The development will create additional space and improve customers’ passage through Newcastle International Airport.
BAM Construction Limited is the main design and build contractor and will work with various consultants to complete the extension.
North-East company Space Architecture is designing the new building.
The project will see a new three-storey extension to the terminal, creating an extra 5,242-sq ft of security search accommodation.
When fully operational it will provide up to 10 lanes to screen hand luggage prior to entry to the departure lounge, an increase of five lanes.
The development is being carried out in phases to ensure minimum disruption to airport users and is scheduled for completion by the spring.
It will be equipped with the latest security screening technology to ensure passengers pass though swiftly and comfortably.
Construction Director for BAM North East, Andrew Warwick, said:
‘We’re very pleased to be working on such a recognisable part of our great City and will bring to the project our customary care and considerate, efficient style of building. We’re pleased to be working with the Airport and are looking forward to getting work underway.’
BAM has a long track record of success in Newcastle, having a long-term partnership with Newcastle University which has delivered many buildings – it is handing over the new Student Union Building shortly – and having recently completed the innovative Institute of Transplantation Unit for Freeman Hospital, among others.
The airport’s immigration arrivals area is also being redeveloped to offer a more seamless journey for people arriving in the North-East.
In addition the pier housing the airport’s departure gates was recently refurbished to provide an improved view for passengers arriving and returning to the region.
The four phase re-cladding project has transformed the external, south facing building.
Apart from those developments, other changes are planned including a review of signage and information available to airport users.
Airport chief executive Dave Laws said: "Despite these challenging times, we’re investing in the business and, in turn, the wider region.
"The extension will create an excellent platform for future growth and development.
"We hope these improvements to our security process will make a positive difference to our customers travelling through the airport, for them to experience an enjoyable journey is a priority for us."