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Neptune says explosion completely destroyed krill production plant, inventory

The explosion and fire at Neptune Technologies & Bioressources' production plant located in Sherbrooke, Québec, Canada completely destroyed Neptune's current production plant that was in operation, but damages at the expansion facility currently under construction adjacent to Neptune's Sherbrooke plant appear to be limited. Since all of Neptune's krill oil products were manufactured at the plant that was destroyed, operations at the plant are disrupted. Neptune's inventory of krill oil products was stored at such production plant and was destroyed as well. Neptune said it is strategizing on an action plan going forward to ultimately allow it to resume production and meet client demands, and plan particulars will be announced at a later date. The company said, "In the interim, Neptune is taking all means to limit as much as possible the damages, both human and financial, to its business, and is evaluating different options to continue supplying its customers until it is once again in production. Neptune has insurance coverage in place covering among other things property damage, business interruption and general civil liability insurance up to certain specified amounts, and has notified its insurers of the incident. An investigation is currently underway to determine the cause of the explosion and fire, which according to preliminary reports affected, amongst other things, some of the acetone reserves used by Neptune for its krill oil extraction process. In collaboration with the public health authorities, the City of Sherbrooke Police Department as well as with the Fire and Emergency services, the company is doing everything it can to understand what happened. The results of this investigation will be communicated upon its completion. Cleanup efforts at the plant also continue, in conjunction with the authorities."