Cable Factory to Be Moved from Norway to Iceland Skip to content

Cable Factory to Be Moved from Norway to Iceland

The local authorities in Seydisfjördur in the Icelandic East Fjords are planning to complete the ISK 1.2 billion (USD 10 million, EUR 8 million) financing of a cable factory in Norway within three months and then move it to Seydisfjördur on the Norraena ferry.

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The Norraena ferry in Seydisfjördur. Photo by Páll Stefánsson.

Mayor of Seydisfjördur Ólafur H. Sigurdsson told Morgunbladid that the project has been worked on for three years.

“Before Christmas we made an offer to a Norway-based factory. We expect the offer to be accepted. It is a 50-year-old company in successful operation,” Sigurdsson said.

Of the ISK 1.2 billion investment, ISK 800 million (USD 6.9 million, EUR 5.2 million) will be in the form of shares. The project is spearheaded by the Development Center of East Iceland and will not get any state-funding.

Sigurdsson said a 5,000-square-meter building is required for the factory. “The factory will possibly be established in a building belonging to Síldarvinnslan [the herring processing plant]. […] It will create 20-30 news jobs.”

“The key to it all is to have the wires from the aluminum smelter in Reydarfjördur. The proximity to the smelter makes this operation possible in Seydisfjördur. We assume that the cables will be exported using Norraena,” the mayor concluded.

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