Nickelodeon Recreation has signed a letter of intent with New Orleans-based amusements company Southern Star to revive the bankrupt US theme park.

Six Flags New Orleans has been closed since Hurricane Katrina left the park with $150 million in damages in 2005. Following Six Flags' announcements of bankruptcy in June 2009 and plans of closing at the end of the summer no one expected the New Orleans based park to reopen.

Southern Star and Nickelodeon Recreation have reached a preliminary agreement according to a Baton Rouge Business Report article to repair and reopen the park.

Southern Star reportedly has plans to this week apply for $100 million in bonds to redevelop the park.

Nickelodeon Recreation does not operate theme parks but has its properties in existing theme parks like Universal Studios Florida and Los Angeles.