The link up to the cable which connects North America with Europe will improve the speed and extent to which businesses in NI can trade information with the rest of the world.
The project is being funded by the EU, in addition to the British and Irish governments, the construction contract has awarded to Hibernia Atlantic Limited.
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The Department of Enterprise, Trade and Investment said the £28m 'Project Kelvin' would involve connecting a new submarine cable to the Hibernia North Transatlantic cable located 22 miles off the north coast of Northern Ireland.
The new cable will come ashore in the Portrush area initially and then go onto a location where it could interconnect with Northern Ireland's existing telecoms infrastructure at a number of different locations including Armagh, Ballymena, Belfast, Coleraine, Londonderry, Omagh, Portadown and Strabane.
Enterprise Minister Arlene Foster said: "The investment would provide opportunities for Northern Ireland companies selling goods and services overseas and also improve our attractiveness to knowledge based inward investment.
"This project will deliver the kind of international telecommunications, companies located in London, Amsterdam, Dublin and New York already depend on."
(GK/JM)
