Magadan International Airport’s New Terminal Opened with Support from VEB.RF

Built with financial support from VEB.RF, a new domestic terminal of Magadan International Airport was inaugurated during a teleconference by Russian President Vladimir Putin. The architectural style and interior of the terminal were inspired by the natural features and wealth of the region. Made of glass with golden flowers, the building looks almost ethereal.

The new airport terminal meets the highest international standards of service quality for passengers and airlines. The terminal with a total area of 14,400 square metres was built to allow the airport to handle more flights of medium- and large-capacity aircraft. Provided with modern airport equipment, two jet bridges and five gates, the terminal can serve 800 passengers per hour, or as many as 1 million passengers per year.

The project budget totals 11.75 billion roubles. VEB.RF’s commitment is 6.07 billion roubles, including 4.07 billion roubles provided by VEB.RF on concessional terms through the Ministry for the Development of the Russian Far East and Arctic under high-priority projects for the Far East. The project also used the Project Financing Factory mechanism.

Igor Shuvalov, Chairman, VEB.RF: “The new terminal of Magadan Airport will provide a modern level of passenger comfort, will make this unique location more easily accessible, and will make the region more attractive to tourists. The opening of the new passenger terminal is a significant event for local residents, visitors and tourists. We can see the high social impact of such projects. When arriving at an airport or leaving a city, people immediately notice that they are provided with a service of completely different quality. The demand for airport modernisation is high now. VEB.RF has six projects in the pipeline for a total of 10 million passengers per year. This year alone, terminals in three cities were put into operation with the involvement of VEB.RF.”

Maxim Reshetnikov, Russian Minister of Economic Development: “The Far Eastern Federal District is experiencing a period of sustained economic growth, including in the tourism industry. From January to October 2024, there were 61,800 tourist trips to the city of Magadan, or 17.2 per cent more than in the year-earlier period. The increased passenger traffic requires that the airport should have modern infrastructure, which is particularly important because there are no alternative connections to the central regions of Russia. Work on modernising airports is done as instructed by the president and using the Project Financing Factory investment mechanism. The PFF mechanism continues to improve to meet the requirements of investors in large-scale nationally significant projects.”

Herman Gref, CEO and Chairman of the Executive Board, Sberbank: “The ease of travel across a country with such a colossal land area as Russia is of particular importance. Sber is currently involved in the modernisation of several airports in various regions of the country, and we see a clear multiplying effect of this work. The new Magadan airport terminal is not only a new level of passenger comfort, but also increased tourist numbers, new jobs and positive social outcomes. In addition, any airport is a showcase gateway to the region, which makes the first impression on visitors. And we are happy that our participation made it possible to build the airport terminal in a short time in accordance with the highest world standards, both functional and visual.”

Yevgeny Yankilevich, General Director, Novaport: “The new domestic terminal of Magadan International Airport marks the start of a new phase in delivering higher service quality and better passenger comfort. The project was made possible by the joint efforts of the government, the private sector and the local community.

“Sokol Airport plays an important role in the transport system of the Magadan Region. It connects the region to other regions of Russia. The airport can serve 800 passengers per hour, which will increase air traffic and make the location more easily accessible. We are confident that the project will serve as a catalyst for investment in the region and will help to implement all plans for developing of aviation infrastructure.

“Investments in the project were greater than 11 billion roubles. The contractor was a Russian-Turkish company, LMS Group, which has extensive experience in airport construction. I would like to thank everyone for their work on this project. Congratulations to the residents of the Magadan Region!”

The project owner is ABS Magadan, a joint venture between Novaport and Airports of Regions.

Magadan (Sokol) Airport, formally Vladimir Vysotsky International Airport, is a nationally significant project. It is included in the presidentially approved master plan for city development and is the region’s only transport infrastructure facility enabling airlines to provide regular services between the Magadan Region and the Far East, Siberia and Moscow. Additionally, Sokol Airport is of great importance for domestic flights within the Magadan Region.