By Stephen Wright
WELLINGTON, New Zealand--Auckland International Airport Ltd. said it will start work on a new US$700 million domestic terminal early next year as progress with New Zealand's Covid-19 vaccination program boosts confidence in an eventual travel recovery.
The terminal, which was put on hold early last year because of the pandemic, will be built alongside the international terminal to allow easier flight connections. It's expected to take about five years to complete.
Auckland Airport, which is New Zealand's main international gateway, said it's encouraged by the ramp up in Covid-19 vaccinations.
"It means that we can begin to look through the current situation and start to anticipate the recovery in air travel," the company said.
"We probably have more certainty in our ability to plan now than we have had in the last 18 months since the pandemic began," it said.
New Zealand's government is aiming for all adults in the country of five million to be vaccinated this year, which is expected to allow for some easing of its border closure. About 795,000 people have been fully vaccinated with the two-dose Pfizer vaccine so far.
Auckland Airport said its other infrastructure plans including a second runway and a new international arrivals area remain on hold.
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(END) Dow Jones Newswires
August 08, 2021 17:46 ET (21:46 GMT)Copyright (c) 2021 Dow Jones & Company, Inc.