Netherlands start-up Kelp Blue has secured a N$31.1 million investment from the De Beers Group to commercially develop the world’s first large-scale kelp farm off the coast of Namibia, near Luderitz.
The De Beers’ investment comes as Kelp Blue has received initial backing from fund management firm Climate Fund Managers’ Climate Investor Two Fund, which partnered with Namibia Infrastructure Development and Investment Fund (Nidif), managed by Namibian private equity fund manager Eos Capital to fund Kelp Blue’s plans.
The project, which was awarded a licence in 2021 to cultivate Giant Kelp off the coast of Namibia and is now in its pilot phase, is estimated to require N$938 million in investment over a five-year period.
“The investment supports a pioneering nature-based solution for sequestering carbon and enhancing biodiversity, while also delivering skills development and job creation in Namibia, where De Beers has recovered diamonds in joint venture partnership with the Namibian Government for almost three decades,” Neil Ventura, Executive Vice-President, Strategy and Innovation at De Beers Group, said of its investment.
Daniel Hooft, Founder and CEO of Kelp Blue said his company was very pleased to have De Beers as partners, thinking about the future.
“De Beers has communicated its commitment to protecting the natural world through its 2030 Building Forever sustainability goals, with its focus on carbon neutrality, minimising its water footprint and delivering a net positive impact on biodiversity. These are one hundred per cent aligned to Kelp Blue’s core passion and purpose. De Beers’ early investment in our offshore pilot – a world first in terms of scale and ambition – specifically helps us accelerate the quantification and verification of the carbon sequestration pathways, which is essential for the whole seaweed industry in terms of scientifically establishing the potential of this novel nature-based solution,” he said.
According to De Beers, research has shown that kelp forests have carbon sequestration properties exceeding those of terrestrial forests and that they help sustain healthy marine ecosystems, providing food and shelter for countless species.
Kelp Blue is a sustainable oceanic aquaculture enterprise founded in 2020 with headquarters in The Netherlands and operations in Namibia, which plans harvested kelp canopy year-round to produce sustainable agri-foods and bio-stimulants.
De Beers is 50% partner of the Namibian government in marine based diamond miner Debmarine Namibia and land-based diamond miner, Namdeb Diamond Corporation.