PAUL Turner is set to sign a new two-year contract as head coach of Newport Gwent Dragons this week - and he hopes to be able to sign at least two quality players and continue to develop youngsters.

And former Rodney Parade favourite Percy Montgomery urges the Dragons to sign some top players if they want to make any progress.

"I have put a plan together for the board to bring in a couple of quality players and keep developing young players," said Turner after the Dragons suffered a 25-0 home defeat by Perpignan on Saturday to complete a miserable Heineken Cup campaign when they lost five of their six pool games.

"We are playing with a lot of youngsters, a whole array of them and we have got to try to develop them and bring quality in.

"The rebuilding starts now. We've got to go to Ulster in four weeks time and try to win there which could start something for us.

"Hopefully I will sign something this week for another two years. I'm happy to stay because it's my region and I'll work as hard as I can to develop rugby here.

"I'm proud to be doing a job here and trying to develop the region. I know how to sort the region out though it does become a bit murky here.

"I'm hoping to come to an agreement, I should know something this week, but we've got to move on and try to develop the region."

South African World Cup winner Montgomery kicked ten points and made one of Perpignan's three tries on his return to Rodney Parade for the first time since he left three years ago.

He urged the Dragons to sign some top players. "It's important for the youngsters here to have some stars and high profile players here because they can learn a lot from them," he said.

He had previously said in an exclusive interview with the Argus published on Saturday that the new ground development with proper training facilities was a step in the right direction.

Dragons captain Colin Charvis and Rhys Thomas, who left the field with knee and rib injuries, respectively, are expected to be fit for the Ulster game at Ravenhill on February 15.

It is also hoped some of the other injured Dragons will return by then, Kevin Morgan, Rhodri Davies, Luke Charteris, Richard Parks and Jamie Ringer among them.

Meanwhile, the Ospreys and Cardiff Blues made it a super Sunday for the Welsh regions when they both clinched places in the quarter-finals of the Heineken Cup, the first time since the introduction of regional rugby five years ago that two Welsh regions have made the last eight.

And they both did it on foreign fields', the Ospreys winning 28-21 at Bourgoin and the Blues triumphing 17-0 at Bristol.

But both have away draws in the last eight on the first weekend in April. The Ospreys go to in-form Saracens and the Blues must travel to previous winners Toulouse when had they scored one more try at Bristol they would have been at home to the French giants.

But the Scarlets are suffering badly. They crashed to their worst ever home defeat when they were thrashed 41-0 by Clermont Auvergne, meaning they were pointless from their group games and Stephen Jones is considering following Dwayne Peel out of Stradey Park.