Land-based salmon farmer sees almost 5% of biomass killed in tank breach

by
Editorial Staff

There was no escape of fish to the outside environment from the breach incident.

Land-based salmon farmer Proximar Seafood experienced a breach in one of four operational tanks at its new post-smolt grow out facility, resulting in a loss of biomass.

Preliminary estimates suggest that 50,000 fish have been lost in the tank breach, which occurred on Saturday 3 February. The total number of fish in the Proximar facility across all stages amounts to more than one million individuals, according to the company, equating to a loss of approximately 5% of production.

The Grieg-backed producer, listed on the Oslo stock exchange, has been constructing its land-based salmon farm in Japan since March 2021, inserting its first batch of eggs in October 2022.

Early investigations indicate that a leakage from the tank has washed away soil beneath the tank resulting in a sudden breach. A part of the batch in the tank was saved and transferred to another production tank.

Proximar is currently investigating the incident and preparing to improve all joints and sealings to prevent any future leakage, according to a release from the company on Monday 5 February.

The treatment will be made for all tanks in the grow-out facility, and the costs associated with the improvements are expected to be approximately NOK 5 million ($500,000). Costs related to fixing the breached tank are expected to be approximately NOK 1 million ($100,000).

The company is in contact with its insurance companies for coverage of damages and loss of fish.

The breach will impact the harvest volumes in the fourth quarter of 2024.

Proximar will provide further information on the breach incident as well as a general production update in the scheduled fourth quarter reporting 23 February.

The company is targeting a harvest of 5,300 metric tons of Atlantic salmon per year.

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