Author Archives: Ole Jørn Borum

Annual Report 2017

The Grieg Seafood Annual Report, and Sustainability Report of 2017, as adopted by the Board of Directors, is now available:

Sustainability is a precondition for productivity and legitimacy in fish farming.  For several years, Grieg Seafood has reported key indicators of environmental and community engagement. The Sustainability Report is revised according to the Global Salmon Initiative (GSI) principles for 2017. This year we also report on Climate Accounts.

For further information, please contact:

– CEO Andreas Kvame (cell phone: +47 907 71 441)
– CFO Atle Harald Sandtorv (cell phone: +47 908 45 252)

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

GSF Q4 2017: Lower harvest volume than guided in Q4, 28 % volume growth in 2018

Highlights – Q4 2017

  • Profit decline as a result of lower market prices and reduced harvested volumes
  • 3 000 tonnes of harvest volume transferred from 2017 to 2018
  • Results impaired by PD-affected fish in Rogaland
  • Upsurge in market activity and good demand expected in 2018
  • Harvested volume expected at 80 000 tonnes in 2018, up 28 % from 2017
  • Number of fish in sea increased by 27 % YoY
  • Biomass in sea increased by 20 % YoY


GSF Q4 2017 Report ENG


GSF Q4 2017 Presentation ENG



GRIEG SEAFOOD ASA: Q2 2017 – Solid performance in Q2

Highlights – Second Quarter 2017

  • Profit growth driven by high prices.
  • Sound financial position.
  • Stable production in Norway and BC.
  • Sea lice and algae present challenges in Shetland.
  • New location allocated in Finnmark.
  • Two locations receive ASC certification
  • Ownership interests secured in large smolt production in Finnmark and Rogaland.

Second Quarter Results 2017

The harvest volume for the Grieg Seafood Group in Q2 2017 was 18 503 tons, up from 16 263 tons in the corresponding period last year, reflecting an   increase of 14 %.

Combined with higher prices this resulted in total operating income of NOK 2 030m, an increase of 21 % compared to the same period in 2016.

EBIT for the Group before fair value adjustment of biomass was NOK 392m in Q2 2017, compared to NOK 312m in Q2 2016.EBIT per kilo in the period was NOK 21.20, up from NOK 19.20 per kilo in Q2 2016. The average spot price rose by NOK 3.60 per kilo, while GSF’s realized prices showed an increase of NOK 7.70 per kilo. The difference was largely due to higher contract prices. Costs was NOK 5.70 per kilo higher compared to Q2 2016. The challenging biological situation in Shetland has been a major contributor to the increase in costs.

Strategic priorities

A stated goal is to reduce GSF’s cost level to the industry average, or lower. The company will also be aiming to increase production by 10 % annually in the period through 2020.

GSF has an ongoing focus on improving operating efficiency. This involves both increasing production per plant and per licence, and reducing costs per kilo.

One of the key steps being taken to increase production is to set out bigger smolt. This shortens the production time in the sea and reduces the biological risk. An increase in the number of smolt is also decisive to ensure future growth and lower costs per kilo.

The company is planning to set out 26 million smolt in 2017, which is an increase of 28 % compared to 2016. After the first half-year GSF are on track on the plan. So far 10 million smolt have been set out.

In order to achieve growth by increasing the yield per licence, greater locational flexibility is a key factor. This is therefore an ongoing focus of attention in our contact with local authorities.

Market development

There was some increase in salmon prices in Q2 2017, the only exception being the North American market where prices declined through the period.

Fixed price contracts for Norway accounted for 18 % of sales in Q2 2017. This share is expected to be 32 % in Q3 2017. For 2017 as a whole, it is estimated that fixed price contracts will account for 25 % of the total. Work is also in hand pertaining to contracts for 2018.


The supply of salmon is expected to increase in Q3 2017, which may put prices under pressure. However, in the longer term, there is no indication of changes in the strong market trend that has characterised the last few years.

The harvest volume for Q3 2017 is expected to be 16 500 tons. The harvest volume for 2017 as a whole is expected to be 67 000 tons, which is 3 000 tons less than previously indicated. This must be considered in light of the biological situation in Shetland.

Please find enclosed the company’s Q2 2017 report and presentation.

GSF Q2 2017 Report ENG
GFS Q2 2017 Presentation ENG

For further information, please contact:

  • CEO Andreas Kvame (cell phone: +47 907 71 441)
  • CFO Atle Harald Sandtorv (cell phone: +47 908 45 252)

This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.

GSF Third Quarter 2014

Highlights – Third Quarter 2014

  • EBIT before fair value adjustment of biomass was MNOK -63.2 in the third quarter (MNOK 76.5 in 2013).
  • After correcting for the three events mentioned below, the underlying Q3 EBIT was positive in the sum of MNOK 30.
    • In Finnmark the matter of fish maturation has presented challenges with overall economic consequences estimated at MNOK 29. Action has been taken to avoid this in the future.
    • Environmental and disease conditions have been demanding in Rogaland as a result of PD (Pancreas disease) and unusually high sea temperatures. Because of this, the regional accounts include write-downs of MNOK 39.
    • The results from Canada reflect negative profitability, including a weak market, on Pacific salmon. As a result, the Q3 accounts include losses and write-downs totalling MNOK 25. GSF is terminating its production of Pacific salmon and will focus solely on Atlantic salmon in the period ahead.
  • The company’s CEO, Morten Vike, has resigned from his position and the process of finding his successor has started.
  • The Board is not satisfied with the third quarter results. There will be a keener focus on the core business and the quality of internal operating procedures.

Third Quarter results

EBIT for the Group in the third quarter before fair value adjustment of biomass was MNOK -63.2, against MNOK 76.5 in 2013. The
harvested volume in this year’s third quarter was 16 750 tons, against 13 953 in the corresponding period last year, reflecting an increase of 20%.

The weak performance in the third quarter must be considered in the light of several unforeseen operational deviations. Specifically, this relates to PD in Rogaland (MNOK 39), salmon maturation in Finnmark (MNOK 29) and a high proportion of Pacific salmon in BC (MNOK 25).

If the events mentioned above are disregarded, the costs of fish harvested in the third quarter were largely stable in all regions compared with the same period last year. But the Board is of the view that the cost level is too high. The company has had to deal with several unfortunate and unforeseen events over the last year, but steps have been taken to improve processes and procedures with the aim of ensuring greater operating stability in the period ahead. Sea production in the third quarter was good in all regions apart from Rogaland which has had major biological challenges. The global supply of salmon increased by 12% in the third quarter, with some decline in prices. This should also be seen in connection with the closure of the Russian market. The decline in prices was part of the reason for the weaker performance in the third quarter.

Before tax and fair value adjustment of biomass the third quarter result was MNOK -83.1, against MNOK 64.4 in the third quarter of 2013.

Group operating income in the third quarter totalled MNOK 599.1, an increase of 2.5% on the same period last year.

Volumes were 20% higher, while prices were 17% lower compared with the third quarter of 2013.  Pacific salmon in Canada and mature fish in Finnmark contributed to a reduction in the realised average price.


Following a third quarter characterised by high supply-side growth, the fourth quarter is expected to bring a decline in this growth. There is therefore reason to believe that prices will rise towards the end of the year. In addition, forecasts for 2015 indicate a supply-side growth rate that is lower than the increase in demand, which will further strengthen the market.

GSF expects to harvest 65 000 tons in 2014. This is 2 500 tons less than previously indicated, but 1 000 tons have been moved to 2015. The decline in the harvested volume is mainly due to the biological situation in Rogaland. PD and an unusually warm summer have resulted in lower fish growth than expected.

In 2015 expects to harvest 72 000 tons. This is based on a harvested volume of 13 000 tons in BC. A normalised harvested volume in this region would be in the order of 15 000 tons. In Finnmark and Scotland the harvested volumes will be slightly lower in 2015. This must be seen in the light of the zone and location structures in these regions. These volumes are expected to increase again in 2016.

The process of appointing a new CEO is ongoing. The company’s CFO, Atle Harald Sandtorv, is acting CEO. In the period ahead GSF will be targeting on the production and sale of Atlantic salmon. At the same time, there will be an increased focus on the core business and the quality of internal operating procedures.

For further information, please contact:

CFO/Acting CEO Atle Harald Sandtorv, cell phone: +47 908 45 252.


Notice on change of leadership in Grieg Seafood ASA

CEO Morten Vike in Grieg Seafood ASA has notified the board that he will resign as managing director in the company with immediate effect. He has been in the position of CEO for the last 6 years, and has contributed to a development of the company’s 4 regions in Finnmark, Rogaland, Scotland and Canada, and has been central in the establishment of Ocean Quality AS, one of Europe’s leading salmon distributors, and has guided the company to increasing its turnover by more than NOK 1 billion to NOK 2.4 billion.

The board would like to thank Morten Vike for his efforts during these years, and wish him luck in his future career. He will be available for the company during his termination period.

The chairman of the board, Mr. Per Grieg jr, will join the company as working Chair, at the same time as CFO Atle Harald Sandtorv will be constituted for an interim period as managing director. Per Grieg jr. has held the CEO position earlier for 10 years, and represents the Grieg Group as owners with about 55% of the company’s shareholding. Search for Morten Vike’s successor will start immediately.

For further information about the company, please contact: – mobile +47 908 31 648.

Global salmon initiative (GSI) launched with commitment to sustainable salmon farming

Group representing 70% of the global farmed salmon industry announces commitment to sustainability leadership initiative as a path towards significant change.

TRONDHEIM, Norway – August 15, 2013, 00:01 CEST: CEOs of the global farmed salmon industry today launched a major industry-led sustainability initiative. The Global Salmon Initiative (GSI) unites 15 global farmed salmon producers committed to greater industry cooperation and transparency, in order to achieve significant and continuous progress in industry sustainability. The initiative aims to make significant strides in providing a sustainable source of protein (farmed salmon) to feed a growing population.

With a shared ambition of improving industry performance across three pillars of sustainability: reducing environmental impact, increasing social contribution and maintaining economic growth. GSI today announced that they are focusing on areas where they can make ambitious, yet achievable, improvements, within a realistic timeframe.

“As an industry, we recognize that while we have made significant progress, there is still a lot to be done in terms of sustainability. As a relatively young industry, we hope that through industry collaboration, research and sharing of knowledge, we can make the necessary changes to do better, and keep getting better” said GSI co-chair Alf-Helge Aarskog, CEO of Marine Harvest.
Keen to make substantial improvements, GSI is concentrating their efforts on three priority areas facing the industry: biosecurity, feed sourcing and meeting industry standards.

José Ramón Gutíerrez, co-chair of GSI and Executive Director of Multiexport Foods SA, commented “each of our focus areas are critical and integral to the success of our industry, and with commitment across regions to work together for the first time, we have the opportunity for real and beneficial change”.

The members of GSI are committed to significant improvements in the sustainability of their operations. The Aquaculture Stewardship Council (ASC) standard for salmon aquaculture provides a framework to guide and report on the progress GSI is making, and the initiative is adopting the ASC framework as its primary reference point for work and progress. It is recognized that while salmon farmers have already been making progress toward greater sustainability, and have met the requirements of other demanding standards, they acknowledge that more needs to be done.

“This is a game-changer. The salmon sector working together and embracing sustainability is going to radically change aquaculture – and affect the food industry in a big way,” said Dr Jason Clay, Senior Vice President of Market Transformation for World Wildlife Fund (WWF).

WWF launched the Salmon Aquaculture Dialogues nine years ago, the outcome of which was the ASC standard. “This commitment shows that these companies see sustainability as a pre-competitive issue, one that they can work on together to make progress more quickly,” Clay added.

GSI is committed to working closely with industry partners to ensure it is making significant change in areas affecting the whole of the industry, and is not merely satisfying the status quo. Keen on improving sustainability across the aquaculture industry, GSI has also formed an alliance with the Food and Agriculture Organization (FAO) of the United Nations. Both parties share a goal of supporting the expansion of sustainable aquaculture as a source of high quality food source for a growing global population.
“Through the GSI and FAO partnership, there is the potential to improve access and the exchange of information and expertise to support global improvements in environmental and social performance across the industry” said Árni Mathiesen, Assistant Director General, FAO Fisheries and Aquaculture. “GSI provides an opportunity to seriously address sustainability challenges as a commodity subsector and this could provide lessons on how a sustainable industry can be created and maintained, and we hope that we can transfer this experience to developing nations, in support of the expansion of their sustainable aquaculture industry, to provide greater sources of nutritious and healthy food”.

As the first initiative of its kind, GSI hopes to maximize their cooperation and resources to ignite improvements which would otherwise be unachievable if attempted individually.

The Global Salmon Initiative (GSI) is a leadership initiative established by global farmed salmon producers focused on making significant progress on industry sustainability. GSI is committed to fully realizing a shared goal of providing a highly sustainable source of healthy food to feed a growing global population, whilst minimizing our environmental footprint, and continuing to improve our social contribution.

GSI member companies include Acuinova Chile; Bakkafrost; Blumar; Cermaq; Compañía Pesquera Camanchaca; Empresas AquaChile; Grieg Seafood; Lerøy Seafood Group; Los Fiordos; Marine Harvest; Norway Royal Salmon; SalMar; Multiexport Foods SA; The Scottish Salmon Company; Scottish Sea Farms. GSI companies have presence in Chile, Canada, Norway, the Faroe Islands and Scotland, and make significant contributions to the economies of these respective countries.
Further information may be received by contacting the GSI secretariat, AXON, at or by visiting Follow us on Twitter @GSI_Salmon.

ASC is the acronym for Aquaculture Stewardship Council, an independent not-for-profit organization. The ASC was founded in 2010 by WWF and IDH (Dutch Sustainable Trade Initiative) to manage the global standards for responsible aquaculture, which are developed by the Aquaculture Dialogues, a program of roundtables initiated and coordinated by WWF. The ASC aims to be the world’s leading certification and labeling program for responsibly farmed seafood. The ASC is a global organization working with aquaculture producers, seafood processors, retail and foodservice companies, scientists, conservation groups and the public to promote the best environmental and social choice in seafood. The ASC’s aquaculture certification program and seafood label recognizes and rewards responsible aquaculture.

The Food and Agriculture Organization (FAO) of the United Nations is a specialized agency of the United Nations systems, established in 1945 to improve food security, raise levels of nutrition and standards of living for all people in FAO member countries. The organization seeks to secure improvements in the efficiency of production and distribution of food and agricultural products, and to contribute toward an expanding world economy and ensure humanity’s freedom from hunger.
Media contacts:
Tanya Neves
AXON Communications

Sophie Ryan
AXON Communications

IHN confirmed at the Culloden Point site in BC, Canada

Reference is made to the stock exchange notification on 3 August 2012. Renewed tests confirm the presence of the IHN virus at Grieg Seafood BC’s site Culloden Point in BC, Canada. Canadian authorities that have conducted the renewed testing, has yet not issued any depopulation order regarding the Culloden Point site, but in line with recent practice, Canadian authorities are expected to issue a depopulation order of the concerning site within short term. Grieg Seafood BC has taken all measures to isolate the farming site as well as prepare for depopulation of the site. The Culloden Point site holds in excess of 300,000 atlantic salmon, with an average weight of in excess of 0.5 kg and a book value of NOK 9m. The final financial impact of the likely depopulation order will depend on the potential compensation from Grieg Seafood’s insurance and/or Canadian authorities as a consequence of a potential depopulation order.

Contact persons:

– Morten Vike, CEO, tel: +47 994 911 65
– Atle Harald Sandtorv, CFO, tel: +47 908 45 252

For further information about the IHN virus please refer to:

BC Salmon Farming Association IHN Backgrounder

Mainstream Canada IHN Backgrounder

CFIA IHN Backgrounder

Grieg Seafood Hjaltland UK win in Boston

Shetland salmon producer and smokehouse, Grieg Seafood Hjaltland UK Ltd (GSH UK Ltd) has won the coveted Best New Retail Product Award at the Seafood Excellence Awards at the International Boston Seafood Show 2012, in the USA.

The Seafood Excellence Awards are judged by three major seafood professionals and recognise the product leaders in the North American seafood market and introduce the top products predicted to stand out with consumers.

Products are evaluated on their unique qualities, appropriateness to the market, taste profile (flavour, texture, aroma, appearance), packaging, market potential (potential for market success, correct packaging and profile for target market, value, quality to price ratio), convenience for end users, nutritional value and originality.

Michael Stark, Managing Director of GSH UK Ltd said: “We are extremely delighted and very proud to announce that our WildWaters Gravadlax Limoncello has won the Best New Retail Product Award at the International Boston Seafood Show.

“We were very happy to reach the shortlisting stage of this international competition and are, of course, thrilled to have gone on to win the award.

“To have our product recognised by the judges as one that has the right appeal for customers in North America is, indeed, a great endorsement and an excellent start to what we hope will be a very successful show.”

Along with the WildWaters Gravadlax ‘Limoncello’, the company’s retail range includes seven varieties of Scottish Smoked Salmon and fresh salmon loins. All products were developed in-house in Shetland.

GSH UK Ltd are exhibiting at the Boston Seafood Show, in the United States, from 11 to 13 March 2012.

The company has joined other Scottish seafood producers participating on the Scottish Development International Agency Stand – No. 2253.

For further information, see the company’s website: or contact Michael Stark, MD: 0044 1595 741 800.

Licence for new salmon harvesting plant in Alta, Norway

The licence is good news for Grieg Seafood. The extensive process is finally completed after 22 years. Grieg Seafood is a major employer in the arctic region of Finnmark with around 200 employees.

– Planning and establishing a new processing plant in Alta will provide us with the necessary conditions to secure and develop our operations in Finnmark, says General Manager in Grieg Seafood Finnmark, Håkon Volden.

Read the press release from the Norwegian   Ministry of Fisheries and Coastal Affairs.