Finance Minister Tonio Fenech, who visited the site, said the BioMalta Campus will be a knowledge cluster between the University of Malta, Mater Dei Hospital and the Life Sciences industry and will initially consist of four key buildings which will provide 10,000 square meters of space and 3,500 square meters of incubation facilities.

The Campus will also include a multi-functional conference and meeting facilities which are intended to support the continuing educational and professional development of scientists, researchers and medical health professionals.

The project is being co-financed by the government, Malta Enterprise and the European Regional Development Fund (ERDF).

"The development of a Life Sciences Centre represents a giant step towards developing Malta into a truly regional centre of excellence in the life sciences and bio-medical industry," Mr Fenech said.

"This is in line with our Vision for 2015 and beyond and is a practical example of how the Maltese economy is transforming itself into the knowledge-based modern economy."

The minister said Malta Enterprise is already holding talks with research centres  abroad to explore possible synergies that can be created through the Life Sciences Centre."

"In the next few weeks, Malta Enterprise shall be announcing the setting up of the BioMalta Foundation, which shall steer all the strategic and business development activities related to the Life Sciences industry in Malta and the BioMalta Campus in particular. Moreover, through partnership with the private sector, we shall also be announcing specific funding initiatives which are intended to develop Malta as a regional centre for research in this industry."

The centre will be built on the site currently occupied by the ex-Yorkie factory, the Malta Enterprise building and the ex-VF factory. Malta Enterprise is moving to the former Institute of Health Care at St Luke's Hospital Complex.