Aker and Aker Horizons are collaborating with Narvik municipality to set up a green industrial development in Northern Norway.
The collaboration has begun with an Nkr290m (€30m) agreement for the acquisition of properties and assets, to enable Aker Horizons and its portfolio companies to develop value chains using capabilities across hydrogen and renewable energy, with potential to enter new segments like battery production and green steel.
Aker Horizon chief executive Kristian Rokke said: “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.”
Under the agreement Aker Narvik, a wholly-owned subsidiary of Aker Horizons, will acquire two sites in Ballangsleira and Framneslia for a total consideration of Nkr200m.
Aker Narvik will also invest Nkr90m through a private placement for 75% of the shares in Narvik Batteri, a company aiming to develop the Hergot site in Narvik for 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 is a regional transport hub located more than 200 km north of the Arctic circle, with railway connections to Sweden and Oslo, the E6 and E10 motorways and an all-year ice-free port.