Contract Awarded for Effluent Treatment Plant

RNS Number : 1283M

Dekeloil Public Limited

21 August 2013

 



DekelOil Public Limited / Index: AIM / Epic: DKL / Sector: Food Producers

21 August 2013

DekelOil Public Limited ('DekelOil' or 'the Company')

Contract Awarded to Build Cote d'Ivoire's First Effluent Treatment Plant

DekelOil Public Limited, operator and 51% owner of an established vertically integrated palm oil project in Côte d'Ivoire, is pleased to announce that it has awarded a turnkey contract for the construction of an Effluent Treatment Plant ('ETP') to Knowledge Integration Services Singapore Pte Limited ('KIS Group'). 

Highlights

·    ETP will provide DekelOil with an environmentally friendly waste water solution in line with its strategy to build a sustainable palm oil production company in the Cote d'Ivoire

·    DekelOil's 60 t/hr Crude Palm Oil extraction mill, which when completed will be one of West Africa's largest, will be the first in Cote d'Ivoire to implement ETP

·    KIS Group provides effluent treatment solutions to the palm oil industry worldwide and has a commitment to complete installation by July 2014

·    The ponds which are being constructed together with the 60t/hr Crude Palm Oil extraction mill will be used to store the by product in the interim before the ETP is fully operational

·    ETP uses an advanced anaerobic digester to digest and collect biogas, thus providing the potential for electricity generation

·    Contract, valued at US$2,450,000, will be funded by the financing development bank BOAD

Dekeloil Executive Director Lincoln Moore said, "The development of the ETP underpins our commitment to build DekelOil into a sustainable West African palm oil producer in the near term and we are delighted to appoint KIS Group, a global and experienced provider of effluent treatment solutions to the palm oil industry, to construct it under this turnkey contract.  This will represent the first ETP built in-country and will service our fully funded mill, which is one of West Africa's largest.  With this in mind, we intend to provide a detailed update regarding construction at the mill in the coming weeks as we work towards completion by the end of the year."

Further Information

DekelOil has signed a turnkey contract, valued at US$2,450,000, for its ETP with KIS Group.  The funding for this will be provided by the financing development bank, Banque Ouest Africaine de Dévelopment ('BOAD').

Under the terms of the turn-key contract, KIS Group assumes responsibility for the construction of the ETP with DekelOil providing supervisory support.  The majority of the equipment will be shipped by 20 November 2013 and the contract includes a commitment to complete the installation by July 2014.  The ETP is based on using an advanced anaerobic digester which digests and collects biogas. This has environmental credentials, as evidenced by a performance guaranty to ensure that the ETP meets international environmental standards, and also provides the potential for electricity generation.  

DekelOil's CPO extraction mill will be operational in Q1 2014 and initial feedstock will be derived from 27,000 hectares of smallholder estates.  With this in mind, the Company plans to use its ponds in the interim period to ensure it meets its production targets. 

** ENDS **

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

Youval Rasin	DekelOil Public Limited	Tel: [phone]
Shai Kol	DekelOil Public Limited	Tel: [phone]
Lincoln Moore	DekelOil Public Limited	Tel: [phone]
Christian Dennis Jason Robertson Roland Cornish Rosalind Hill Abrahams Elisabeth Cowell	Optiva Securities Limited Optiva Securities Limited Beaumont Cornish Limited Beaumont Cornish Limited St Brides Media & Finance Ltd	Tel: [phone] Tel: [phone] Tel: [phone] Tel: [phone] Tel: [phone]
Frank Buhagiar	St Brides Media & Finance Ltd	Tel: [phone]

Notes:

DekelOil Public Limited is an asset backed, palm oil production and development company focused on becoming a major West African sustainable, low cost producer of Crude Palm Oil ('CPO').  DekelOil plans to rapidly expand its existing palm oil estates in the Côte d'Ivoire as well as what will be, once construction has been completed by the end of this year, one of the largest oil processing mills in West Africa with a capacity of 70,000 tons of Crude Palm Oil ('CPO') per annum.  The mill is due to commence operations and generate first revenues in 2014.  DekelOil already has 1,886 hectares of planted plantations but until these mature, initial feedstock for the mill will originate from 27,000 hectares of mature palm oil plantations that have been secured under long term contracts with smallholders. 

 

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