Tony Mowbray has revealed talks are "moving on" with Barnsley over a deal for Luke Steele - but the West Brom manager confirmed the goalkeeper will not be leaving on another short-term loan.

The 23-year-old goalkeeper's loan spell at Oakwell expired on Monday - when he returned to parent club Albion - after starring in the Tykes FA Cup victories over Barclays Premier League giants Liverpool and Chelsea.

His chances of facing Cardiff in the FA Cup semi-final at Wembley on April 6 appeared to be over after the two clubs failed to come to an agreement over the terms of an extended deal.

Talks have been ongoing between the clubs since but Barnsley chairman Gordon Shepherd admitted on Wednesday the Tykes want to take Steele on loan while the Baggies want the deal to be made permanent.

Mowbray remains confident a deal can be struck between the Coca-Cola Championship sides but insisted another short-term loan looked out of the question.

He said: "I'm pretty sure things have moved on. I spoke to Simon Davey on Wednesday afternoon and they are still very keen to do something.

"From our perspective we would like the boy's future sorted out. I know the two chairmen have spoken and I would like to think for Luke's sake it can be sorted.

"But I think there's a few different factors that need to come together to make that happen.

"He has a lovely nature, he is a diamond of a boy and he gets on with his training.

"I guess he would like his immediate future sorted out so that he can be available to play for Barnsley in the semi-final at Wembley, but I think he understands the situation and he hasn't been an ounce of a problem.

"The situation of him going on loan until the end of the season and then coming back to us I don't think is an option as far as my understanding goes.

"I think things are moving on, as in any negotiation they don't get done at the drop of a hat. I would be hopeful but let's wait and see."

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