Norwegian Mountain Salmon (NMS) is exploring potential locations in the Shetland Islands.
– This is the next scale-up location that we are looking at. We are considering two locations, Shetland and Lewis. One of them will come first, but that does not mean that the other location will be scrapped, says general manager of NMS, Bård Hjelmen, to iLaks.
The land-based farming company was recently in Shetland to look at a site at the southern end of the islands, where they will potentially build a large-scale underground salmon farm using flow-through technology. Here they were in talks with the landowner and the municipality. This is written by Shetland News, which first mentioned the case.
45,000 tonnes a year
– A decision to proceed with the proposal will be made later this year, says Hjelmen to Shetland News.
NMS will drill tunnels into the mountain to house up to 112 large fish tanks, which over time can produce up to 45,000 tonnes of salmon a year. According to the Shetland newspaper, the company will invest over 300 million pounds – or around NOK 4.1 billion – between the planned start of construction in 2028 and full production in 2035, if the projects go ahead.
– This is an early estimate. Our starting point is NOK 114 per kilo, Hjelmen elaborates to iLaks.
The area NMS has visited is supposed to be at Fora Ness near Spiggie, opposite the uninhabited island of Colsay. Photo: Norwegian Mountain SalmonThe company is also looking at a potential site near Uig in Lewis, Scotland.
Want to go to Utsira first
However, NMS will add the first plant to Utsira in Norway. Here, to the west of Norway’s smallest municipality, they will build a flow-through facility with 72 tanks, which will have seawater pumped in from a depth of 50 metres. The total price for this facility is estimated at NOK 2.4 billion.
The inspections in Shetland and Scotland are about which localities they are looking at after Utsira, Hjelmen explains.
– Utsira is firmly established as our pilot project, he says to iLaks.
Uncertain in Norway
When iLaks met the company in Utsira in February, they said that they are looking abroad to be able to run production on a “significantly larger scale”. They were then furthest along with the plans in Lewis. On Friday, Hjelmen elaborates on the background for why they are not, as of now, looking at upscaling opportunities in their home country:
– It is a bit of a high risk to look for a location in Norway during the day. It’s a bit sad, but we’ve considered it to be the case that there is too much political uncertainty here right now. Then there are also several other good reasons to look at Lewis and Shetland. The good water temperature is, for example, favorable for growth.
At Utsira, the plan is to apply for a production capacity of 26,000 tonnes – when the government again opens the door to applying for permission for land-based aquaculture.
Also read: The land-based stoppage creates uncertainty: – Hinders the development of the industry
Also read: Here NMS wants to fill the mountain with fish: – There are many opportunities for this along the coast in Norway
