It is understood that the now defunct Blyth Valley Council rejected two planning applications for the town because of the stythe issue.
The development partners commissioned engineering experts to carry out a study into presence of stythe with a promise that the scheme would not go ahead if the work concluded that it would result in danger to public health.
The developers also said the scheme would not go ahead if the work concludes that it would result in danger to public health from stythe
The developers have also said that the scheme will not go ahead if the study concludes that it will result in danger to public health from stythe gas.
Stythe gas can escape from old underground workings during certain weather and atmospheric conditions, and residents fear the disturbance caused by building so many new houses will increase that risk.
Pat Heard, who lives in Falmouth Walk and is a spokeswoman for Cramlington SOS, said: "Stythe
is a big worry because in the past houses have had to be evacuated and some are still monitored for the gas.
A lot of people are against it because of the stythe