Cork Airport is to get a €140 million expansion which will begin immediately. An agreement between Aer Rianta and contracting firm Rohcon was formally signed yesterday, which will allow for the building of a terminal and major support infrastructure at the airport.
However, the project comes after the Minister for Transport, Mr Brennan, has indicated that management changes may be imminent at Cork, Shannon and Dublin airports.
Yesterday, in the absence of Mr Brennan, the Minister for Health, Mr Martin, said Mr Brennan had confirmed he would be bringing recommendations to Cabinet before the end of next month, thereby ending the speculation and uncertainty around Aer Rianta.
However, the board of management of Aer Rianta insisted it had no worries as to its role in the future of Cork Airport, and would wait and see the outcome of Mr Brennan's decisions.
The chairman of Aer Rianta, Mr Noel Hanlon, said: "We are very happy about the future management of Cork Airport. At the moment we have statutory responsibilities and the policy issues are a matter for Government.
"Whether we should be operating independently of Cork Airport is a policy decision for Government, but we have discussed the importance of Aer Rianta as the umbrella for all the airports in Ireland. It has been a very successful umbrella so far."
Mr Hanlon added that the airport expansion would be of major significance to the Cork region.
The value of the contract is some €140 million, while close to 600 people will be employed on the site at the peak construction phase.
The project will involve the construction of a new terminal building to the rear of the existing facility, though linked to the airfield by extended apron frontage.
It will also include a new multi-storey car-park; upgraded surface car-parking facilities; significantly improved internal road systems; a revamped fire station; and enhanced power, water and other utility services.
According to Aer Rianta, the development will provide airport facilities capable of handling Cork's projected growth over the next 10 years, when passenger numbers are expected to reach three million per annum.
Traffic through the airport continues to grow rapidly, rising by 6 per cent in 2002 to a record 1.9 million passengers.
"This is one of the largest capital programmes we have ever carried out, and will be funded by a combination of additional borrowings and the group's own cash flows," Mr Hanlon said.
The new facilities are expected to be fully operational within two years.