Bue's pilot facility at Bulandet has a capacity of 1,400 tons of post-smolt and farmed fish and a license to produce a total of 5,500 tons.
Photo: Bue Salmon.
“We have every reason to be optimistic about the company’s future development," said Knut Eikeland, CEO of Bue, announcing the results for the land-based salmon farming company's second quarter.
Founded in 2015, Bue completed its first commercial harvest in April of this year, and followed this up by selling 514 tons of Bue Salmon in May and June at an average price of NOK 99.2 (EUR 8.52 / USD 9.26) per kilo, generating approximately NOK 51 million (EUR 4.38 / USD 4.76m) in revenue.
Biological performance was also "extremely good", the company said, with a mortality rate of 2.1% and a high superior rate of 95%.
“We are very pleased with the company’s recent development. Our first Buelaks has been sold and distributed, and the facility is almost ready for new stocking in August. This quarter has confirmed that we have made sound judgments,” Eikeland said.
Bue reports that it exported salmon to over 50 countries and more than 120 customers, with significant contributions from partnerships with Bravo Seafood and Seaborn.
The company said now plans to receive 800,000 smolts from Alsaker Fjordbruk in August for its fourth batch of fish.
The company said it had achieved strong positive cash flow from its operations at Bulandet, ensuring satisfactory liquidity and enabling it to increase investments in development.
Currently Bue Salmon operates a pilot facility in Bulandet, an island group which is part of Askvoll Municipality in Vestland county, Norway. Bue's facility has a capacity of 1,400 tons of post-smolt and farmed fish, and a license to produce a total of 5,500 tons.
The company plans to scale up operations at Bulandet and is also planning significant expansion, with a larger facility at Lutelandet, an island which is being developed as a green industry hub, with access to North Sea Deepwater port and clean renewable energy from hydropower and adjacent wind farms. There, Bue says it is aiming for an annual production of 50,000-60,000 tons.
Additional key highlights of the quarter include a positive preliminary statement from the county governor, which Bue said "fostered optimism" for its Lutelandet concession.
"We are also finalizing our strategic process and have entered into a strategic partnership with DNB for further financing," the company said.
