Budget airline Bonza announced on Tuesday that it would fly four times a week from Newcastle Airport to the Sunshine Coast and twice to the Whitsundays.

It is understood tickets will cost about $49 each way to the Sunshine Coast and $75 to $100 each way to the Whitsundays. Customers will pay extra for onboard food and checked baggage.

Fly Pelican now flies from Newcastle to the Sunshine Coast for upwards of $199.

Bonza flights will go on sale in the next two months, pending regulatory approval.

The leisure-travel airline, headed by former Virgin Blue executive Tim Jordan, will run 25 routes linking 16 mostly regional destinations, including Albury, Avalon, Bundaberg, Cairns, Coffs Harbour, Gladstone, Mackay, Melbourne, Mildura, Port Macquarie, Rockhampton, Toowoomba and Townsville.

Bonza has gained substantial backing from US investment firm 777 Partners.

Its business strategy is to focus on growing regional routes rather than taking on Qantas, Virgin and Jetstar on busy capital city services.

"Not only will the flights open up new markets for the region's tourism industry, locals will have the opportunity to explore their own backyard with ultra-low fares," Mr Jordan said of the Newcastle services.

Bonza will use five purple and white 737 MAX aircraft, which seat 138 to 204 people.

Newcastle Airport chief executive Dr Peter Cock welcomed the Bonza announcement and said flights to Perth and Tasmania remained on the airport's radar.

"Over the last 14 months or so, during one of our most challenging periods as a business, we have connected seven new routes, including Lord Howe Island, a Jetstar service to Cairns and a Qantas service to Adelaide [starting next month]," he said.

EARLIER: Hunter residents will be able to fly directly from Williamtown to the Whitsundays from the middle of this year.

Budget airline Bonza will on Tuesday morning announce it will fly six times a week from Newcastle Airport to Queensland - four to the Sunshine Coast and two to the Whitsundays.

Newcastle Airport chief executive officer Dr Peter Cock was excited by Bonza's arrival at Williamtown.

"This is a real coup for our region," Dr Cock said.

"Bonza's vision to connect Australians aligns with Newcastle Airport's vision to be the airport the region deserves, directly connecting our region to all the places they would like to travel both domestically and internationally.

"Australians are exploring their own country now more than ever, and there's a great opportunity for us to help connect our beautiful region with the rest of Australia.

"Today's announcement plays a big role here as passengers can now travel with lower stress and lower cost."

Flights are due to go on sale in the next eight weeks, pending regulatory approval.

Former Virgin Blue executive Tim Jordan is leading the venture and has gained substantial financial backing from US investment firm 777 Partners.

Mr Jordan said Bonza is targeted at people travelling to regional destinations, outside of the "golden triangle" of Melbourne, Sydney and Brisbane.

Customers will also have to pay for food service and any checked baggage, which helps Bonza compete on cost.

"With two new routes directly in and out of Newcastle Airport, we will be delivering on our promise to give Aussies more options for leisure travel," Mr Jordan said.

"Not only will the flights open up new markets for the region's tourism industry, locals will have the opportunity to explore their own backyard with ultra-low fares."

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Dr Cock said there were positive signs for the airport as the Hunter region emerged from the effects of the COVID-19 pandemic.

"Over the last 14 months or so, during one of our most challenging periods as a business, we have connected seven new routes, including Lord Howe Island, a Jetstar service to Cairns and a Qantas service to Adelaide (commencing next month)," he said.

"The response from our region has been, and continues to be, a crucial factor behind this network growth.

"Over the last two years, each time border restrictions have lifted, our region has responded with the one of the quickest aviation bounce backs in the nation.

"Our resilience and confidence in the face of tough times is something we should all be proud of.

"More new routes means bolder aspirations for our airport and our region, bigger opportunities for jobs and growth and greater connectivity for us all."

Dr Cock said flights to Perth and Tasmania remained on the airport's radar as it worked towards connecting the Hunter with every state capital.

He said it was crucial an upgrade to the airport's passenger terminal took place to capitalise on the federal government's $66 million Code E runway commitment.

"This major project will allow the airport to process the thousands of extra international passengers expected from late 2023 onwards," he said.

"That terminal upgrade remains unfunded at this stage, however we remain optimistic that we can garner some support from the NSW government to partner us on this project.

"We remain optimistic, however, that we can garner some support from the NSW government to partner us on this project. It aligns closely with their ambitions in this region particularly around diversification, jobs growth and COVID recovery.

"Our current growth path will hopefully add further weight to our argument."

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