Lovundlaks looks to a future offshore
Salmon producer Lovundlaks has set up a new company, Utror, to pursue its ambition of farming offshore off the coast of Helgeland, the most southerly district of Northern Norway.
Lovundlaks, a medium-sized producer that has licences for approximately 6-8,000 tonnes of biomass, has already been investigating the possibilities for aquaculture at sea in areas off Helgeland that have been identified and mapped by the Directorate of Fisheries.
Further development workwill take place through Utror AS, which will initially work to ensure that the areas off the Helgeland coast are included in a forthcoming impact assessment for offshore aquaculture.
Extensive studies
Lovundlaks said that over the past year is has carried out extensive studies and assessments of the natural conditions, possible coexistence challenges and opportunities, as well as technology requirements. During this time, the company has cooperated with a design and technology supplier, with a common ambition to develop the solution for aquaculture in open waters.
Jacob Palmer Meland, general manager of Lovundlaks, said that ever since the circular plastic cage was invented in Helgeland in 1970, the region had played an important role in the development of the aquaculture industry.
“In recent years, we have moved towards more exposed locations within the current licensing regime,” said Meland in a press release.
“We now see that access to new areas and conflicting area interests can limit further development, not only for Lovundlaks but for the entire industry. Utror’s analyses show that the natural conditions in the areas outside Helgeland are ideal for salmon farming on the salmon’s terms, which is also supported by Lovundlaks’ good biological experiences at exposed localities ‘inshore’ on Helgeland.”
Impact assessment
The Norwegian Directorate of Fisheries’ survey report from 2019 recommends 11 areas along the Norwegian coast for an impact assessment for aquaculture at sea. Two of the areas are off the Helgeland coast.
The Directorate of Fisheries’ assessments, which are based on analyses from the Institute of Marine Research (IMR) and input from various authorities and area stakeholders, indicate that the areas appear attractive for offshore aquaculture. This is also supported by Utror’s preliminary investigations.
Lovundlaks said that at the request of the Ministry of Trade and Industry, the Directorate of Fisheries this month proposed three areas along the Norwegian coast that will be impact assessed and potentially adapted for aquaculture at sea, but these didn’t include Helgeland.
Must be changed
“That the areas outside Nordland have been omitted from the Directorate of Fisheries’ preliminary proposal for three areas that will be adapted for aquaculture at sea through an impact assessment must be changed, so that the opportunity space outside Nordland can be clarified,” added the company.
Lovundlaks had a increased turnover of NOK 660 million (£56.7m) in 2020, compared with NOK 613m in 2019. Profit after tax was NOK 224m, which was 145m lower than 2019.
The operating margin for Lovundlaks in 2020 was 37%, which is slightly down from 42% the year before. The company’s equity ratio last year was 35%, compared to 52% in 2019.
