Major investment in new data centre: Rjukan can become “data centre valley” in Norway

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Green Mountain Data Centre AS, based on Rennesøy in Rogaland, Norway, and owned by Smedvig, has chosen Rjukan in Telemark as mirroring base for its data center investment. The company has acquired properties and already started the construction of a new data center in Rjukan.

«We have plans for a major data center investment of more than NOK 600 million over the next years in Rjukan, and we invite other to follow investing in Tinn in Telemark, Norway. The first stage is already initiated and the center will be operative in 2014. We have no time to lose», CEO of Green Mountain Data Centre AS, Knut Molaug, says.

Amazing news
«The is amazing good news for Rjukan and Tinn municipality», mayor Steinar Bergland comments.
«We have worked across parties and we have worked purposeful for a long time to promote Rjukan, Tinn and Telemark as a suitable location for data centre investments. That such a strong player as Green Mountain chooses Rjukan, is a proof that we have done many right things. All honor to the administration of the municipality, the CEO of Rjukan Næringsutvikling, Audun Mogen, and to the board of RNU, Rjukan Næringsutvikling AS (promote growth and investments in the municipality), with chairman Stein Lier Hansen in the lead», Bergland says.

The mayor of Tinn points to Green Mountain’s leading position in the data centre industry in Norway, and the owner Smedvig’s proud roots in shipping, oil and gas, when describing the importance of this investment.

“They are now investing into a new type of industry with a huge growth potential both nationally and internationally”, Steinar Bergsland says.

Important for all of Telemark
County mayor Terje Riis-Johansen in the county of Telemark, emphasizes that Green Mountain’s data centre investment in Rjukan is an important contribution in creating growth in all of Telemark.

«This is very good news for Tinn municipality and everyone else in the county of Telemark. Tinn and Telemark have, together with Innovation Norway in the county, over a long time worked for a breakthrough within data centres. Today’s news shows the importance of long-term work towards a specific goal. All honor to the Tinn community and to Green Mountain Data Centre for developing such an exciting project in Rjukan», Telemark’s county mayor Terje Riis Johansen comments.

Historic launching
Also director of Innovation Norway Telemark, Bård Stranheim, is pleased by today’s business news:
«The market for green data centers in the world is growing faster than any other areas where Norway can make use of renewable energy on an industrial scale. That Rjukan in Telemark is the first mover in this industry of all the former industry sites is a result of competitive advantages based on a century of industry history, but also a result of good cooperation between the municipality and the width of facilitators for increased value creation in Telemark, among these the county council, NAV and Innovation Norway.»

«We congratulate Tinn municipality with the breakthrough and for a good cooperation over several years prior to this good news. Congratulations also to Smedvig and Green Mountain Data Centre with a good decision. You will not be alone in the long term, but you were there first! We hope for a continued cooperation with Green Mountain Data Centre in developing new innovative solutions in an exciting growth industry”, Stranheim says.

The customers ask for two centers
Green Mountain Data Centre AS’ investment in Rjukan follows a demand or desire among engaged clients for a data centre in addition to the company’s exciting centre on Rennesøy in Rogaland and that these centers can operate together.

«With the investment in Rjukan in Telemark we can offer our clients two data centers that are closely connected and where both will operate as a main center or secondary center for the other. This involves a major strengthening of our competiveness», CEO of Green Mountain Data Center, Knut Molaug, says.

Molaug is proud of presenting a new entry that to such a degree underpins the company’s green profile.
«We use only local, renewable energy. The launching of a highly efficient data centre at Rjukan with its power production capabilities and cool climate further strengthens the profile as “the world’s greenest data centre”», Molaug comments.

Invests close to NOK 600 million
Green Mountain Data Centre AS eyes a major investment in Rjukan.
«Our plans involve investments of close to NOK 600 million over the coming years. Data centre operations is a new energy-intensive industry that is emerging worldwide. Proximity to power generation and efficient communication through powerful and secure fiber cable is critical to success. It ensures minimal transfer loss and extraordinary good supply stability. Rjukan is built and based on hydropower, and we are now launching a new energy-intensive industry on the site», says Knut Molaug. He is proud to contribute in taking Rjukan and Tinn municipality into a new era.

«We believe the unique possibilities of this region will contribute to maing Rjukan a new and significant cluster for data centres in Europe. An investment as ours will often lead others to follow. We encourage others to follow our example», Molaug says.

 
Contact information:

Knut Molaug, CEO,
Green Mountain Data Center
mobile: +47 901 39 522
knut.molaug@greenmountain.no
    
www.greenmountain.no

Steinar Bergsland
Mayor, Rjukan, Tinn municipality,
mobile: +47 404 02 513
steinar.bergsland@tinn.kommune.no
      
www.tinn.kommune.no

Terje Riis-Johansen
Mayor, Telemark County
mobile: +47 975 63 000
terje.riis-johansen@t-fk.no     
www.telemark.no

Bård Stranheim
Director, Innovation Norway Telemark
mobile: +47 908 85 035
bard.stranheim@innovasjonnorge.no        
www.innovasjonnorge.no/telemark

  
Facts about data centres:

Data centers are specialized facilities with sufficient power and space to accommodate computers, known as servers, which store and process our digitalized information. The servers thus hold everything from e-mails, photos, movies to costumer information or sophisticated mathematical models.

The amount of such digital information in the world is exploding and data centers form an growth industry. Data centers accounts for between 1.1% and 1.5% of the total electricity consumption in the world today, and a single data center can consume as much energy as all homes in a medium-sized Norwegian town.

Total investments in data centers in 2013 will amount to USD 143 billion, equal to more than NOK 800 billion, according to the research firm Gartner.

As in all other industries, the environment is a leading consideration. In particular environmental NGOs such as Greenpeace urges the world’s largest data center operator to “Green our cloud” – making cloud data centers greener. A green data center is energy efficient at all levels and preferably utilizes renewable power.

Due to the supply of renewable energy and the cool climate, it is a trend that major data center players are establishing sites in the Northern Europe. For example has Facebook decided to build in Sweden and Google and Microsoft in Finland.

Norway has Europe’s largest share of renewable energy and the production is increasing. This makes Norway well suited for the future’s green data centers. Locally produced electricity reduces loss of power and the need for grid expansion.

Links to some articles about data center investments in Sweden and Norway:

http://www.dcsuk.info/news_full.php?id=30547&title=Datacenter-investments-boom-in-the-Nordics

http://computersweden.idg.se/2.2683/1.528347/manga-datacenterbyggen-pa-gang-i-sverige?queryText=lule%E5

http://computersweden.idg.se/2.2683/1.519600/googles-nota-for-datacenter--26-miljarder-om-aret?queryText=lule%E5

http://www.idg.no/computerworld/article277743.ece

http://www.idg.no/computerworld/article262403.ece

http://thenodepole.com/2012/10/25/northern-sweden-experiencing-a-facebook-effect/

http://morgenbladet.no/kultur/2012/norge_et_kaldt_og_ode_serverparadis#.UoTpXqXBSAB

http://naturvernforbundet.no/rapporter/energi-og-klima/krafttak-for-riktig-kraftbruk-article17606-972.html

  
Om Green Mountain Data Centre AS:

  • The company is owned by the Smedvig group / Smedvig family from Stavanger, Norway.
  • In 2010 the company secured the rights to a former Nato high security facility at Rennesøy, just outside Stavanger Norway. The site has 22 000 m2 of buildings deep inside the mountain.
  • The company’s first data centre at Rennesøy became operational in May 2013 and has a capacity of approximately 12.000 m2 white space and a power usage of 25 MW.
  • The company has already attracted several clients. Among these DNB, which recently announced the usage of Green Mountain at Rennesøy as its data centre supplier.
  • The company has been nominated for two sustainability awards in 2013: Green IT’s award for “Sustainable Design Project” which they won, and for 2degrees “Sustainability Champion Awards”.

About Smedvig:

  • The Smedvig group / the Smedvig family headofficed in Stavanger has offices in Stavanger, Lillehammer and London, and is headed by Odd Torland.
  • The company is celebrating 100 years in 2015. The history is dominated by shipping activities up to the 70’s, thereafter also oil services and property. Today the group is out of shipping and oil service from sales of those businesses through the 90’s and latest the sale of the oil service business Smedvig ASA in 2006.
  • The group has an equity base of about 10 BNOK under management.
  • Smedvig is typically a long term investor, founded in a generation perspective.

About Rjukan/Tinn municipality/Telemark:

  • 5973 inhabitants (as of January 1st 2013).
  • The city of Rjukan was built in early in the 20th century when Norsk Hydro established its industry here, in the northern part of the beautiful Telemark county
  • Todays main industry sectors are industry, tourism, trade and agriculture.
  • In the Vestfjord Valley Norsk Hydro and Statkraft produce appprox 4000 GWh of hydro power
  • Tinn municipality is focusing on business development based on green energy through proximity to manufacturing, high security, energy surplus, industry competence, enough area and cool climate.
  • Tinn municipality has famous, national tourist attractions such as Hardangervidda Wild Reindeer Centre, Gustatoppen (mountain) with Gaustabanen (mountain rail), Norwegian Industrial Worker Museum with the heavy water sabotage of WW2, the Sun Mirror and Gaustablikk/Gaustatoppen Ski Resort (Norway’s 6th largest
  • Rjukan is, together with Notodden and based on the industry development by Norsk Hydro, named a Norwegian candidate for UNESCO’s World Heritage List from 2015. The application will be sent on January 31st2014.
  • Telemark County and Innovation Norway in Telemark has initiated a growth project to attract foreign investments in the county - Invest in Telemark. For contact: brj(a)firsthouse.no

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