With consent to grow up to 1,677 tonnes of salmon, the new farm, off the small island of Hunda within Scapa Flow, will see a £3.2m investment in infrastructure.
The approval is said to follow on from “years of research, planning and consultation” by Scottish Sea Farms’ environment and production teams.
Production manager for Orkney, Richard Darbyshire, said: “Salmon farming continues to advance at a great pace and this new farm at Hunda will benefit from the latest know-how and technologies.
“Each and every aspect of our farming activity has been carefully considered: from enhancing fish health and welfare, to protecting local marine life and the surrounding environment.”
Overseeing day-to-day activities at Hunda will be a specialist farm team, creating six new full-time roles in the local community.