'This is not just farming, but industry'

The Icelandic company GeoSalmo plans to build a land-based salmon farm near Thorlakshofn with a production capacity of at least 33,000 tonnes. The company - one of three in a row along the coast, along with Thor Landeldi and First Water - is in the final phase of raising capital and plans to start smolt production in the second quarter.

At the 20th edition of the North Atlantic Seafood Forum (NASF) in Bergen last weeky, more than 1,000 participants gathered, including top executives from several of the largest companies in the seafood industry. LandbasedAQ met with GeoSalmo's chief executive Jens Thordarson, who shared insights about the company's development and future plans.

First harvest in 2027

GeoSalmo is in the process of completing the renovation of an existing smolt facility, while the groundwork for phase 1 of a hybrid land-based grow-out facility is well under way. The company plans to put fish in tanks in mid-2026, with the first harvest planned around 9-12 months later.

One of the major advantages of GeoSalmo's plant, according to Thordarson, is the possibility of flexible scale-up.

"We are building this facility with the future in mind. The structure and infrastructure are set up so that we can increase production capacity as needed. This gives us a unique flexibility in the market," he says.

The company has already secured enough energy and permits for a significant expansion, and plans include the possibility of increasing production up to 100,000 tonnes in the long term.

Maximum biosecurity

GeoSalmo says quality and animal welfare are central.

"We are concerned with doing this right. Quality, fish welfare and biosecurity are our main priorities," says Thordarson.

"We keep each tank isolated for maximum biosecurity, which is crucial for stable production," he adds.

GeoSalmo plans to slaughter the fish on site, and pack it close to the facility before sending it by ship to Europe or North America.

Advantage over Norway

"Iceland is the best place for land-based salmon farming, and we are ready to take full advantage of this opportunity," says Thordarson.

GeoSalmo has great ambitions for the export markets and is looking in particular to the United States.

"The US is a main priority for Icelandic salmon farming. We have an advantage over Norway because we can send fresh fish via ship instead of plane. It is both cheaper and more sustainable," says Thordarson.

Iceland also has a strategic position in relation to China, one of the fastest growing and highest paying markets for salmon. The country has a free trade agreement with China, which gives GeoSalmo a competitive advantage.

"Shipping costs to China are relatively low, and it is a very attractive market. One challenge with land-based farming is that it is not as profitable to produce very large fish, and the Chinese market has traditionally demanded large salmon," says Thordarson.

However, he believes that the Chinese market will gradually develop and become more flexible in relation to fish weights.

Success from the start 

At the NASF conference in Bergen, Håkon André Berg, executive chairman of GeoSalmo and former chief executive of Salmon Evolution, shared his views on the company's strategy and growth plans. Berg has worked closely with GeoSalmo over the past year and is also a significant shareholder in the company. 

"To succeed with this, you have to be successful from the start. We are not an 'America First' company, we are a 'fish first' company. Everything we do, from engineering solutions to choosing technology and location, is based on what the fish need to have an optimal life," Berg said from the stage. 

He pointed out that GeoSalmo has implemented extensive capital expenditure reductions over the past year to make investments more competitive, without compromising processing equipment or water quality. 

"Instead, the savings have come through smarter construction processes," he said. 

Best practices and technological innovation 

GeoSalmo is based on established best practices and known technology that is further developed to provide even better results. 

“This is not just farming, it is also a heavy process industry. We need to think about mechanical engineering, automation and production in the same way that companies in the Norwegian oil and metal industries do,” said Berg. 

Experienced team 

Iceland is highlighted as an important player due to its strong industrial expertise. With a team that has worked together for over 16 years with land-based salmon farming, Berg believes GeoSalmo has a unique advantage.

The company has recruited experienced employees from other industries who Berg believes can bring new perspectives to salmon farming.

 “We’ve done this before, and we know what works. Our CEO has a background in running complex operations, and we work closely with experienced engineers and project managers,” he said. 

Through close collaboration with contractor Artec Aqua, which has decades of experience in the industry, Berg believes they have designed an optimal plant solution.