Icelandic ownership in Arctic Prime causes great concern in Naleraq

- Does the Government of Greenland consider that the Arctic Prime Group is a front company for Icelandic interests?

The controversial issue was raised by Jens Napãtôk’, the opposition party Naleraq’s fisheries spokesman in Inatsisartut, on Monday, January 26, to the Greenland Government.

The question is one of a flurry of Section 37 questions, 10 in total, that he has raised with the Greenland Government.

Naleraq's fisheries spokesman Jens Napãtôk' thus links the Greenlandic fishing group Arctic Prime Fisheries ApS with a possible straw man operation.

He states in connection with the questions to the Greenlandic government that it is well known that the powerful Icelandic businessman, Gudmundur Kristjánsson, who is the largest owner of the large Icelandic fishing group Brim hf, has had great influence in Arctic Prime Fisheries ApS (APF) since 2014.

Has large cod quotas

Since 2021, APF's cod quota in East Greenland has been around 10,000 tonnes annually. The fishing group, headquartered in Qaqortoq, consists of three companies: Arctic Prime Fisheries, Arctic Prime Coastal, and Arctic Prime Production.

Jens Napãtôk’ writes in connection with the paragraph 37 questions to Naalakkersuisut that Arctic Prime Fisheries has been allocated 1,400 tons of offshore cod quota in West Greenland in 2026.

And APF has had a large share of Greenland's offshore cod quota in East Greenland for many years, he states.

Large deficits

Naleraq's fisheries spokesman asks the following questions to Naalakkersuisut:

- According to Section 1 of the Fisheries Act, the purpose of the Act is to ensure that society gets the greatest possible long-term economic benefit from fishing. How does the Government of Greenland deal with the fact that Arctic Prime Fisheries ApS mainly runs large deficits and thus does not contribute tax revenue via corporate tax to Greenlandic society?

- According to the annual accounts of Arctic Prime Coastal ApS 2024, the equity in the group is negative by 228 million. Does Naalakkersuisut consider that the Arctic Prime group is a front company for Icelandic interests?

- Does the Government of Greenland consider that the fact that Arctic Prime Fisheries ApS mainly makes a loss, and thus does not contribute to society in the form of corporate tax, is something that will be taken into account in assessments of future quota allocations?

Napãtôk’: - Kristjánsson has great influence

Jens Napãtôk’ justifies his paragraph 37 questions to Naalakkersuisut as follows:

"Originally, the argument was that the company would create employment on land in South Greenland. It is well known that the powerful Icelandic businessman, Gudmundur Kristjánsson, who is the largest owner of the large Icelandic fishing group Brim hf, has had a great influence in Arctic Prime Fisheries ApS since 2014.

Arctic Prime Fisheries ApS is 100 percent owned by Arctic Prime Coastal ApS, of which the Icelandic company, Línuskip ehf. owns one third.

Línuskip ehf. is owned 100 percent by Gudmundur Kristjánsson. According to the annual accounts, which are available at the Central Business Register, it appears that Arctic Prime Fisheries ApS has made large losses since 2014. The equity in the group is negative by a whopping 228 million kroner,” writes Naleraq's fisheries spokesman.

Jens Napãtôk’ further believes that it is extremely strange, since Arctic Prime Fisheries ApS, according to the Naalakkersuisut website, has been allocated approximately 8,500 tons in 2020, while each year in the period 2021-25 the company has been allocated just over 10,000 tons of offshore cod in quotas in East Greenland.

Questions about processing

The Naleraq politician also asks the following questions to the Government of Greenland:

- How many tons of seagoing cod has Arctic Prime Fisheries ApS purchased in South Greenland 2020-2025, divided by year?

- How many times has GFJK (Greenland Fisheries and Hunting Control) carried out inspections in South Greenland from 2020-2025, divided by year, when the vessels of Arctic Prime Fisheries ApS, when purchasing sea-going cod in South Greenland?

- A few years ago, Arctic Prime Fisheries ApS had a landing obligation in Greenland of 50 percent of the company's seagoing cod quota in East Greenland. What has the landing obligation at Arctic Prime Fisheries ApS's seagoing cod quota in East Greenland been divided into per year from 2020-25?

So much for Jens Napãtôk’, who with his Section 31 request to Naalakkersuisoq links Arctic Prime with possible straw man activity.

Is the largest foreign player

The Danish Central Business Register, CVR, and the websites of the two Icelandic companies Útgerdarfélag Reykjavíur hf. and Brim hf., state the following:

"Gudmundur Kristjánsson is 100 percent owner of Línuskip ehf. and three other companies that own Útgerdarfélag Reykjavíur hf. (abbreviated to ÚR).

Gudmundur Kristjánsson is thus a 100 percent owner of ÚR, which owns 43.96 percent of the large fishing group Brim hf., which makes Gudmundur Kristjánsson the group's largest owner.

Through S-13 Holding ApS, Brim hf. owns 50 percent of the sales company Polar Seafood Denmark A/S.

Kristjánsson also owns, through his company Línuskip ehf., almost a third of Arctic Prime Coastal, while APF director Hentzar Petersen owns the rest.

Gudmundur Kristjansson owns, through Línuskip, 100 percent of Arctic Prime Production ApS, which owns three fish factories in Nanortalik, Qaqortoq and Kuummiut, which are operated by Arctic Prime Coastal ApS.”

This makes Gudmundur Kristjánsson the absolute largest foreign player in Greenlandic fisheries.

Peter Borg: - No comments

Sermitsiaq has asked the management of Arctic Prime Fisheries to comment on the matter and thus also Jens Napãtôk's statements:

- I can clearly reject the allegations.

- Arctic Prime is a South Greenland company that employs over 110 full-time employees and paid 127 million in wages and fishing fees to the municipal and national treasury, last year.

- Like other Greenlandic companies and as required by the Fisheries Act, less than one-third of APF is owned by Icelander Gudmundur Kristjansson and two-thirds by the undersigned. The company's head office is located in Qaqortoq, where all significant decisions are made.

- It is correct that APF operates three factories in Kuummiut, Qaqortoq and Nanortalik respectively. All factories are operated exclusively with local employees, without hired labor.

This is what APF director Hentzar Petersen writes in an email to Sermitsiaq.

Sermitsiaq has also asked Peter Borg, Minister of Fisheries, Hunting, Agriculture and Self-Sustainability of Greenland, for his comments on the matter.

- On behalf of Peter Borg, I must announce that we have now received the §37 questions and now have 10 working days to answer the questions and thus have no comment at this time.

This is what Peter Borg's head of department, Emanuel Rosing, writes in an email.