The African Aquaculture Company (AAC) has secured N$41 million (€2 million) in equity financing to launch the first phase of its salmon farming venture off the coast of Lüderitz.
The funding is backed by a strategic partnership between Namibian and Norwegian investors, with an option to scale up total equity financing to N$123 million (€6 million).
The investment will be further supported by loans underwritten with Norwegian export finance guarantees.
“The first phase of the project has secured €2 million in equity, complemented by further options for a total of €6 million,” said AAC Chief Executive Officer Helge Krøgenes.
“These funds, bolstered by loans with Norwegian export finance guarantees, will enable the initial steps of production, starting with smolt farming and the development of key infrastructure.”
Krøgenes credited the involvement of both Namibian financial stakeholders and Norwegian aquaculture experts, including Nordic investment bank ABG Sundal Collier, for helping bring the project to fruition.
“We are thrilled to see this partnership come to life.The collaboration with Norwegian and Namibian investors underscores our shared commitment to economic growth, technological innovation, and the sustainable management of marine resources. This financing not only sets the project in motion but also paves the way for Namibia to become a significant player in the global salmon market,” he said.
AAC plans to adopt cutting-edge Norwegian aquaculture technology to develop environmentally responsible salmon farming operations.
According to Krøgenes, the initial phase will produce 1,000 tonnes of premium Atlantic salmon annually, with ambitions to expand production to 51,000 tonnes per year across three licensed offshore sites.
“This state-of-the-art operation will utilise the cold, nutrient-rich waters of the Benguela Current, with ideal temperatures ranging from 10 to 16 degrees Celsius,” he said.
The project is expected to significantly benefit Namibia’s economy, with forecasts suggesting the creation of over 5,000 direct and indirect jobs upon reaching full production.
AAC’s Country Director, Clement Kaukuetu, said the project would provide training and skills development opportunities for Namibians in aquaculture, backed by technology transfer and expertise from Norwegian partners.
“This project is a beacon of opportunity for Namibia. It will not only create jobs but also equip the local population with skills to thrive in the burgeoning global aquaculture industry, ,” said Kaukuetu.
Kaukuetu emphasised that environmental sustainability is at the heart of AAC’s operations.
“With no salmon lice detected in the Benguela Current and meticulous environmental monitoring protocols in place, AAC seeks to meet international certification standards, including Global G.A.P and Aquaculture Stewardship Council (ASC) standards,” he said.
The pilot phase will produce salmon for both domestic and international markets, with Southern Africa, the Middle East, and Europe identified as key export destinations.
The company also aims to transform Lüderitz into a regional hub for salmon farming and processing, supported by new infrastructure and logistics systems.
“The success of this financing round underscores the potential of collaboration between developed and developing nations to drive economic development while adhering to sustainability. The African Aquaculture Company expresses its gratitude to all partners and stakeholders who contributed to this exciting milestone,” the company said.
