First new Grangemouth project receives UK Government funding after refinery closure

The Grangemouth refinery shut earlier this year (Picture: Michael Gillen, National World)

The first new project at Grangemouth after the refinery closure has been given a £1.5m UK Government grant.

Scots firm MiAlgae - which makes fish-free Omega 3 out of algae by repurposing whisky byproducts - breaks ground on its new facility today.

The first investment allocation from the Grangemouth Investment Taskforce will start creating new jobs on the site from next year, supporting around 310 jobs over the next five years and delivering an additional £53 million into the Scottish economy.

The Grangemouth refinery shut earlier this year (Picture: Michael Gillen, National World)

As a condition of the grant funding, eligible Grangemouth workers will be given priority during recruitment, including a job interview guarantee.

Grangemouth’s position in the Central Belt providing an ideal location to source by-products from Scotland’s distilleries.

This environmentally friendly alternative to sourcing Omega 3 from fish oil is estimated to save 30 tonnes of fish for every tonne of algae produced.

The funding aims to support the company’s plans to construct its first commercial-scale manufacturing facility, accelerate production and support research and development. The grant funding will also help catalyse further investment into the site and demonstrate its long-term potential.

UK Government Energy Minister Michael Shanks is expected to visit the site today as MiAlgae breaks ground on the new facility.

The funding forms part of the Chancellor’s announcement at Budget of £14.5 million in funding to help transform Grangemouth into a low-carbon tech hub and deliver the jobs of the future. The funding is in addition to £200 million already pledged by the Prime Minister from the National Wealth Fund to unlock Grangemouth’s huge potential.

Securing the first investment is a landmark moment as the Grangemouth Investment Taskforce works at pace to unlock more opportunities to bring a bright future to Grangemouth, with around 140 enquiries already received. This includes working closely with several other projects, with further announcements expected in the near future.

Energy Minister Michael Shanks said: "When we came into office there was no plan for Grangemouth from either of Scotland’s two governments. That’s why we quickly took action to secure the site’s long-term future, while supporting affected workers into new jobs.

"Today we’re taking another step forward as we back the first new project at the site, creating hundreds of new, decent jobs and attracting further investment in the area.

“This project, alongside the £200 million of funding pledged from the National Wealth Fund, is part of our clear strategy for Grangemouth’s industrial future. A strategy with workers, unions, businesses, and the wider community at its heart.”

Douglas Martin, Founder and CEO of MiAlgae, said: “Breaking ground at Grangemouth marks an exciting new chapter for MiAlgae. Our mission has always been to make a meaningful impact, tackling overfishing, reducing waste, and creating sustainable value from industrial by-products. This new facility is a huge step towards delivering that mission at scale, bringing new, high-quality green jobs to the local area, and helping Scotland lead the way in this exciting new biotech industry.”

Scottish Secretary Douglas Alexander said: “This £1.5 million UK Government investment will support MiAlgae's innovative green technology and boost jobs and investment in Grangemouth.

“The UK Government is backing Grangemouth’s future with real investment and a clear plan. We promised to secure the site's long-term future and create good jobs, and that's exactly what we're doing – supporting new industries, creating opportunities, and ensuring this site remains a vital part of Scotland's industrial heartland for generations to come.

“It is just one of many projects we are working to bring to the site. At the Budget the Chancellor announced £14.5 million for green industrial projects on the site.”