The air station was largely funded by the North Atlantic Treaty Organization (NATO) and was opened on 4 May 1963, along with a civilian terminal.

Despite a Norwegian policy of neutrality, there was a fear that Norway could be occupied by foreign powers to take advantage of the country's strategic position.

Increased military funding was granted from 1937, which allowed triangular runway to be built Banak the following year.

The Wehrmacht was planning an attack on the Soviet Union from Finnmark and designated Banak as their primary air base in Northern Norway.

[7] However, Norway's entry into the North Atlantic Treaty Organization (NATO) in 1949 had a dramatic effect on the military strategy and Banak.

[17] The government decided in 1957 to disallow nuclear warheads to be stored in Norway during peacetime, thus eliminating NATO's strategic need for Banak.

[18] By 1959 the United States was concerned that the militarization of the Kola Peninsula would become the prime source of a Soviet attack on North America.

[24] NATO's proposal for an investment program was approved by the Norwegian Government on 7 December 1959 and by the North Atlantic Council on 1 June 1960.

[31] NATO saw need, in case of a Soviet attack on Finnmark, to deploy two brigades consisting of 10,000 men in the course of a week and simultaneously host a squadron of tactical aircraft.

NATO adjusted the plans later that year, reducing the apron area by 9,000 square meters (97,000 sq ft) while increasing from one to two hangars.

It consisted of extending the runway with 600 meters (2,000 ft), constructing two hangars, a communications building and a network of internal roads and taxiways.

[35] Throughout the Cold War, Norway enforced a policy to disallow allied aircraft to operate further north than Bardufoss and Andøya, in an effort to minimize tension with the Soviet Union.

[37] The restrictions were strengthened following the 1960 U-2 incident, in which a US spy aircraft en route to Bodø was shot down over Soviet territory.

[38] During the mid-1960s, NATO unsuccessfully attempted to convince Norwegian authorities to move the allied operational border from the 24th to the 27th meridian east.

[36] Norway prohibited nuclear warheads to be stored on its soil, preventing Banak from serving in a role as a base for US nuclear-armed bombers.

Increased range of Soviet aircraft during the 1970s diminished the need for troops in Finnmark; combined with Norwegian tension and nuclear policies, this caused the United States to favor Vestfjorden and Troms over Banak as the primary areas of defense.

The first major mission was on 7 April 1974, when thirteen fishermen were rescued when the trawler Longvabakk sank in the Oksefjorden at Cape Nordkinn.

After a 1992 sinking, the government decided to instead lease a Super Puma helicopter for Svalbard, removing the archipelago from Banak's portfolio.

[47] In 2001, the Ministry of Justice considered reorganizing the search and rescue services, and looked into moving the 330 Squadron from Banak to Hammerfest Airport.

[48] The Norwegian Armed Forces announced in 2007 that they would carry out a major restructuring and decrease of activity in Finnmark, with the long-term plan to close the Garrison of Porsanger.

In SAR missions, the squadron operates under the management of the Joint Rescue Coordination Centre of Northern Norway located in Bodø.

[46] During winter the helicopters must often follow a coastal flight route of Porsangerfjorden before heading east to Kirkenes or west to Tromsø, to avoid icing.

[48] The Sea Kings have an operational radius of 740 kilometers (460 mi); in combination with refueling possibilities at Bjørnøya and Hopen, this allows all parts of the Norwegian exclusive economic zone to be covered.

[53] Widerøe is the primary airline operating at the airport, with daily flights to Alta and Tromsø using Bombardier Dash 8 aircraft.