Bergen, Norway-based Proximar Seafood AS, which plans to build a recirculating aquaculture system (RAS) facility producing Atlantic salmon in Oyama town at the foot of Mt Fuji in Japan, has signed a contract with engineering company Techno Ryowa Ltd for the equipment and installation related to heating, ventilation and air conditioning (HVAC) at its land-based farm.
The contract, which according to Proximar is in line with budgeted costs, is the final Capex-intense fixed price contract for the facility.
“We have now executed and signed all important contracts for the construction and installation of our state-of-the-art land-based facility in Japan and are on track to deliver on time and cost. We are pleased to see our many years of preparations and patience is paying off well,” Proximar CEO, Joachim Nielsen, said.
With the facility’s construction moving ahead as planned, despite travel restrictions caused by the COVID-19 pandemic, salmon production is planned to start up in the third-quarter this year, when the first eggs will be brought into the hatchery.
“The high degree of fixed costs and low impact of the pandemic puts us in a unique position to follow our business plan and finish the project on time and within budget. With a high degree of fixed costs, our estimate of Capex around NOK 193/kg (including land) is maintained, and we are therefore well-positioned in terms of our business plan,” Nielsen said.
Japan has also been opening its strict travel restrictions, enabling Proximar to finally strengthen its presence of on-site management.
The company has already staffed its operational team with people experienced at the RAS-farming of Atlantic salmon.
