The failed telecommunications venture Quantum could be resurrected soon if Cable & Wireless files an application with the Ministry of Finance as the minor partner in a joint venture, according to Minister of Telecommunications and E-commerce, Renee Webb.

Quantum has been up for sale now for three years and a resuscitated bid could mean cheaper telephone bills and improved service.

Ms Webb said yesterday that her department was waiting for the communications giant to take an application to the Minster of Finance, and that it may not be applying for an exemption from the 60/40 ownership rules, meaning it would be a minority partner in any deal.

"In regard to Quantum, we are still waiting for Cable & Wireless to file something with the Minister of Finance," said Ms Webb.

When asked if it would be applying for an exemption from the 60/40 rule, Ms Webb said: "In this case I do not think so, it might just own 40 percent. But until we get the application we still do not know."

Many deadlines have come and gone in regard to the sale of quantum Quantum, and any long-awaited joint venture with a local company has yet to materialise.

Quantum was originally set up to compete with BTC and supply local telephone service, but only 50 customers, all corporate, had signed up with Quantum in its first 18 months. After spluttering along for a year, it ceased operations on December 31, 1999.

During the time it was up and running, legal wrangles with BTC on the relevant legislation for the company dragged on.

The company's 16 employees were given notice at the beginning of 1999 when it was put up for sale and less than a year later had stopped all business.

Belco Holdings and Cable & Wireless hold about 45 percent and 35 percent respectively in the failed venture which lost millions for its owners.

It was understood that Cable & Wireless had originally wanted to increase its share of the company to 60 percent but many in Government are understood to have wanted a majority Bermudian company to own the lions share of any new venture.

Telecommunications consultant at the Ministry of Telecommunications, Donald Donovan, said: "As Minister Webb said in the House of Assembly last week, Cable and Wireless have been working over the past year to make Quantum Communications, which has access to a fibre optic ring in the City of Hamilton, a viable option. Unfortunately at this point, no successful marriage has taken place as yet and we in the Ministry are looking forward to competition in the local market."

Ms Webb said in the House of Assembly last week: "The Ministry is closely monitoring the situation."

Last week the Minister of Telecommunications was criticised in the House of Assembly by shadow minister Allan Marshall for the lack of action over Quantum.

He said: "Another issue of major concern within the telecommunications industry concerns the issue of Quantum. The Minster in her brief said that Cable & Wireless are still working on finding successful partners. I need to ask, successful in whose eyes? And what is the pre-requisite to be successful?"

He pointed to the length of time that it had been for sale and said he did not understand why it had not been resolved.