Biomega partnering with Quality Salmon on circular industry model in Sotenas

Published on
June 10, 2021
Biomega Group CEO Stig Petersen says the firm is "proud to be chosen as the preferred partner" by Quality Salmon for its Sweden site.

Bergen, Norway-based Biomega Group will partner with Quality Salmon on the Quality Salmon Industry Park in Sotenäs, Sweden.

The ingredient supplier to the health and nutrition industry will be producing “human-grade protein products and salmon oil, together with high quality pet food, from all the side streams arising from salmon harvesting at site,” according to a press release.

“Biomega is proud to be chosen as the preferred partner for valorizing salmon side streams at the Sotenäs park. It is an important next step on our growth journey and testament to our business’ unique position as an innovation partner,” Biomega Group CEO Stig Petersen said. “We are tremendously excited about the opportunities Sotenäs will offer the business and look forward to a favorable collaboration with Quality Salmon Sotenäs AB and the other leading companies within the industrial park, including Siemens and Vattenfall.”

The planned recirculating aquaculture system (RAS) project, organized by the Municipality of Sotenäs and Lighthouse Finance A/S, will sit on 140 hectares and produce an estimated 100,000 metric tons (MT) of Atlantic salmon when complete, and has an estimated price tag of EUR 1.6 billion to EUR 2 billion (USD 2 billion to USD 2.4 billion).

Built via a circular industry model, the complex will integrate three RAS farms with a feed factory, slaughter and processing facilities, residual and byproducts capture and reuse facilities, water purification, and a 40-megawatt solar array.

At Sotenäs, Biomega Group will build a new production facility to handle up to 39,000 MT of side stream materials at full capacity, generating 17,000 MT of hydrolyzed salmon proteins (salmon peptides), salmon meal, and salmon oil. The agreement is part of the company’s “significant expansion plans in place to expand its product portfolio,” Petersen said.

“The aquaculture industry is facing extensive change due to the growing activity in land-based salmon farming, and we are committed to research and development to drive the sustainability of the industry forward. The steady supply of high-quality side streams from the park will give Biomega a unique quality advantage in our production and, with the contribution of Biomega expertise and solutions, we will be able to further optimize both the quality and circularity of our offer to new levels, not previously seen in the industry,” he said.

Biomega Group and Quality Salmon Sotenäs signed a letter of intent to proceed with the partnership on 10 May, 2021, according to the release. The agreement states that Biomega “will be a central contributor to the project securing sustainability and circularity at the park,” according to the company.

“This project is another cornerstone agreement in our goal to establishing a blue-green circular industrial park for salmon farming with zero emissions and a positive CO2 footprint with the help of 100 percent green energy,” Lighthouse Finance CEO and Owner Roy W Høiås said. “The commitment from both parties further strengthens the foundation to move forward with more industrial partners and suppliers. The development of Quality Salmon Sotenäs is on schedule. We are facing the next phase with a humble spirit and over the next couple of months we look forward to continuously presenting the industrial park's other partners.”

On 11 May, Biomega Group announced its plan to construct a second biorefinery in Hirtshals, Denmark, this year. The plant will help the company expand its production capacity, with a focus on growth of its SalmigoTM range designed for premium pet food segment and its Biomega PURETMsalmon peptide business for the human health and nutrition market, which the company plans to launch later in 2021.

The company’s investment in the project will be more than EUR 10 million (USD 12.2 million), according to Petersen.

“Hirtshals, Denmark, is an important gateway for salmon into Europe, with local volumes growing substantially year-on-year. We are partnering with key local suppliers of high-quality fresh salmon parts,” Petersen said. “Biomega has demonstrated significant growth in the past couple of years, and we have expanded our team considerably as a result. The opportunities for our salmon peptides and oils are extensive and, alongside our sales in the premium petfood segment, we can now focus on human nutrition. We are working with a number of customers to commercialize health and nutrition concepts supported by consumer market trends and we’re excited by the opportunity that Hirtshals brings to expand our business.”

AMERRA Capital Management, which acquired Biomega in 2017, invested additional capital for the execution of this project, as did Natixis Investment Managers’ affiliated asset manager Mirova Natural Capital (via its Althelia Sustainable Ocean Fund), and several members of the management team, including the original founders of Biomega, the company said in a press release.

Photo courtesy of Biomega Group

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