Plans to build a new international terminal at Newcastle Airport, Australia, are set for completion in 2025, says Catherine King, the country’s transport minister.

Canberra has allocated A$55 million ($36 million) to the project, which will see the upgrading of the airport runway to Code E status. This will allow Newcastle Airport to handle widebodies such as the Airbus A330 and Boeing 787.

Work is currently taking place on the construction of underground baggage-handling tunnels, as well as an electrical substation that will be connected to solar panels, King says in a joint statement with Newcastle Airport CEO Peter Cook. The terminal will also feature border facilities and infrastructure capable of handling large volumes of international passengers.

Completion was anticipated during 2024 but on Dec. 29, 2023, the airport released a statement saying the project would not be finished until 2025 due to delays driven by supply chain issues.

CAPA – Centre for Aviation and OAG Schedules Analyser data shows that Newcastle Airport is currently linked to 10 domestic points, all in the eastern half of the country. Brisbane, Melbourne, and Gold Coast account for most of its traffic.

Operator Newcastle Airport Limited says it is in conversation with Australian, Malaysian, and Singaporean airlines about direct flights to Asia, which would enable travelers to connect to Europe and the Middle East. It is also looking at routes to New Zealand and Pacific islands.

King said Jan. 17 that the government estimates that the upgrades will attract 850,000 additional visitors and approximately A$12.7 billion in economic activity to the region over the next 20 years.