Seafarms, the Darwin-based prawn producer in Australia has finalized a AUD 13.5 million (USD 8.98 million) deal to sell two aquaculture sites in north Queensland to advance its Project Sea Dragon (PSD).

Legal Challenges and Strategic Maneuvers

In February, Seafarms faced a setback when a court overturned a critical arrangement for PSD, placing a AUD 13.9 million (USD 9.25 million) liability on the company. However, Seafarms secured a stay order and is set to appeal the decision in August, aiming to mitigate financial burdens and proceed with its expansive plans.

Seafarms’ subsidiary, Seafarm Queensland, has struck a deal with MainStream Aquaculture to sell ‘Farm 1’ and ‘Farm 2′ in Cardwell, Queensland. This not only brings in AUD 15 million (USD 9.98 million) in financing but also aligns with Seafarms’ strategy to concentrate on core operations crucial to PSD’s success.

CEO’s Vision and Strategic Realignment

Peter Fraser, Seafarms’ newly appointed CEO, emphasizes the importance of focusing resources on breeding, farming, processing, and exporting black tiger prawns—a central component of PSD. This realignment includes divesting assets not aligned with future growth objectives, such as banana prawn production for the domestic market.

Despite challenges, Fraser remains optimistic about PSD’s potential to benefit local communities and Northern Australia significantly. With ongoing engagement with stakeholders and investors, Seafarms aims to secure the necessary financing to advance the AUD 1.87 billion (USD 1.24 billion) project, which promises substantial economic impact and employment opportunities.