The government has opened enrolments for registrations of interest from pre-qualified contractors to construct the long-awaited 3.4-kilometre road between New Lambton Heights and Jesmond.

A contract is expected to be awarded later this year with construction slated to start in 2022.

The launch of the ROI process comes as multiple properties are being demolished along Lookout Road to make way what for what will ultimately be the McCaffrey Drive interchange.

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"Tenders for the next stage of early work, including utility relocations at the southern end of the bypass, are currently being assessed and work should start by mid-year," Transport Minister Andrew Constance said.

The final touches have also been added to the pedestrian bridge over Newcastle Road.

The $15 million works were considered an essential part of the overall bypass project.

"By opening the new bridge and removing a set of pedestrian traffic lights ... we've been able to improve traffic flow for 60,000 vehicles using Newcastle Road each day," Mr Constance said.

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