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

Dekel Agri-VisionAnnouncement

10/05/2024 07:00

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RNS Number : 8649N  Dekel Agri-Vision PLC  10 May 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.

 

10 May 2024

 

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

 

Dekel Agri-Vision Plc

 

('Dekel' or the 'Company')

 

April 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 an April 2024 monthly production update for its Ayenouan palm oil
project in Côte d'Ivoire ('Palm Oil Operation').

 

Key Highlights

·      The Palm Oil Operation had a solid month albeit CPO production
was 27.1% lower than the record April 2023 results.  This is due to the high
season in 2024 appearing to return to a more typical peak cycle in March 2024
compared to 2023 where the peak occurred in April.  Year to date April 2024
CPO production remains 5% higher than year to date April 2023.

·      Like for like April 2024 CPO sales volumes were 45.8% higher than
April last year due to the sale of stock on hand following the strong Q1 2024
production period.

·      CPO sales prices continued to be historically strong at €777
per tonne.  International prices remain buoyant at approximately €900 per
tonne and we are optimistic that as local inventory levels decrease over the
coming months local prices should continue to gradually strengthen towards the
international price.

·      The CPO extraction rate of 22.5% in April 2024 was an excellent
result being 5.1% higher than April 2023.  We are seeing this trend of higher
CPO extraction rates continue in May which is enhancing our gross margin
percentage.

 

                                              Apr-24  Apr-23  Change

 FFB processed (tonnes)                       20,012  28,846  -30.6%
 CPO Extraction Rate                          22.5%   21.4%   5.1%
 CPO production (tonnes)                      4,502   6,179   -27.1%
 CPO Sales (tonnes)                           5,815   3,988   45.8%
 Average CPO price per tonne                  €777    €976    -20.4%
 Palm Kernel Oil ('PKO') production (tonnes)  230     382     -39.8%
 PKO Sales (tonnes)                           265     Nil     n/a
 Average PKO price per tonne                  €759    n/a     n/a

 

Lincoln Moore, Dekel's Executive Director, said: "YTD CPO production levels
remain ahead of 2023.  In addition, with CPO prices remaining relatively high
and enhanced CPO extraction rates, H1 2024 is continuing to be a period of
robust financial performance from the Palm Oil Operation."

 

 

** 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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