A Chinese company has started rehabilitating the Ondangwa Airport runway in northern Namibia.

The rehabilitation is being done by the China State Construction Engineering Corporation that signed an agreement Friday with the Namibian Airports Company (NAC) and Aurecon Namibia.

Ondangwa is about 670 kilometers from Namibia's capital Windhoek.

Work on the runway estimated to cost about 16 million U.S dollars. It is expected to be completed by July 2016.

The plan is to widen the runway to 45 metres and lengthen it to 2.8 kilometres. Once the runway is completed, Airbus A319 will be allowed to use the Ondangwa Airport.

Acting chief executive officer of NAC Tamar El-Kallawi said after the signing ceremony: "This is a great step for us."

El-Kallawi also said the next step is to rehabilitate and upgrade Ondangwa airport infrastructure to make Namibia a connection hub.

"We are strategically positioning ourselves by upgrading our airport infrastructure to meet this need. This will also create much needed employment for Namibians," he said.

At the moment, Air Namibia has two flights between Windhoek and Ondangwa daily.

Fuel storage facilities have also been refurbished in order to serve other airliners which refuel at Ondangwa airport.