AAI has decided to start construction work of the new airport in Khudi village of the Jaisalmer.
"We are going to kick-off the construction of Rs 60 crore project very soon at Jailsamer," AAI Executive Director A Murugson said.
He said the construction of the airport terminal would be completed in next two years.
"Every foreign tourist visiting India wants to visit Jaisalmer and the expansion of air services will definitely attract more number of tourists." Murugson said.
The terminal would have the capacity to park three aircrafts at a time, he added.
Rajasthan government has already given around 60 acre land to AAI for the purpose.
Currently AAI is using IAF airstrip and terminal to operate the air services to Jaisalmer that begun by Kingfisher from December 1.