Atlantic Sapphire Denmark's facilities before the fire.
Photo: Atlantic Sapphire.
Atlantic Sapphire has signed a short-term lease agreement with Maiken Foods AS to rent its facilities in Denmark. This will allow the Norwegian farmer to develop an aquaculture production pilot.
"Our method combines the best features of traditional cage technology with the advantages of land-based production while eliminating the biological and environmental challenges that characterize both solutions," assured Arve Gravdal, CEO of Maiken Foods AS.
As confirmed in a press release, Maiken Foods has a purchase option for the Danish entity to establish its large-scale land-based salmon farming operation in the future.
"We have reduced investment costs by about two-thirds compared to traditional recycling plants. This gives us the opportunity to reduce fish density accordingly while maintaining a sustainable economy. Another advantage is that the farming tanks are independent of each other, which prevents the spread of infection and allows for new, flexible farming strategies," Gravdal explained.
On September 15, 2021, Atlantic Sapphire facilities in Hvide Sande, Denmark, were impacted by a fire. In April 2022, Danish police closed the investigation finding no indication that the fire was started intentionally.
Despite the cause of the fire was unclear, Atlantic received $33 million (DKK 180 million) in insurance settlement for the incident. The Miami land-based salmon farming company confirmed this would help to stabilize its operations in the US.
According to its its third-quarter harvest results, Atlantic Sapphire achieved a substantial growth in harvest volume, and secured more than $60 million through a rights issue. The company also issued 7.7 billion warrants, allocated to subscribers of the rights issue, underwriters, and lenders involved in the convertible loan.
