Aker Horizons establishes green industrial hub in northern Norway

Aker Horizons establishes green industrial hub in northern Norway

OSLO, NORWAY: Aker Horizons announced several strategic initiatives in the Narvik region to establish green value chains for power-intensive industries in Northern Norway.

Together with the local community, Aker Horizons aims to develop industrial activities that promote the company’s planet-positive investment mission, converting renewable power into green jobs and sustainable export industries.

“We are thrilled to announce our investments and plans for a green industrial hub in Narvik. The region offers several benefits as Aker Horizons’ hub for activities in Northern Norway with access to some of Europe’s lowest priced renewable energy, excellent transportation connections for export including road, rail and port facilities, as well as local communities committed to the energy transition,” said Kristian Røkke, Chief Executive Officer of Aker Horizons.

Aker Narvik, a wholly-owned subsidiary of Aker Horizons, has reached an agreement with the municipality of Narvik to acquire two sites in Ballangsleira and Framneslia for a total consideration of NOK 200 million. Further, Aker Narvik will invest NOK 90 million through a private placement for 75 percent of the shares in Narvik Batteri AS, a company aiming to develop the Hergot site in Narvik for battery production.

Aker Horizons aims to leverage the full potential of the Aker ecosystem, and coordinate and facilitate opportunities for its portfolio companies, other Aker companies, and third parties.

Aker Horizons will – together with Narvik municipality support the local community through initiatives related to science, education and knowledge-sharing.

Aker Horizons is deeply committed to its mission of being a leading investor and industrial developer of planet-positive companies and projects that solve fundamental challenges to sustainable existence.

Today’s announcements represent the beginning of major regional investments that will allow Aker Horizons and its portfolio companies to develop entire value chains based on their capabilities across industries such as hydrogen, carbon capture and renewable energy, with possibilities to enter new segments such as battery production.

The next step will be to further prepare and develop the different sites and mature the individual projects together with business partners and authorities toward investment decisions anticipated in 2022.

Narvik – an attractive hub

Narvik is a regional transport hub located more than 200 kilometres north of the Arctic circle, with railway connections to Sweden and Oslo, the E6 and E10 motorways and an all-year ice-free port.

The sites are well suited for industrial development, with different qualities such as the degree of stranded power, access to process water, size, local geography and logistics. Aker Horizons is in close dialogue with companies involved in power-intensive industries as well as local and central grid owners and power companies to develop the opportunities in the region.

Electricity prices in Northern Norway are low in a Northern European context, making the region well positioned for the development of the next generation of power intensive industrial products.

“With Narvik as a future industry and energy hub, we can create in-demand products and green jobs in the region. Since we started to evaluate opportunities in the region, we have been impressed with the capabilities and enthusiasm we have experienced locally. We see great potential to develop these sites and look forward to further collaboration with local authorities and partners,” said Røkke.

www.akerhorizons.com

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