Takeoff for GeoSalmo with financing completed

Land-based salmon company GeoSalmo has successfully raised ISK two billion (around £11.5 million) allowing it to move ahead very soon with its large-scale fish farm project in Iceland.

The effort attracted an influential group of investors from across Scandinavia and northern Europe.

GeoSalmo plans to build 24,000 tonne HFS farm (hybrid flow-through system) at Ölfus, near Þorlákshöfn in south west Iceland, around 35 miles from the town of Grindavik which is currently under threat from a nearby volcano. The proposed site is well away from any active volcanic activity.

The farm will have an on-site smolt facility and a grow-out and processing plant.

The company has already carried out an  environmental and planning assessment. It has also  signed a contract with the geothermal energy company Orku Náttúrunn for 28 megawatts of electricity for the entire development of the land station and its full operation.

Jens Þórðarson, managing director of GeoSalmo, said: “This is an important milestone for us and secures the company capital to take the next steps on its journey.

“We are extremely happy with the group of investors who are joining the project now, and their experience and connections will be of great use to us in the development of our project.”

He added: “This also shows the investor’s faith in our vision of wildfire, our technology and our team.”

GeoSalmo said it is aiming to produce high quality salmon with the first phase producing 7,500 tonnes, eventually building up 24,000 tonnes.

Construction preparations are well advanced and the Planning Agency has already issued an opinion confirming GeoSalmo’s environmental assessment report.

Managing director Þórðarson said a fundamental aspect of the company’s preparations has involved securing energy for the plant.