Ryanair boss Michael O'Leary has dismissed reports that the low fares carrier has plans to buy London's Stansted airport.

Mr O'Leary said he would work closely alongside whoever snapped up its biggest hub, but maintained he has never had any interest in owning the facility.

He said that Ryanair would be willing to show its new owner how to build a second terminal for just £200 million, a runway for £150 million and double its capacity to more than 40 million passengers a year.

He said he believed Stansted and Gatwick airports had to be bought by two different owners to grow rapidly and ensure the development of runways at both facilities.

He said: "We have no interest in acquiring airports, we will not be acquiring Stansted airport, but clearly we will be happy to work with anybody who buys it."

"It's the same offer we made to the BAA five years ago.

"We've offered to build a second terminal in Stansted in the past and double the traffic. But the BAA told us to go away.

"The only way airports make money is to build passengers numbers."

Mr O'Leary said if oil remained at $130 a barrel and the airline stuck by it commitments to reduce fares by 5 per cent this winter, the company could break even or make a loss of up to £40 million.

© Independent Television News Limited 2009. All rights reserved.