€30Mn Hydra Pioneer secures permit, finance

News
1746

The Norwegian Fisheries Directorate (an industry-run, arm’s length regulator) has awarded Hydra Salmon Company four licenses under a development permit to produce a combined 3,120 tonnes of biomass.

Hydra Salmon had applied to bring its semi-enclosed production tanks into use at Froya in Trondelag County. The estimated cost to build the first tank to scale has been put at just over EUR 31.2 million.

Hydra Salmon Co. is being fronted by former SalMar chairman, Olav Klungreseth, and three other investors.

Read Hydra Salmon hoping to disrupt grow-out model

The company was founded by listed company, Hydra Pioneer, and the same four persons are shareholders in both companies. The Fisheries Directorate highlighted as key the support the four men had from SalMar owner, Gustav Witzoe, and his investment vehicle, Kvarv.

“Hydro Salmon will be dependent on its partner, Kvarv AS, in order to carry the project through. The Fisheries Directorate has no reason to doubt Kvarv’s ability to finance the project’s earmarked investments,” the Directorate wrote.