The aim of this research was to study possible inclusion levels of AlgaPrime™ DHA LS microalgae (Schizochytrium sp.) plant oil suspension in feed mixes prior to extrusion and in the post drying vacuum coating step and evaluate microalgae digestibility in Atlantic salmon (Salmo salar L). In the technical evaluation, physical quality, expansion, and microstructure parameters were studied for AlgaPrime™ DHA LS inclusion in fishmeal and plant-based diets prior to extrusion. A target lipid level of 361 g/kg DM was achieved for all feeds. High physical quality and water stability were measured and mixture design models with R2 in the range of 0.950 to 0.999 (P < 0.001) were established for specific mechanical energy (SME), apparent dough viscosity in the extruder die (Vdie), expansion, and microstructure parameters. Addition of AlgaPrime™ DHA LS resulted in a feed mix lipid level in the range of 27 to 204 g/kg and was the main contributor for the observed variation in this study. Commercially, the most interesting feed was the centroid point with a feed mix lipid content of 92 g/kg. This equals an AlgaPrime™ DHA LS content of 48 g/kg in the final feed. Alternatively, the AlgaPrime™ DHA LS can be added in the vacuum coating process. In this study the pellet pores size distribution allowed high amount of microalgae suspension to be absorbed (50% of total oil) with no significant impact on oil leakage. Based on the findings in the technical trial, 4 diets were produced for the fish experiment; 1) control feed with a 1:1 fish oil and rapeseed oil mixture, 2) a feed where the oil mixture was partly replaced by 100 g/kg AlgaPrime™ DHA LS prior to extrusion, 3) a feed where 100 g/kg of oil mixture were replaced in the vacuum coating step by 100 g/kg AlgaPrime™ DHA LS and 4) where 100 g/kg oil mixture was replaced both prior to extrusion and in the vacuum coating step by AlgaPrime™ DHA LS. All diets showed high nutrient digestibility in Atlantic salmon, also for the saturated fatty acids. This documents no need for extra cell wall rupture for the microalgae suspension prior to extrusion or vacuum coating. Lower content of tri-saturated triacylglycerols than reported in previous Schizochytrium biomasses have limited the negative effects on the digestibility of saturated fatty acids in Atlantic salmon.