Council chief executive officer Dr Andrew Johnson has recommended in a report that the sealed strip at the airport be extended and widened at a cost of $2.5 million.

A study prepared by Aero-drome Design says a runway length of between 1500m and 1800 metres would be needed to access remote mine sites.

The study flags two options for the upgrade: extending to 1700 metres and widening to 30 metres the existing gravelled runway for daytime use at a cost of $576,000 or extending by 1700 metres and widening by 30 metres the sealed strip, including lighting suitable for night use and a new a terminal building, at a cost of $5 million.

Dr Johnson suggests in his report that council should aim for the second option, but without the terminal. The upgrade would also include new lighting, apron, windsock and taxi way and redesigning both ends of the strip to allow for extensions.

“This is believed to have more advantages than expanding the gravel strip while reducing initial cost by not replacing the terminal which can be done later if required,” he said.

The report makes a business case for fly-in, fly-out operations to outback mines.

Attracting mining companies and airlines to use Port Pirie rather than other airports on the gulf will be a challenge. Dr Johnson outlined various funding sources including loans.

The study says that 50-seat planes are being used on routes to Olympic Dam and Prominent Hill.

A decision on future directions will be up to the Council.