Prime Minister James Marape led a delegation of ministers and heads of agencies, including Chinese Ambassador Xue Bing, to New Ireland Province.
New Ireland Governor, Sir Julius Chan, in his opening remarks said the airport will stimulate the economy in the province and the country as a whole.
He reiterated the airport will be constructed to uniquely have the New Ireland flavour.
Civil Aviation Minister, Lekwa Gure, said the development of the upgraded airport will be funded under the Asian Development Bank at a cost of K91 million.
The airport will be constructed by the China Railway Construction Company.
Included in the package will be the upgrade of the runaway to 2.2km from 1.7km. This is to cater for Boeing 737- 800 series type aircraft .
Prime Minister James Marape assured the landowners that the Government will give them K3 million. He appealed to them to let construction take place.
He made the assurance following a protest three weeks ago that delayed the ground breaking. The protest was over unpaid levies.