Information  X 
Enter a valid email address

Dekel Agri-Vision (DKL)

  Print   

Thursday 10 December, 2020

Dekel Agri-Vision

November Palm Oil Production Update

RNS Number : 1412I
Dekel Agri-Vision PLC
10 December 2020
 

 

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

 

Dekel Agri-Vision Plc ('Dekel' or the 'Company')

November Palm Oil Production Update

 

Dekel Agri-Vision Plc, the West African focused agriculture company, is pleased to report a production update for its 100%-owned, vertically integrated palm oil project at Ayenouan in Côte d'Ivoire for November 2020.  Across the board double-digit growth in key performance indicators has been recorded at Ayenouan for November 2020, including a 38% increase in crude palm oil ('CPO') production to 1,530 tonnes, a 22% increase in CPO sold to 1,515 tonnes and a 26% increase in CPO sales prices to €664 per tonne compared to November 2019. 

 


Nov-20

Nov-19

Change

FFB processed (tonnes)

7,441

5,350

39.08%

CPO production (tonnes)

1,530

1,108

38.09%

CPO Sales (tonnes)

1,515

1,243

21.88%

Average CPO price per tonne

€664

525

26.47 %

PKO production (tonnes)

124

97

27.84%

PKO Sales (tonnes)

367

nil

na

Average PKO price per tonne

€579

na

na

PKC production (tonnes)

177

157

12.74%

PKC Sales (tonnes)

266

152

75.00%

Average PKC price per tonne

€61

58

5.17 %

 

Production

· 38% increase in CPO production in November 2020 compared to November 2019

· 39% increase in fresh fruit bunches ('FFB') delivered to the mill for processing compared to November 2019

· Higher Palm Kernel Oil ('PKO') and Palm Kernel Cake ('PKC') production in November 2020 compared to November 2019, also due to higher FFB volumes

 

Sales and Pricing

· 26.5% increase in CPO prices achieved to €664 per tonne (November 2019: €525) and 22% increase in CPO sales to 1,515 tonnes (November 2019: 1,243 tonnes)

Continued restocking post COVID lockdowns by key buying nations, including China, combined with low stock levels in major producing countries such as Malaysia contributed to pricing and sales performance

Dekel believes strong global pricing during the ongoing pandemic can be attributed to palm oil's widespread use in everyday essential products

· International CPO prices are currently trading at over US$900 per tonne which bodes well for local pricing in the coming months that coincide with the commencement of the 2021 high season

Local CPO prices mechanically lag the international price for 4-6 weeks

· Recent strengthening in international PKO prices is starting to be reflected in local pricing

· PKO sales of 367 tonnes exceeded PKO production of 124 tonnes due to strong monthly production and partial collection of previously sold oil that was being stored at Ayenouan

 

Dekel Agri-Vision Plc Executive Director Lincoln Moore said:   "For the second consecutive month, we are reporting double-digit increases in CPO production, sales and prices compared to the equivalent period last year.  Following material year on year improvements in the first half, we are increasingly confident that, with just one month to go, FY 2020 numbers will show a material improvement compared to FY2019 and at least hit market forecasts.

 

"With the global palm oil pricing environment currently highly supportive, we are looking forward to the start of the high season in Cote d'Ivoire, which typically runs from late January to May.  Together with the commencement of high margin cashew processing operations at Tiebissou in Q2 2021, we expect the year ahead will result in a step-up in Dekel's financial performance and profile and I look forward to providing further updates on our progress."

 

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ('MAR').  Upon the publication of this announcement via a Regulatory Information Service ("RIS"), this inside information is now considered to be in the public domain.

 

** ENDS **

 

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

 

Dekel Agri-Vision Plc

Youval Rasin

Shai Kol

Lincoln Moore

 

+44 (0) 207 236 1177

Arden Partners Plc (Nomad and Joint Broker)

Paul Shackleton / Ruari McGirr /

Dan Gee-Summons (Corporate Finance)

Simon Johnson (Corporate Broking)

 

+44 (0) 207 614 5900

Optiva Securities Limited (Joint Broker)

Christian Dennis

Jeremy King

 

+44 (0) 203 137 1903

St Brides Partners Ltd (Investor Relations)

Frank Buhagiar

Cosima Akerman

Megan Dennison

+44 (0) 207 236 1177

 

 

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 crude palm oil mill; a cashew processing project in Tiebissou, which is due to commence production in Q2 2021. 

 

 

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
 
END
 
 
DRLFSSFUUESSEFE

a d v e r t i s e m e n t