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Atlantic Sapphire

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Today, the food and drink sector is responsible for 25 percent of greenhouse gas (GHG) emissions that are warming our world. A greener planet begins with oceansafe, sustainable seafood that keeps the seas blue and the planet green. And that’s exactly what Atlantic Sapphire does.

Norway is the world’s largest salmon producer, and as a nation has remained at the forefront of the sustainable development and evolution of the industry. Atlantic Sapphire, a company that champions innovation as its core value, and the drive to provoke change, has both these qualities built deeply into its DNA. Aiming to revolutionize the way that conventional salmon is farmed, Atlantic Sapphire firmly believes that by pioneering Bluehouse™ salmon farming locally in the US, there will follow a global transformation for protein production. Despite facing operational challenges, Atlantic Sapphire has continued to show a willingness to change and adapt to a completely new organizational structure, with the ultimate goal of raising healthy, happy salmon in its Bluehouse™ facility.

Coming from a family of fishermen, Johan Andreassen, co-founder and CEO of Atlantic Sapphire, naturally found himself growing up around the ocean and the fishing industry. Today, he identifies himself as a sustainable salmon entrepreneur. Originally from Norway, he has been involved in the sustainable development of the industry since the beginning of his career.

HOOK, LINE & SUSTAINABILITY

Atlantic Sapphire is leading the way in sustainable salmon farming. We learn more from Johan Andreassen, CEO

Writer: Ed Budds | Project Manager: Tom Cullum

“Together with Bjorn-Vegard Lovik, my business partner and co-founder, we had the idea to help shape the salmon farming industry toward a more sustainable future,” Andreassen explains. “Initially, we established Villa Organic, Norway’s first organic salmon farming company, with the revolutionary use of cleaner fish to fight sea lice in net-pen salmon farming without the use of pharmaceuticals or chemicals.

“However, we knew there had to be a better alternative, and we partnered with Thue Holm, co-founder of Atlantic Sapphire, who had extensive experience in recirculating aquaculture systems (RAS) and worked to build a commercial pilot of a Bluehouse™ to eliminate farming with net pens in remote areas.”

Think of Bluehouse™ essentially as a greenhouse. Where a greenhouse gives plants an ideal space to thrive in optimal conditions, Atlantic Sapphire’s Bluehouse™ does the same thing, but for fish.

In their land based Bluehouse™ in Homestead (Florida), the salmon swim healthy, happy, and stress-free. This fish farm of the future means we can all feast away while our oceans continue to thrive.

Andreassen strongly believes that the salmon farming industry is a highly exciting space to be active in. As an incessant demand for healthy sources of protein such as salmon only continues to grow, he remains thrilled to be a part of this sustainable change. Atlantic Sapphire is a company that is pioneering land-raised salmon farming with its proprietary Bluehouse™. Sustainability is at the centre of all forms of production, from farming to the distribution of the product.

“We reduce GHG emissions by eliminating airfreight transportation. Our production has minimal impact

NORTH AMERICA OUTLOOK: DO YOU HAVE ANY PROJECTS IN THE PIPELINE THAT YOU’RE EXCITED ABOUT?

JOHAN ANDREASSEN, CO-FOUNDER AND

CEO: “Since its founding in 2017, our Homestead Bluehouse™ facility is undergoing a multiphase long-term development plan to gradually increase our capacity and production until finally reaching 220,000 metric tons of salmon a year by 2031.

“We’re very excited about this facility’s success as it continues to grow. Phase Two of the plan is currently underway with completion projected for 2023. As the expansion of the Miami facility continues, it also opens up the opportunity for more interactive consumer experiences in the future. We will be welcoming a limited number of visitors to tour the facility in an educational, exhibit-style experience to learn more about our unique salmon-raising process.

“Other exciting consumer-centric projects we have in the works include our partnerships with celebrity chefs who are known for their sustainability focus as well as our educational campaigns, which aim to share the wonderful benefits of Bluehouse™ raised salmon, for both health and planet. We’re very excited to see these partnerships continue to flourish as we launch new products and continue to grow.”

GSI Restoration

GSI Restoration, Inc. prides itself on providing high quality pressure washing and cleaning services, which is why major corporations such as Atlantic Sapphire Bluehouse have enlisted our company to assist them in meeting their strict food quality standards. Our disinfecting and sanitizing services allows our customers to have peace of mind in knowing that the job will be done right, allowing them to focus on their business product.

What separates us from the competition is our ability to personalize our workforce to meet the needs of our customers. That is why our services go beyond simply cleaning and disinfecting. We also can improve the aesthetics of our customers property by providing pressure cleaning, floor repair, concrete work, and vegetation management.

With our industry knowledge and investment in the best equipment on the market, paired with our hands-on management approach, our team can guarantee that we are providing the best quality of work everyday that we are on the work site. We also have the resources to increase our workforce in order to meet whatever seasonal demands our customers may have.

We are fully licensed and insured, and safety is a top priority at GSI Restoration. Our employees are continuously trained in OSHA safety standards, as well as following all company safety protocols to ensure a safe working environment for our employees, customers, suppliers, and the general public.

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GSI Restoration is a full-service company that provides expertise in pressure washing and cleaning, irrigation, floor repair, concrete work and vegetation management.

Services provided:

• Cleaning, disinfecting, and sanitizing of tanks, bio-filters, and pipelines • Complete cleaning of freshwater systems • Exterior building cleaning • Site work including soft digging around utilities • Floor repairs and concrete work • Vegetation management

25399 SW 157th Ave Homestead, FL 33031 (305) 245-2146 info@gsimiami.com

“AT ATLANTIC SAPPHIRE, WE AIM TO RAISE AWARENESS ABOUT SUSTAINABLE SALMON FARMING IN THE US AND TO SUPPLY MILLIONS OF PEOPLE WITH A HEALTHY, SUSTAINABLE, AND DELICIOUS PRODUCT”

– JOHAN ANDREASSEN, CO-FOUNDER AND CEO, ATLANTIC SAPPHIRE

on the ocean, we don’t have salmon escapes and we recirculate 99 percent of the water we use while all aquaculture waste is treated and can be recycled for other purposes, instead of sitting on the seabed.”

In terms of the company’s supply chain operations, such as packaging, feed, raw material utilization and by-products, there remain many opportunities for more environmentally sustainable practices.

For some of these processes, Atlantic Sapphire already has agreements and logistics in place, and they are looking to continue to constantly explore more diverse options in these areas. Some of these have featured in the news recently, which include the intention to construct a feed plant in close proximity to the Bluehouse™ by Skretting, who is currently the world’s largest salmon feed producer.

Founded in 2010, Atlantic Sapphire is headquartered in Norway and listed on the Oslo Stock Exchange, as well as the US OTCQX market since 2021, and has continued to grow ever since. The Homestead Bluehouse™ began construction in 2017 and is currently in Phase Two of its long-term development plan. It currently holds around 166 employees, who are highly engaged in their mission to innovate and revolutionize the market with a heathier and eco-friendlier protein source.

MMC First Process

MMC First Process meets the needs

MMC First Process was chosen because their solutions satisfy our strict requirements for fish handling. MMC First Process is a company we know well, and is a world leader in the gentle handling of live fish, says CEO of Atlantic Sapphire Johan E. Andreassen.

Andreassen further says that an efficient and gentle system for fish handling is the key to optimized utilization of the production capacity in Atlantic Sapphire’s land-based facilities.

Securing fish welfare

There is solid development work behind the technology to be delivered to Atlantic Sapphire, and an important principle for our technology is to ensure that the entire fish is in water at all times when handled, says Børre Haanes Waagan, Sales Manager at MMC First Process.

Skretting

Skretting is the global leader in providing innovative and sustainable nutritional solutions for the aquaculture industry.

We are a trusted supplier of fish nutrition in North America across all production platforms, with three facilities serving the continent in Vancouver, BC, Tooele UT and St Andrews, NB.

www.skretting.ca

The product line at Atlantic Sapphire now includes both fresh salmon and smoked salmon, with more products promised to arrive further down the road. Atlantic Sapphire’s Bluehouse™ Salmon from the Miami Bluehouse™ is sold all across North America in grocery stores such as Publix, Sprouts, Safeway, and more. Alongside this growth, the company’s client base now extends to food service and retailers across the US and Canada.

Atlantic Sapphire prides itself on the way in which it has carved out an impressive degree of separation from the direct competition. The biggest factor setting Atlantic Sapphire and its Bluehouse™ technology apart from competitors is the unique ability to use the naturally given resources that the water from the Florida aquifers represent, to farm sustainable salmon at scale. It was always the goal to be based in the US for the company, as it is the world’s largest market for salmon and therefore became the key factor in the decision-making process to establish its Bluehouse™ in Florida. Another influential component was the underground aquifer located beneath the state. Florida’s aquifer system allows an ample supply of freshwater, saltwater, and safe return of treated wastewater to be slowly recycled by nature. Raising fish on land means no antibiotics, no pesticides, no hormones, no risk of escape, and no contamination of coastal areas, and using untapped water from the aquifer means impressively there are zero microplastics or other harmful particles found in ocean-farmed fish.

“Because we use around 95 percent saltwater, we also conserve fresh water that can be used for drinking water and irrigation. Florida’s unique geology gives us the ability to dispose our treated wastewater to the boulder zone 3,000 feet underground where mother nature will filter it back to

DeLoach Industries

DeLoach Industries Inc. is one of the oldest water treatment equipment manufacturers in the USA.

Pioneering Reverse Osmosis to manufacturing the first Aeration, Degasification, and Air Stripping tower systems for the removal of Hydrogen Sulfide, Carbon Dioxide, and Volatile Organics for the Aquaculture, Municipal, Food & Beverage, and Industrial markets. We are proud to have been selected by Atlantic Sapphire to provide a “one of a kind” process treatment solution for their water requirements. To manufacture and install multiple treatment systems to fulfill their vision to successfully raise and harvest salmon fish all within a landbased operation. With our in-house professional design and support team, we strive to deliver comprehensive solutions to our customers for all of their water needs.

www.DeLoachIndustries.com

B&K Installations has been a pillar of Florida’s manufacturing community since 1979. B&K specialises in custom agricultural and metal fabrication facilities and custom metal fabrication. With a full fabrication shop, machine shop, and waterjet on site, B&K is fully equipped to make your concepts a reality.

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pure salt water before it goes back into the Atlantic Ocean in thousands of years,” Andreassen concludes.

Atlantic Sapphire has invested significantly in Bluehouse™ technology, aiming to meet its objective of offering an environment that is ideal for salmon, eliminating stress and allowing the fish to thrive as they grow. The revolutionary technology at work with the Bluehouse™ initiative includes a complex assortment of controls for water chemistry, temperature, salinity, current and lighting. There are more than 28 different parameters being monitored and analyzed in real time across all tanks and systems.

“Knowing that our systems have an average 95:5 ratio of water to fish, it is important to highlight that water is recycled every half-hour and removed every 10 days, while oxygen is added to the water,” Andreassen explains.

Another method employed is the use of artificial intelligence (AI) to optimize feeding, as well as to maximize efficiency and growth ratios. All this is overseen from a control room, allowing staff to visually and analytically monitor system conditions and fish health and performance 24 hours a day.

‘ATLANTIC SAPPHIRE HAS INVESTED SIGNIFICANTLY IN BLUEHOUSE™ TECHNOLOGY, AIMING TO MEET ITS OBJECTIVE OF OFFERING AN ENVIRONMENT THAT IS IDEAL FOR SALMON, ELIMINATING STRESS AND ALLOWING THE FISH TO THRIVE AS THEY GROW’

LOOKING FORWARD

In the US, more than 90 percent of the salmon consumed is imported. While US salmon demand is the world’s largest in terms of total volume and is increasing year over year (not considering the exceptional impact of COVID-19), per capita consumption is still lower than many European nations. Andreassen explains how, “this gives us huge room for growth and the opportunity to reduce the existing deficit in production in the country. Consumers are showing increasing interest in healthy, sustainable protein, and sustainably raising salmon is a key part of the solution.”

A crucial element of Atlantic Sapphire’s mission is “to remove marine-derived ingredients from our feed, to eliminate completely our impact on the oceans”. The initial first step in this process was to introduce algal oil to start replacing fish oil. The company has already replaced 25 percent and will continue working towards this figure, in line with its 2025 sustainability goals.

Atlantic Sapphire is currently engaged in a major $225 million expansion development. “This phase two expansion is part of our multiphase development plan as well as part of our long-term goal to increase our capacity to targeted harvest volumes of 220,000 tons by 2031.”

“At Atlantic Sapphire, we aim to raise awareness about sustainable salmon farming in the US and to supply millions of people with a healthy, sustainable, and delicious product. As we increase harvest volumes in our Bluehouse™ we will be able to provide more and more Bluehouse™ Salmon meals to the American market,” Andreassen adds.

The role of product development at Atlantic Sapphire is a key component to the company’s success story. Market trends continue to indicate a strong desire to include seafood and especially salmon in people’s diets, which the company is continuing to capitalize on.

“Some segments are driven by the health benefits, others by convenience, but whatever the underlying reason, we see an opportunity to offer our high-quality Bluehouse™ salmon in different ways. For instance, seasoned portions, planks, salmon burgers and others

can all be part of our product offering,” details Andreassen.

Looking ahead to the company’s key priorities for the coming year, Atlantic Sapphire is aiming to hit several specific targets, such as reaching ‘steady state’ production, whilst continuing the construction of its phase two expansion to 25,000 tons of capacity. Later in April this year they plan to publish the company’s latest ESG (Environmental Social Governance) report, which will thoroughly detail all proposed plans for future goals, expansion and general diversification, covering all existing aspects of the company going forward.

As Atlantic Sapphire’s exciting growth continues at such a rapid trajectory, there are also plans to launch additional salmon products this year, including a ready-to-eat Smoked Bluehouse™ Salmon. Atlantic Sapphire continues to manufacture seafood that’s safe for our seas, alongside the production of protein that’s better for our planet.

Tel: 1-786-292-3632 investorrelations@atlanticsapphire.com www.atlanticsapphire.com

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