Salmon producing giant announces $100 million investment
Investment in larger smolt is seen as a solution to biological challenges faced by the industry.
Norwegian salmon farming giant Grieg Seafood is investing NOK 1.1 billion ($100 million) in a new post-smolt unit at its smolt facility in Finnmark, northern Norway.
This move comes as the company seeks to expand its annual production of post-smolt in the region, with the new facility expected to produce 3,000 metric tons of post-smolt starting in 2026, according to stock exchange announcement issued by the company on Tuesday.
The investment in larger smolt, which reduces the time salmon spend in the open sea, is seen as a solution to biological challenges faced by the industry.
Grieg had initially put investments on hold due to the new Norwegian salmon tax, first mooted in September 2022, but it now sees the revised tax as more favorable.
This expansion is expected to enhance fish welfare, lice control, and sustainability for the company, according Grieg CEO Andreas Kvame.
Construction is set to begin in the autumn, with the first post-smolt expected to be released into the sea in 2026. There is also potential for further expansion of the facility in the future.