area's fortunes, creating jobs in an unforgiving economic climate.

He said yesterday: "I'm delighted this company has confidence in applying for planning permission to build a store in Gorseinon.

"When you consider all the news we've had over the past year about the retail industry being in such bad shape, it must be welcome news for many people because of the jobs it will create and the opportunity for regeneration."

Councillor Holley warned: "But it does have to go through the planning process, we shouldn't forget that."