The 1800 hectare site at Badgerys Creek in western Sydney will initially service about 10 million passengers a year from the mid-2020s.
The government says it will deliver thousands of jobs to the area.
Federal Urban Infrastructure Minister Paul Fletcher says the airport will open with a single 3.7 kilometre runway, and a second runway planned for the following decades.
He says while the airport plan will have land set aside for a train station and a train line route, it does not actually include a rail link.
Fletcher:" The airport is being designed to be rail ready, and there is a detailed public policy process in relation to the options. It is also worth making the point that there is a $3.6 billion Western Sydney infrastructure plan, which is developing excellent ground conductivity, road connectivity to the airport, including the northern Road being upgraded to four lands for its entire length, and the M12 will be a new road connecting to the airport, and therefore connecting the airport into Sydney's freeway network. "