GRIEG Seafood is reviewing its Skye operations in a move that is not expected to cost any jobs but which includes options such as business transfer.

The Norwegian firm, which has five fish farms on the waters off the island and is the largest salmon farmer in Shetland, said there are “few synergies” between the two bases.

The company said in a statement that “in the coming months, Grieg Seafood will assess strategic alternatives for its operations on the Isle of Skye”.

The firm said the majority of Grieg Seafood’s production in the United Kingdom is in Shetland.

READ MORE: Scottish salmon is a hit in Japan's sushi bars

It said that “due to the distance between the islands, there are today few synergies between operations on Skye and operations on Shetland”, adding: “Therefore, Grieg Seafood will evaluate other alternatives.”

The company will explore several possibilities and options could include “different kinds of strategic partnerships, a business transfer of the farms to another company or assessing new ways to create better local synergies”.

Andreas Kvame, chief executive of Grieg Seafood, said: “This is an open process of exploration, and we cannot guarantee that it will result in any specific outcome.

"We value our 21 talented employees on Skye and understand that this situation creates a degree of uncertainty for them.

"We do not envisage that this process will lead to the loss of any jobs.”

READ MORE: Loch Fyne sees losses widen amid salmon cost rise

Mr Kvame also said in a separate statement in the firm’s second quarter report: “While we still have some challenges related to gill disease and algae in Shetland, the biological condition is improving. We continue to work systematically to increase our smolt robustness in Shetland and survival of smolt stocked to sea so far this year is increasing.

“We have initiated a strategic assessment for our operations on Skye, as we see that the synergy between our farming areas on Shetland and Skye are low.

“By driving forward improvements to our farming operations, we remain committed to our ambition for sustainable salmon farming and long-term value creation for all our stakeholders, and also remain confident in our 2020 target of 100 000 tonnes harvest with cost at or below industry average.”

It reported revenues during the quarter of NOK 2.2 billion, unchanged from the same period last year.

The firm has two operating units in Norway and one in western Canada, as well as the operations in Shetland and Skye.