The Ysbyty Aneurin Bevan Hospital in Blaenau Gwent, which will be built with £53.7m of government funding, was given the go-ahead last week by Health minister for Wales Edwina Hart.
Work on the 107-room hospital, which is being touted by ministers as the first of new generation of hospitals, is due to begin in July. It is expected to be completed by 2011.
Ms Hart said: ‘Blaenau Gwent has some of the worst health in Wales. This new facility will greatly improve access to planned and emergency healthcare close to people’s homes.
‘It will bring a range of services under one roof such as outpatient treatment, diagnostics, maternity services, and minor injuries and out-of-hours GP services,’ she added.