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Strategic contract and agreement in the Kingdom of Saudi Arabia


National Prawn Company (NPC), of the Kingdom of Saudi Arabia and AKVA group ASA has entered into a strategic cooperation and as a part of this the parties has entered into a delivery contract and a Letter of Intent (LOI) for contemplated deliveries during 2009 - 2011.
 
NPC already operates the world's largest shrimp production site at its location in Al-Leith, south of Jeddah in the Red Sea. NPC has now decided to expand their activities to include production of Marine Finfish, and has thus the ambitions, in the first stage, to establish production capacity of 35-50.000 tons of Yellowtail Kingfish (greater amberjack).  NPC and AKVA have worked closely together to develop the production systems and strategies since the first consultancy agreement was signed during the Aqua-nor exhibition in 2007. In January the Board of Directors of NPC approved the plan to build the first "pilot scale" facility for the production 5000 tons of fish. The first major delivery from AKVA are the main components for a brood stock facility and the LOI includes delivery of a complete Marine hatchery, 2 complete marine nursery systems, a complete marine pre-grow-out facility and 4 complete marine grow-out facilities.  For AKVA the brood stock delivery has a value of about 7 MNOK and the LOI agreement has estimated value of about 15 MEUR (135 MNOK) and is planned for delivery during 2009 - 2011. The development of the future stages to reach 35-50.000 tons production will be decided based on the success of the pilot scale operation.
 
These new contracts and the strategic cooperation with NPC is a result of AKVA group's long term ambitions and determination to be the leader in technology for the production of marine finfish. Formerly AKVA group has delivered similar technology projects for the production of Yellowtail Kingfish in Australia and Chile. By this delivery contract and LOI, AKVA group's leading position in technology for the production of marine finfish is long-established.
 
For further information about NPC see www.robian.com.sa
 
Dated: 5 March 2009
AKVA group ASA
 
Web: www.akvagroup.com
 
CONTACTS:
 
Knut Molaug, Chief Executive Officer
Phone: +47 51 77 85 40
Email: kmolaug@akvagroup.com
 
Rolf Andersen, Chief Financial Officer
Phone: +47 51 77 85 48
E-mail: randersen@akvagroup.com
 
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AKVA group is the leading provider of technology
to the fish farming industry and the only with global
distribution. The products consist of software,
sensor systems, feed systems, cage systems and recirculation systems.

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