LAND based salmon farming company Pure Salmon has secured funding for its first four projects, it was announced today.
Private equity group 8F Asset Management, which owns Pure Salmon, raised $358.8 million (£290 million) for RAS (recirculating aquaculture system) facilities in Poland, Japan, France and the US.
The investor base comprises leading family and institutional investors, including several sovereign wealth funds, insurance companies, and pension funds from Europe, Asia, the Middle East and the US.
The projects also attracted ‘substantial investments’ said Pure Salmon from its RAS technology partner, Israeli based AquaMaof.
The four projects represent a total production target of 40,000 tonnes per annum. While the Polish facility is already up and running, the first three new-build projects are progressing according to their respective timelines, said Pure Salmon.
The Japanese plant is the most advanced in terms of design, permitting and other preparations, and is expected to break ground in early summer, with Pure Salmon working with Nippon Koei, Japan’s leading engineering consultant.
Completion of works is expected by late 2021 with the first harvest planned for 2023.
The French project, in Boulogne-sur-Mer, is also moving quickly, with strong support from the local authorities, said Pure Salmon.
The French government has offered a Fast Track process to obtain all necessary permitting by autumn this year.
Pure Salmon has contracted three local specialist companies to execute geotechnical studies, hydrogeological studies and permit application assistance.
As both Japan and France are 10,000 tonne projects, the French facility will share many common design features of the Japanese facility.
Pure Salmon is in discussions with construction partners with a view to break ground before the end of this year, provided the permitting is completed as expected.
Pure Salmon Poland, located near Warsaw, operates as a commercial farm, producing about 600 tonnes of market size fish of 4kg and above, and also as a training ground and R&D centre
For the 20,000 tonne facility in the US, Pure Salmon has completed the site surveys and geotechnical studies.
Meanwhile, AquaMaof is scheduled to start working on the initial RAS technology design for this larger facility.
The plan is to begin applications for permitting in a few months’ time and land preparation work is expected to commence during the last quarter of 2020.
The Pure Salmon management team is being brought together in a new global headquarters to be based in Abu Dhabi’s financial centre, ADGM (Abu Dhabi Global Market).
This, said the company, will create a centrally located hub, from which its vision will be realised in local markets around the world.
Other global projects include those already announced in China, Africa and South East Asia, which will all contribute towards a total target of 260,000 tonnes of salmon production.
Stephane Farouze, board director of Pure Salmon and chairman and founder of 8F Asset Management, said: ‘With this highly successful asset raise we have reached a critical milestone in the development of Pure Salmon and have truly begun our journey towards 260,000 tonnes per annum production of sustainable salmon.
‘What’s more, having attracted such a highly respected group of investors, shows the level of confidence in the potential of the land based aquaculture industry and in the ability of Pure Salmon and 8F to successfully deliver their vision.’