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 October 2023
Dekel Agri-Vision Plc / Index: AIM / Epic: DKL / Sector: Food Producers
Dekel Agri-Vision Plc
('Dekel' or the 'Company')
October 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 October 2023 monthly production update for its Ayenouan palm oil project in Côte d'Ivoire ('Palm Oil Operation').
Key Highlights
· The Palm Oil Operation continued its 8 month trend of higher like for like production in October 2023 compared to October 2022 recording increases in Crude Palm Oil ('CPO') and Palm Kernel Oil ('PKO') production of 2.8% and 14.5% respectively. Early guidance for November 2023 shows CPO production is likely to be materially higher than November last year as we appear to be experiencing another uplift in production over the past 10 days.
· Like for like October 2023 CPO sales volumes were 5.4% lower compared to last year following a significant period of strong sales from July to September 2023 resulting in inventory levels normalising.
· CPO sales prices in October decreased from ?822 per tonne last month to ?788 per tonne. Local CPO prices are still trading slightly below international CPO prices which also softened slightly trading around ?825- 850 per tonne in October 2023.
· The CPO extraction rate was relatively low at 19.4%, however, early November extraction rates have materially increased over the past 10 days together with CPO production volumes.
| | Oct-23 | Oct-22 | Change |
| | | | |
| FFB processed (tonnes) | 8,886 | 7,661 | 16.0% |
| CPO Extraction Rate | 19.4% | 21.8% | -11.0% |
| CPO production (tonnes) | 1,723 | 1,677 | 2.8% |
| CPO Sales (tonnes) | 1,483 | 1,567 | -5.4% |
| Average CPO price per tonne | ?788 | ?1,057 | -25.5% |
| Palm Kernel Oil ('PKO') production (tonnes) | 150 | 131 | 14.5% |
| PKO Sales (tonnes) | 199 | 225 | -11.6% |
| Average PKO price per tonne | ?838 | ?1,151 | -27.2% |
Lincoln Moore, Dekel's Executive Director, said: "With two months left in 2023 and a strong start to November, the Palm Oil Operation remains well on track to exceed CPO production, Revenue and EBITDA compared to 2022 and we look forward to reporting a strong finish to the year."
** 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 |
| WH Ireland Ltd (Nomad and Joint Broker) James Joyce Darshan Patel
| +44 (0) 20 7220 1666 |
| Optiva Securities Limited (Joint Broker) Christian Dennis Daniel Ingram
| +44 (0) 203 137 1903 |
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 in 2023.
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.