REG - Dekel Agri-Vision - January Palm Oil Production Update

Dekel Agri-VisionAnnouncement

13/02/2024 07:00

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RNS Number : 8876C  Dekel Agri-Vision PLC  13 February 2024

 

This announcement contains inside information for the purposes of Article 7 of
the UK version of Regulation (EU) No 596/2014 which is part of UK law by
virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon
the publication of this announcement via a Regulatory Information Service,
this inside information is now considered to be in the public domain.

 

13 February 2024

 

Dekel Agri-Vision Plc / Index: AIM / Epic: DKL / Sector: Food Producers

 

Dekel Agri-Vision Plc

 

('Dekel' or the 'Company')

 

January Palm Oil Production Update

 

Dekel Agri-Vision Plc (AIM: DKL), the West African agriculture company focused
on building a portfolio of sustainable and diversified projects, is pleased to
provide a January 2024 monthly production update for its Ayenouan palm oil
project in Côte d'Ivoire ('Palm Oil Operation').

 

Key Highlights

·      The Palm Oil Operation has started the 2024 year well recording
an increase in Crude Palm Oil ('CPO') production of 56.2% compared to January
last year.

·      Like for like January 2024 CPO sales volumes were also 38% higher
than last year due to the strong monthly CPO production.

·      CPO sales prices in January softened from last month to €737
per tonne but we expect to see an uptick in CPO prices again in February.
Local CPO prices remain below international CPO prices as efforts continue
locally to manage food prices, however, our FFB purchase prices are also lower
resulting in continued healthy gross margins being achieved.

·      The CPO extraction rate of 21% was typical for the month of
January but 8.7% lower than the unusually high extraction rate achieved in
January 2023.

·      The product orders for the additional Cashew equipment have been
made and we are working towards our objective of increasing our production in
phases from Q2 2024.

 

                                              Jan-24  Jan-23    Change

 FFB processed (tonnes)                       13,508  7,892     71.2%
 CPO Extraction Rate                          21.0%   23.0%     -8.7%
 CPO production (tonnes)                      2,839   1,818     56.2%
 CPO Sales (tonnes)                           2,336   1,693     38.0%
 Average CPO price per tonne                  €737    €1,089    -32.3%
 Palm Kernel Oil ('PKO') production (tonnes)  173     82        111.0%
 PKO Sales (tonnes)                           Nil     30        n/a
 Average PKO price per tonne                  n/a     €1,143    n/a

 

 

Lincoln Moore, Dekel's Executive Director, said: "The Palm Oil Operation has
started 2024 very well continuing the excellent performance achieved in 2023.
We will shortly be entering the production high season and we are
operationally well positioned to take advantage of the anticipated spike in
production levels over the coming months."

 

** ENDS **

 

For further information, please visit the Company's website
www.dekelagrivision.com or contact:

 

 Dekel Agri-Vision Plc                     +44 (0) 207 236 1177

 Youval Rasin

 Shai Kol

 Lincoln Moore

 WH Ireland Ltd (Nomad and Joint Broker)   +44 (0) 20 7220 1666

 James Joyce

 Darshan Patel

 Isaac Hooper

 Optiva Securities Limited (Joint Broker)  +44 (0) 203 137 1903

 Christian Dennis

 Daniel Ingram

 

Notes:

Dekel Agri-Vision Plc is a multi-project, multi-commodity agriculture company
focused on West Africa. It has a portfolio of projects in Côte d'Ivoire at
various stages of development: a fully operational palm oil project in
Ayenouan where fruit produced by local smallholders is processed at the
Company's 60,000tpa capacity crude palm oil mill and a cashew processing
project in Tiebissou, which is currently transitioning to full commercial
production.

 

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