Australia’s New South Wales (NSW) Government has announced a step forward in the Cessnock Hospital redevelopment, with the appointment of Hansen Yuncken as the builder for the project.

The government is allocating A$138m ($89.61m) for the project, improving regional care facilities and services.

NSW health minister Ryan Park said: “This important project is moving ahead, and the appointment of the builder marks a key milestone for the delivery of the A$138m Cessnock Hospital Redevelopment for Cessnock and surrounding communities.

“The brand-new Acute Services Building will transform Cessnock Hospital, supporting the latest models of care and providing a welcoming environment for our valued healthcare staff, patients, and carers.”

The redevelopment will feature a new acute services building, which will house a broadened emergency department (ED), day surgery spaces, an operating theatre, and two new inpatient wards.

A new medical imaging service, a sterilising services unit, and a modern pharmacy will also be available.

Cessnock Hospital will remain operational throughout the construction period, which is expected to cause minimal disruption.

The project, anticipated for completion in 2027, has been designed with community feedback in mind and recently received statutory planning approval.

The redevelopment is set to enable Cessnock Hospital to continue operating as a component of the Lower Hunter region's healthcare network.

Cessnock member Clayton Barr said: “Many people thought of the idea of a new Cessnock hospital as being too good to be true. But here we are, signing contracts and making dreams come true."

Earlier this month, the state government took steps to improve healthcare services by selecting Zauner Construction to build the new Canowindra HealthOne facility.