State land would not be made available to any private developer to make a large profit at the taxpayers' expense, the Minister for Arts, Sport and Tourism, Mr O'Donoghue, told the Dáil, yesterday.

He was replying to a question from Ms Kathleen Lynch (Labour Cork North-central) who asked about "expressions of interest" from the private sector for the proposed National Stadium development and the incentives on offer from the State.

The response was "very encouraging", he said and 23 national and international companies had expressed interest in the development of the State-owned site at Abbotstown.

The proposals were currently being examined and he hoped to inform UEFA shortly whether the Republic would be in a position to provide two stadiums for the European Championships in 2008.

Ideally, he would like the position to be assessed and evaluated by the end of November: "We know the decision in this regard will be taken in Switzerland around the 12th or 13th of December."

But the building of a stadium by the private sector was "not predicated on our getting the European Championships in 2008 - actually, it is the opposite".

Ms Lynch also asked about the money that was on offer from Mr J.P. McManus as a donation towards the cost of the original State-funded National Stadium project: "If a private consortium eventually builds the stadium, will that money still be on offer? Mr McManus's offer was made on the basis that the State would construct the stadium, the Minister replied.

The State would not do this, it was clear, "because of budgetary constraints".

Had the Minister considered providing funding to the IRFU and the FAI to build their own stadium, asked Mr Jimmy Deenihan, the Fine Gael spokesman on arts, sport and tourism.

And did he ask the IRFU and the FAI "to rethink refurbishing Lansdowne Road", as a city centre location that would be favoured by the rugby and soccer fraternities as the best location.

He had held discussions with the IRFU and the FAI, Mr O'Donoghue replied: "They are interested in seeing whether the private option can be pursued successfully."

If it could not, he agreed the alternative would be to discuss with both sport bodies "the possibility of their being in a position to progress the construction or refurbishment of a stadium".

Mr Bernard Durkan (FF Kildare North) asked whether the costs had been evaluated at this stage. The most recent estimates, replied the Minister, ranged between €307 million and €632 million, depending on size, standard, specifications and location.

These figures would include on-site infrastructural costs and provision for VAT, fees, contingency inflation etc.

"There will be general disappointment if the stadium does not go ahead and we do not get the European championships in 2008, because these games are of considerable importance."

The estimated revenue generated would be around €50 million, with a projected figure of 90,000 visitors to the games. In addition, as the third largest sporting event in the world, there would be access to television audiences " in the region of seven billion.

"That is the type of advertising one simply could not purchase," Mr O'Donoghue said.