The article is a contribution to the local theory of geometric Langlands correspondence. The main result is a categorification of the isomorphism between the (extended) affine Hecke algebra, thought of as an algebra of Iwahori bi-invariant functions on a semi-simple group over a local non-Archimedian field, and Grothendieck group of equivariant coherent sheaves on Steinberg variety of the Langlands dual group; this isomorphism due to Kazhdan--Lusztig and Ginzburg is a key step in the proof of tamely ramified local Langlands conjectures. The paper is a continuation of an earlier joint work with S. Arkhipov, it relies on technical material developed in a paper with Z. Yun.