Andfjord Salmon reports progress on Kvalnes expansion and narrowed Q3 losses.
Land-based salmon producer Andfjord Salmon Group has reported substantial progress in its build-out at Kvalnes, Andøya, Norway, with key infrastructure projects moving ahead of schedule.
The company aims to establish one of the world’s most sustainable aquaculture facilities, targeting an eventual production capacity of 40,000 tonnes of salmon.
Work on the Kvalnes facility includes developing 4.4 kilometers of tunnel infrastructure to support water flow for salmon pools. This includes inlet and outlet waterways and tunnel systems beneath the pools. As of late November, 90% of the waterway construction is complete, with just a short stretch of inlet and outlet tunnels remaining. This infrastructure is designed to support both current and future expansions, offering cost efficiencies and reduced risk in subsequent build-out phases.
Pool construction, another critical component of the project, is progressing steadily. Work on structural elements for the pools is well underway, with overall completion at 51%. Additionally, the development of a new harbor area, including a breakwater to protect against severe weather, has reached 61% completion. Excavated materials from the construction process are being reused for the breakwater as part of Andfjord Salmon’s sustainable development strategy.
CEO Martin Rasmussen highlighted the company’s strong operational momentum, stating: “The progress at Kvalnes demonstrates our commitment to creating a world-leading aquaculture facility. These investments not only position us for long-term growth but also reinforce our focus on sustainability and operational efficiency.”
Despite the construction progress, Andfjord Salmon reported minimal revenue in the third quarter, as the company is not yet in production. Revenue for the period was close to zero, compared to NOK 27.7 million in the same quarter last year. The net loss for the quarter narrowed to NOK 15.3 million, down from NOK 28.3 million in Q3 2023.
Looking ahead, the company plans to increase production capacity to 8,000 tonnes HOG by 2025 with the completion of the current expansion phase. Andfjord Salmon also reaffirmed its longer-term ambition of reaching 90,000 tonnes HOG across multiple sites on Andøya, leveraging its proprietary flow-through system that combines elements of ocean and land-based farming.
