Fourth quarter highlights
- Construction of Phase 1 at Indre Harøy progressing according to plan - on time and on budget
- Critical infrastructure completed including wastewater tunnel - project execution risk significantly reduced
-
Received a
NOK 96.8 million funding commitment from Enova and grantedNOK 14 million in funding from the Norwegian Skattefunn tax incentive scheme -
Available cash of
NOK 648 million (NOK 2.95 per share) at 31 December
Subsequent events
- Signed Joint Venture term sheet with
Dongwon Industries for the establishment of a 49/51 joint venture for construction and operation of a 20,000 tonnes LWE land-based salmon farming facility inSouth Korea - Constructive discussions with banks for long term debt financing of phase 1 at Indre Harøy - committed term sheet expected finalized Q1/Q2 2021
Since the groundwork started in May, Phase 1 at Indre Harøy has developed according to plan. The main contractor, Artec Aqua, has entered into agreements with subcontractors who are currently working on site.
Blasting work for the fish-tanks and buildings is completed, and the masses have been transported out or crushed for reuse. Concrete works, including foundations for buildings and tanks, started in September and will continue in the coming quarters. Tunnel for wastewater was successfully finished in December.
The company remains on track for the first smolt release which is scheduled to be in
Total capital expenditures during the fourth quarter amounted to
Commenting on the development, CEO
"Activity on Indre Harøy was high during the quarter, with important milestones for the groundwork being reached and we are happy to see the project develop according to plan. During the quarter, we also received public funding and grants, strengthening our financial capabilities further."
In
"This collaboration is in accordance with Salmon Evolution's overall strategy for international expansion, leveraging our in-house experience and HFS competence in developing close-to-market salmon production in collaboration with local first-class partners."", says Berg.
Outlook
Salmon Evolution expects global demand of salmon to continue to grow in coming years, and thus see limited risk for the volume contribution from land-based suppliers bringing the salmon market out of balance. Salmon Evolution has clear ambitions to be among the leading players in this market. The company has a clear road map towards +70,000 tonnes production capacity by 2030 and is already on track for ~25,000 tonnes by 2024.
Results presentation
CEO
The presentation and subsequent Q&A will be held in English.
The presentation can be accessed at www.salmonevolution.no, or with the following link: https://streams.eventcdn.net/salmonevolution/2020q4/
For further information, please contact:
CEO,
hakon.andre.berg@salmone.no
+47 41 19 22 57
CFO,
thsp@salmone.no
+47 91 19 13 27
About Salmon Evolution
Salmon Evolution is a Norwegian land-based salmon farming company focused on extending the ocean's potential by transferring the best preconditions offered by the sea to farm fish on land through its hybrid flow-through system technology (HFS). This secures a truly sustainable production process with controlled and optimal growth conditions and limiting operational and biological risk.
The company's first production facility is under construction at Indre Harøy, strategically located on the Norwegian west coast with access to unlimited fresh seawater, renewable energy, established infrastructure for salmon farming, and an educated and experienced work force. The entire project is designed for an annual capacity of approx. 31,500 tonnes HOG.
To learn more, please visit www.salmonevolution.no
https://news.cision.com/salmon-evolution/r/salmon-evolution---results-for-the-fourth-quarter-2020,c3298311
https://mb.cision.com/Main/19899/3298311/1381023.pdf
https://mb.cision.com/Public/19899/3298311/921d8781f003bf14.pdf
(c) 2021 Cision. All rights reserved., source