Barramundi charts Brunei progress

Barramundi, which farms the fish of the same name (also known as Asian sea bass), disposed of its loss-making Australian arm last year and is now focused on developing its sea farm and hatchery in Brunei.

The company posted an operating loss of SGD 3.35m (£1.96m), down 6% on adjusted figures for H1 2023, and a net loss of SGD 3.37m (£1.97m), down 8%. Revenue was SGD 7.27m (£4.25m), down 22% on adjusted figures for H1 2023, excluding the operations that are no longer part of the business

In its trading update for the first half of this year, the company said it had secured financing of SGD 15m (£8.78m) for the expansion of its sea operations in Brunei. The first stocking has taken place at its sea cages at Pelong Rocks and the remaining cages are expected to be ready for deployment in Q1 2025. The Brunei operation is expected to reach a steady output of 1,000 tonnes.

The board said: “Growth and health performance of the first stock has been very promising, with very low accumulated mortalities, lower FCRs and better than model growth. Whilst this is still early days, we believe this is the result of the better water conditions in Brunei as well as the relative isolation of Pelong Rocks.”

Meanwhile, phase 2 is due to start in Q1 next year for the development of a new vaccine for barramundi against SDDV (scale drop disease virus). The vaccine is being developed jointly by Barramundi’s subsidiary UVAXX Vaccine Technology and the Singapore government’s A*Star research agency. Trials are expected to take 36-48 months.

The group also reported that its Fassler seafood products brand is now seeing higher margins and has its products on the shelves of Singapore’s biggest food retailer. The focus for the brand next year Focus will be on growing trading revenues of Norwegian, and Chilean fish and increasing the rollout of more premium smoked and value-added products.

The restructuring of the company continues and the board expects this will be resolved by the middle of next year. Last month Barramundi was granted a four-month period of protection against actions by creditors, to allow it to get its finances in order.