First Minister Nicola Sturgeon confirmed that the investment, by operators AGS Airports Ltd, will take place over three years.
A total of £20 million will be invested in the airport, resulting in a 50 per cent increase in the size of the current terminal building. The expansion plan will be the biggest single transformation of the airport since the existing terminal was first opened in 1977.
Two new passenger lounges will be built, along with larger baggage reclaim and security search areas. Existing immigration, retail and catering facilities are also earmarked for expansion under the plans.
First Minister Nicola Sturgeon said: “By increasing capacity and improving the passenger experience, the airport is making a clear statement of intent and the North East and Scotland will see the benefit.
“Aberdeen is a fantastic city with lots to offer and the airport is a crucial gateway to the North East. This expansion opens up the city to even more tourists and businesses, which will result in an economic boost for the city and the country as a whole.”
“I think it is investment that is well-timed because, not withstanding the difficulties the oil industry is facing now, the difficulties therefore the north east economy is facing, this is a huge vote of confidence in the future of this part of Scotland so it’s very welcome indeed.”
Construction of the first phase of the three-year project will begin in May this year, involving the construction of a two-storey extension to the south of the existing terminal building.
Two business lounges will be located on the upper level, while the lower part of the extension will accomodate international arriving passengers and domestic baggage reclaim.
Carol Benzie, Managing Director of Aberdeen International Airport, said: “We have long recognised the need to expand the terminal and we are doing so with the long term future of the airport in mind. It is one of the most important pieces of transport infrastructure in the North East of Scotland and it plays a crucial role in supporting the wider economy.
“Now more than ever, it is vital that we invest in our airport to help improve the region’s attractiveness as a key investment destination and that we provide passengers, airlines and the city with an airport they can all be proud of.”
James Bream, Research & Policy Director at Aberdeen & Grampian Chamber of Commerce, said: “The airport is our gateway to regional and international markets and the ambitious development plans are fitting for a globally-significant city.”
Mark McDonald, MSP for Aberdeen Donside, added: “Aberdeen Airport is a major part of the North East economy, and it is great to see the owners of the airport showing such confidence in both the business itself, but also the wider region as they invest for a state of the art terminal, fit for the future.
“I am delighted to see this investment and believe that it gives further reason to be optimistic for the future of the airport and the local economy.”
Aberdeen International Airport is the north-east of Scotland’s major transport hub and is a vital economic driver for the region, contributing more than £110 million a year to the local economy. It is the gateway to Europe’s energy capital and Europe’s busiest commercial heliport.