Proactiveinvestors United Kingdom Dekeloil Public Ltd https://www.proactiveinvestors.co.uk Proactiveinvestors United Kingdom Dekeloil Public Ltd RSS feed en Mon, 20 May 2019 15:41:24 +0100 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[RNS press release - Production Update - Q1 2019 ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190409070011_14033369/ Tue, 09 Apr 2019 07:00:11 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190409070011_14033369/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190116163138_13937144/ Wed, 16 Jan 2019 16:31:38 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190116163138_13937144/ <![CDATA[RNS press release - Director/PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190111114150_13932181/ Fri, 11 Jan 2019 11:41:50 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190111114150_13932181/ <![CDATA[RNS press release - Director / PDMR Shareholding ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190111070004_13931240/ Fri, 11 Jan 2019 07:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190111070004_13931240/ <![CDATA[RNS press release - Second Price Monitoring Extn ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190110164047_13931002/ Thu, 10 Jan 2019 16:40:47 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190110164047_13931002/ <![CDATA[RNS press release - Price Monitoring Extension ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190110163529_13930988/ Thu, 10 Jan 2019 16:35:29 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190110163529_13930988/ <![CDATA[RNS press release - Full Year Production Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190110070007_13929652/ Thu, 10 Jan 2019 07:00:07 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20190110070007_13929652/ <![CDATA[RNS press release - Replacement:Acquisition of Cashew Project Interest ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181231083727_13918966/ Mon, 31 Dec 2018 08:37:27 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181231083727_13918966/ <![CDATA[RNS press release - Acquisition of Interest in Cashew Project ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181221070002_13912330/ Fri, 21 Dec 2018 07:00:02 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181221070002_13912330/ <![CDATA[RNS press release - Civil Works Contract for Cashew Project Awarded ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181119070005_13870989/ Mon, 19 Nov 2018 07:00:05 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181119070005_13870989/ <![CDATA[RNS press release - Contract to Construct Cashew Processing Plant ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181031070004_13848471/ Wed, 31 Oct 2018 07:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181031070004_13848471/ <![CDATA[RNS press release - Result of AGM ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181024133544_13841009/ Wed, 24 Oct 2018 13:35:44 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181024133544_13841009/ <![CDATA[RNS press release - AGM Statement ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181024093002_13840484/ Wed, 24 Oct 2018 09:30:02 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181024093002_13840484/ <![CDATA[RNS press release - Q3 2018 Production & Sales Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181010070004_13822517/ Wed, 10 Oct 2018 07:00:04 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20181010070004_13822517/ <![CDATA[RNS press release - DekelOil - Notice of AGM ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180925070023_13802925/ Tue, 25 Sep 2018 07:00:23 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180925070023_13802925/ <![CDATA[RNS press release - Interim Results ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180913070004_13788894/ Thu, 13 Sep 2018 07:00:04 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180913070004_13788894/ <![CDATA[RNS press release - Cashew Processing Project Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180730070008_13735187/ Mon, 30 Jul 2018 07:00:08 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180730070008_13735187/ <![CDATA[RNS press release - Half Year Production Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180719070005_13723338/ Thu, 19 Jul 2018 07:00:05 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180719070005_13723338/ <![CDATA[RNS press release - 13 Year Tax Exemption for Cashew Project Confirmed ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180712070006_13714751/ Thu, 12 Jul 2018 07:00:06 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180712070006_13714751/ <![CDATA[RNS press release - Appointment of Joint Broker ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180711070005_13713060/ Wed, 11 Jul 2018 07:00:05 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180711070005_13713060/ <![CDATA[RNS press release - Final Results ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180628070008_13696596/ Thu, 28 Jun 2018 07:00:08 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180628070008_13696596/ <![CDATA[RNS press release - Option to Acquire Majority Interest in Cashew Co. ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180626070005_13693053/ Tue, 26 Jun 2018 07:00:05 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180626070005_13693053/ <![CDATA[News - DekelOil slumps on first quarter production report ]]> https://www.proactiveinvestors.co.uk/companies/news/194926/dekeloil-slumps-on-first-quarter-production-report-194926.html DekelOil Public Limited (LON:DKL) shares slumped in Friday morning’s dealing after it revealed a 17% drop in crude palm oil production and a 25% reduction in sales prices.

The stock was down 1.04p or 10.61% to trade at 8.76p.

In a statement, the Côte d'Ivoire-based palm oil producer told investors it has continued to see a deviation from typical seasonal trends, and it suggested the ‘high season’ may be less volatile and may last longer for 2018.

First quarter production volumes were softer than the same period of 2017, following a preceding quarter that was significantly stronger than its year-on-year comparison. It highlighted that the peak 2018 harvesting season has to date been less volatile on a month to month basis.

Harvesting, measured as ‘collected FFB’ (fresh fruit bunches) amounted to 59,531 tonnes for the three months ended March 31, compared to 72,083 tonnes in 2017. The company produced some 13,605 tonnes of crude palm oil, down from 16,398 tonnes in the same period last year.

Set against a tougher backdrop

"The Q1 performance was set against a backdrop of relatively weaker FFB volumes and lower international prices compared to last year,” said Lincoln Moore, Dekel Oil executive director.

“However, we remain focused on optimising the variables we can control, such as securing sales for our product at premium prices, maintaining our excellent relationships with the thousands of local smallholders who supply us with fruit, and growing our customer base."

First quarter sales of CPO beat the previous year’s tally, however, measuring 13,758 tonnes versus 11,871 tonnes. But, the price of CPO was markedly lower, at €548 per tonne rather than €736.

Dekel said its market share of FFB delivered to the mill was comparable to previous quarters.

Shortage of CPO in region

It added that due to the quarter’s strong sales the company’s stock on hand is ‘virtually nil’.

The company intends to capitalise on lower CPO availability in the region, to secure future sales at premium prices for the remainder of the high season and the subsequent low season.

Moore added: “We are encouraged by the record sales quantities which saw us record our best ever quarterly CPO sales performance; maintain our market share in terms of delivery of fruit to our mill; and securing Louis Dreyfus as our latest customer. 

“We view diversification of our sales customer base as critical to maximising the sales prices for our product, particular given the lower CPO supply evident in the local market and this will hold us in good stead to extract premium prices throughout the remainder of the high season and forthcoming low season."

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Fri, 13 Apr 2018 08:02:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/194926/dekeloil-slumps-on-first-quarter-production-report-194926.html
<![CDATA[RNS press release - Q1 2018 Production Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180413070002_13603067/ Fri, 13 Apr 2018 07:00:02 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180413070002_13603067/ <![CDATA[RNS press release - Directorate Changes ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180406070004_13594243/ Fri, 06 Apr 2018 07:00:04 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180406070004_13594243/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180327114503_13583195/ Tue, 27 Mar 2018 11:45:03 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180327114503_13583195/ <![CDATA[RNS press release - Update on Broker ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180302113001_13552882/ Fri, 02 Mar 2018 11:30:01 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180302113001_13552882/ <![CDATA[RNS press release - Drawdown of Syndicated Loan ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180228070007_13548308/ Wed, 28 Feb 2018 07:00:07 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180228070007_13548308/ <![CDATA[RNS press release - Operations Update for Producing Palm Oil Project ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180122070004_13503707/ Mon, 22 Jan 2018 07:00:04 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180122070004_13503707/ <![CDATA[RNS press release - Full Year Production Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180116070003_13497281/ Tue, 16 Jan 2018 07:00:03 +0000 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20180116070003_13497281/ <![CDATA[RNS press release - Q3 2017 Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20171024131512_13407301/ Tue, 24 Oct 2017 13:15:12 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20171024131512_13407301/ <![CDATA[RNS press release - 25% increase in capacity at palm oil mill ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20171023070003_13404699/ Mon, 23 Oct 2017 07:00:03 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20171023070003_13404699/ <![CDATA[RNS press release - Q3 2017 Production & Sales Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20171018070003_13400182/ Wed, 18 Oct 2017 07:00:03 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20171018070003_13400182/ <![CDATA[RNS press release - Interim Results ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170927070007_13376457/ Wed, 27 Sep 2017 07:00:07 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170927070007_13376457/ <![CDATA[RNS press release - Holding(s) in Company ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170907142117_13355567/ Thu, 07 Sep 2017 14:21:17 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170907142117_13355567/ <![CDATA[RNS press release - Result of Scrip Dividend and Director Dealing ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170901070002_13348163/ Fri, 01 Sep 2017 07:00:02 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170901070002_13348163/ <![CDATA[RNS press release - Result of AGM ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170803115954_13318576/ Thu, 03 Aug 2017 11:59:54 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170803115954_13318576/ <![CDATA[RNS press release - AGM Statement ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170803070003_13317630/ Thu, 03 Aug 2017 07:00:03 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170803070003_13317630/ <![CDATA[News - DekelOil formally kicks-off Guitry palm oil project in Côte d'Ivoire ]]> https://www.proactiveinvestors.co.uk/companies/news/181392/dekeloil-formally-kicks-off-guitry-palm-oil-project-in-cte-d-ivoire-181392.html Dekeloil Public Ltd (LON:DKL) has formally kicked off Guitry, its second palm oil project, in Côte d'Ivoire.

Guitry will, like the group’s flagship Ayenouan project, be developed as a vertically integrated palm oil operation including nursery, company-owned estates and a mill producing crude palm oil.

It will source palm fruit bunches from both the company’s own plantation and third-party growers.

READ: DekelOil battles through head-winds to post higher sales and profits

Development capital is anticipated to be no more than €250,000 for the first twelve months of the project, and the company said that the longer term funding would likely be provided by a project partner – a process of negotiations is now underway.

"We believe Guitry in time has the potential to become a much larger and more profitable operation than our successful project in Ayenouan,” said Lincoln Moore, DekelOil executive director.

“It has always been our intention to first prove our vertically integrated model at Ayenouan before building a portfolio of other vertically integrated palm oil projects in West Africa. 

Moore added: “Having established a successful operation at Ayenouan which plays an important role in the local economy, our business model is proven and de-risked and with this in mind we are encouraged by the interest and support we are receiving from potential partners and banks with regards to providing development capital for Guitry. 

“I look forward to updating shareholders on our future progress at Guitry as we deliver on our strategy to transform DekelOil into a leading West African focused palm producer.”

Guitry plans

It is anticipated that the Guitry nursery will be a modern operation - it will be computerised and fully irrigated - and it will have the capacity for 1mln plants per year, which would equate to some 6,000 hectares of palm oil estates.

The company has secured rights to develop oil palm estates over 24,000 hectares of brownfield land, primarily old cocoa and oil palm land. It also sees potential to significantly enhance the local smallholder industry to provide additional feed stock to a company owned mill.

Talks are underway with smallholders to determine the initial capacity requirements for the first mill operation at Guitry.

The company noted that the smallholder industry is less developed in the Guitry area, compared to what was encountered at Ayenouan, though it plans to undertake a feasibility study for a 15-30 tonne per hour crude palm oil extraction mill.

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Tue, 25 Jul 2017 07:46:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/181392/dekeloil-formally-kicks-off-guitry-palm-oil-project-in-cte-d-ivoire-181392.html
<![CDATA[RNS press release - Formal Commencement of Second Palm Oil Project ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170725070006_13305837/ Tue, 25 Jul 2017 07:00:06 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170725070006_13305837/ <![CDATA[RNS press release - Half Year Production Update ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170718070009_13298152/ Tue, 18 Jul 2017 07:00:09 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170718070009_13298152/ <![CDATA[RNS press release - Maiden Dividend Declaration & Notice of AGM ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170628070005_13275354/ Wed, 28 Jun 2017 07:00:05 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170628070005_13275354/ <![CDATA[News - DekelOil battles through head-winds to post higher sales and profits ]]> https://www.proactiveinvestors.co.uk/companies/news/178846/dekeloil-battles-through-head-winds-to-post-higher-sales-and-profits-178846.html Palm oil project operator Dekeloil Public Ltd (LON:DKL) drove its top line higher in 2016 despite a slide in crude palm oil (CPO) prices.

The Ivory Coast-focused group had a strong year, though it would have been stronger still but for the Nigerian currency crisis and lower than expected production of fresh fruit bunches in the fourth quarter.

Revenue in 2016 rose 13.7% to €26.6mln from €23.4mln the year before on the back of increased CPO sales, which clocked in at 39,498 tonnes, up 10.4% from 2015’s 35,773 tonnes.

The average price achieved per tonne eased 4.8% to €575 from €604.

The company said it is on course for further increases in sales revenue due to the improved CPO and palm kernel oil prices.

Underlying earnings, or EBITDA, rose 10.8% to €4.1mln from 43.7mln the year before, while reported profit before tax shot up to €1.36mln from €144,000 the year before.

Executive director hails continued growth in production and sales

"The year under review saw DekelOil maintain its unbroken sequence of annual CPO production and sales growth at Ayenouan in spite of weaker palm oil prices during the first half of the year,” said Lincoln Moore, executive director of DekelOil.

“At the same time we delivered on key corporate objectives which are vital to the roll out of our growth strategy.  Specifically, we completed the refinancing, on much improved terms, of debt that was obtained when DekelOil was just a pure development company; we completed the conversion of all outstanding capital notes into new ordinary shares of the company at a 10.4% premium to the prevailing market price; and importantly we secured 100% ownership of Ayenouan via a series of earnings enhancing acquisitions,” he added.

The company signalled its intentions to start paying dividends this year.

“We now have an excellent platform in place from which to expand our operations both at Ayenouan and elsewhere, including Guitry - our second project in the Ivory Coast. Having proven our business model and our management's ability to execute transactions on attractive terms, we are focused on scaling up our activities and transforming DekelOil into the leading West African palm oil producer we believe it can become," Moore said.

What the house brokers says about DekelOil

Joint house broker Optiva Securities said that growing production and profitability in 2016 in a low pricing environment demonstrated “real management credibility”.

The broker raised its target price for DekelOil from 32p to 34p; the shares currently trade at 12.8p, up 18% year-to-date but down 0.95p today.

“The introduction of the 60t/day kernel crushing plant … has added significant value to revenue streams and has delivered a payback period of less than 12 months. We also take comfort that the World Bank has commenced an initiative which subsidises the cost to buy DKL’s products to boost further palm oil plantations in the region, thereby enhancing DKL’s underlying revenues,” the broker said.

Optiva is expecting significant growth momentum in 2017, forecasting 45,590 tonnes of CPO production, with the kernel crushing plant contributing a further 7,500 tonnes of palm kernel oil and palm kernel cake.

It has pencilled in a CPO price of €690 per tonne of CPO and €850 per tonne of palm kernel oil.

These assumption lead to a forecast of substantially increased revenues of €31mln and more than doubled EBITDA of €10.6mln.

DekelOil’s nominated adviser Cantor Fitzgerald said the results showed the significant progress made in moving the mill towards full production while expanding its capabilities.

DekelOil said the mill is currently working at about 70% of its capacity.

“This year has also seen a significant financial simplification of the business leaving shareholders more clearly exposed to the growth potential of the company in our view. The margin impact of lower volumes in Q4 now looks like a genuine aberration and we remain confident in the underlying picture going forward,” Cantor said, as it reiterated its ‘buy’ recommendation and cut its target price to 25p from 29p.

“We have adjusted our figures for a lower CPO price but with a stronger balance sheet position our valuation is only modestly affected,” the broker said, explaining the cut in target price.

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Tue, 06 Jun 2017 10:41:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/178846/dekeloil-battles-through-head-winds-to-post-higher-sales-and-profits-178846.html
<![CDATA[RNS press release - Final Results ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170606070005_13249960/ Tue, 06 Jun 2017 07:00:05 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170606070005_13249960/ <![CDATA[RNS press release - Notice of Results ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170523070017_13234619/ Tue, 23 May 2017 07:00:17 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170523070017_13234619/ <![CDATA[Media files - Zak Mir: 16p still a valid target for Dekeloil ]]> https://www.proactiveinvestors.co.uk/companies/stocktube/7426/zak-mir-16p-still-a-valid-target-for-dekeloil-7426.html Wed, 10 May 2017 10:44:00 +0100 https://www.proactiveinvestors.co.uk/companies/stocktube/7426/zak-mir-16p-still-a-valid-target-for-dekeloil-7426.html <![CDATA[News - DekelOil in talks to buy Ghanaian palm oil business ]]> https://www.proactiveinvestors.co.uk/companies/news/177569/dekeloil-in-talks-to-buy-ghanaian-palm-oil-business-177569.html DekelOil Plc (LON:DKL) has confirmed that it is in talks over a potential deal which would be classed as a ‘substantial transaction’.

The West Africa palm oil group revealed it is working on a deal to acquire majority ownership of Norpalm, which has a vertically integrated palm oil operation in West Ghana.

Norpalm has some 4,000 hectares of mature palm plantations under ownership and it also acquires palm fruit bunches from local producers. It operates a 30 tonne per hour mill and a kernel oil press which yields some 2,000 tonnes of palm kernel oil into the Ghanaian market.

WATCH: Zak Mir on DekelOil

Specifically, the talks are with the board and certain shareholders in Norpalm AS – which owns 68.6% of the Norpalm business.

“Discussions are still ongoing and therefore there can be no guarantee that the potential transaction will proceed,” the company said in a statement.

“The directors intend that the proposed transaction would be financed from a combination of DekelOil's existing cash resources, new equity partners at project level and debt financing.  Further announcements will be made in due course as appropriate. Further announcements will be made in due course as appropriate.”

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Wed, 10 May 2017 08:19:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/177569/dekeloil-in-talks-to-buy-ghanaian-palm-oil-business-177569.html
<![CDATA[RNS press release - Comment Re. Press Speculation ]]> https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170510070008_13219971/ Wed, 10 May 2017 07:00:08 +0100 https://www.proactiveinvestors.co.uk/companies/rns/3683/LSE20170510070008_13219971/ <![CDATA[News - Record first quarter performance for DekelOil ]]> https://www.proactiveinvestors.co.uk/companies/news/176202/record-first-quarter-performance-for-dekeloil-176202.html Continued operational progress at its Ayenouan project in Côte d'Ivoire as well as higher palm oil prices helped Dekeloil Public Ltd (LON:DKL) to a record quarter in the first three months of 2017.

The palm oil producer generated revenues of €9.7mln in the quarter to 31 March, an increase of almost 37% compared to the same period in 2016.

DekelOil sold 11,900 tonnes of crude palm oil during the three months (Q1 2016: 12,100 tonnes) after producing 16,400 tonnes at Ayenouan (Q1 2016: 15,100 tonnes).

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The group also sold 895 tonnes (Q1 2016: 851 tonnes) of the 996 tonnes of palm kernel oil it produced in the period (Q1 2016: 983 tonnes).

In fact, the AIM-listed group posted record monthly production in January, February and March.

The other driving force behind the record performance was the higher prices achieved.

A tonne of crude palm oil sold for an average of €736 during the period, significantly higher than the average price of €532 achieved in the first quarter of 2016.

The average palm kernel oil price also increased by more than a third year-on-year to €1,008 a tonne (Q1 2016: €743).

“Coinciding with the commencement of Côte d'Ivoire's peak harvesting season and significantly higher year on year palm oil prices, this latest record quarterly performance has come at an opportune time,” said executive director Lincoln Moore.

“Ayenouan is proving to be the highly cash generative platform we always believed it would be, and we intend to capitalise on this by moving forward with the expansion phase of our strategy.”

The strong performance has continued into the second quarter, with April production on track to exceed last year’s April figures.

DekelOil reckons the inventory it has built up from Ayenouan will being to unwind in the second half of this year as more and more new buyers enter the Côte d'Ivoire market.

What the brokers had to say

“DekelOil’s first quarter output statement shows strong overall growth with total sales up 36.6%,” said Cantor Fitzgerald analyst Adam Forsyth.

“Prices are well ahead and while this has had a demand response on crude palm oil sales this is expected to be short lived.

“Recent operational improvements are beginning to be felt and shareholders will now benefit from 100% ownership of the Ayenouan mill.”

Forsyth repeated his ‘buy’ recommendation and 29p target price.

Shares rose 7% to 13.5p midway through the morning session on Monday.

--Updates for broker comment and share price--

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Mon, 10 Apr 2017 07:42:00 +0100 https://www.proactiveinvestors.co.uk/companies/news/176202/record-first-quarter-performance-for-dekeloil-176202.html
<![CDATA[News - DekelOil readies itself for a big 2017 as production continues to grow ]]> https://www.proactiveinvestors.co.uk/companies/news/172368/dekeloil-readies-itself-for-a-big-2017-as-production-continues-to-grow-172368.html The past year or so has seen Dekeloil Public Ltd (LON:DKL) make several significant changes – all of which should stand it in good stead as it moves forward.

On the business side of things, it refinanced its expensive €7.6mln, 10.5% project development loan and replaced it with a new €8.4mln unsecured loan at 6.85%, which will reduce the average cost of debt and should improve profitability.

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Aided by the reduced costs, Dekel then spent the best part of €1mln beefing up its palm oil facilities in the Ivory Coast ahead of this year’s March to June harvest season.

The two decisions will make the company a more efficient organisation both financially and in terms of production moving forward, and if that wasn’t enough, it also took full ownership of its Ayenouan palm oil project in Côte d'Ivoire at the start of 2017.

Then there was the divi…

Shortly after taking full ownership at Ayenouan, DekelOil pleased investors no end by confirming that it intended to pay out its first ever divi.

It’s adopt an aggressive dividend policy over the coming three years after it converted all of its outstanding capital notes into new shares.

“Joining the dividend list is a major achievement for any company, let alone one that only came to market in 2013,” said executive director Lincoln Moore.

It won’t be a massive pay-out – likely around 0.002p a share – but the determination to get itself in a position to reward its investors speaks volumes.

Production continues to grow…

The introduction of a dividend has been largely influenced by performance both on the ground at its Ayenouan palm oil project in the Côte d'Ivoire as well as in the boardroom.

Production grew again in 2016 and that fine form has carried over into this year as well.

DekelOil generated revenues of €9.7mln in the quarter to 31 March, an increase of almost 37% compared to the same period in 2016.

The firm sold 11,900 tonnes of crude palm oil during the three months (Q1 2016: 12,100 tonnes) after producing 16,400 tonnes at Ayenouan (Q1 2016: 15,100 tonnes).

DekelOil also sold 895 tonnes (Q1 2016: 851 tonnes) of the 996 tonnes of palm kernel oil it produced in the period (Q1 2016: 983 tonnes).

In fact, the AIM-listed group posted record monthly production in January, February and March. On top of that, April is also on track to post another set of record-beating figures, DekelOil recently said.

What the brokers are saying...

“DekelOil’s first quarter output statement shows strong overall growth with total sales up 36.6%,” said Cantor Fitzgerald analyst Adam Forsyth.

“Prices are well ahead and while this has had a demand response on crude palm oil sales this is expected to be short lived.

“Recent operational improvements are beginning to be felt and shareholders will now benefit from 100% ownership of the Ayenouan mill.”

Forsyth repeated his ‘buy’ recommendation and 29p target price.

Palm oil prices…

A casual observer would see few or no clues that crude palm oil prices hit their lowest point for the best part of a decade in 2016.

Truth be told, prices have been subdued for the past couple of years.

In 2016, DekelOil achieved an average of €575 a tonne, a continuation of a downtrend which ran throughout 2014 and 2015.

Dekel weathered this tough operating environment though, and it looks like it’s going to reap the rewards as prices recover.

One of the driving forces behind the company’s strong performance in the first three months of this year was down to (much) improved prices.

A tonne of crude palm oil sold for an average of €736 during the period, significantly higher than the average price of €532 achieved in the first quarter of last year.

The average palm kernel oil price also increased by more than a third year-on-year to €1,008 a tonne (Q1 2016: €743).

The share price…

Last summer the shares hit their highest level for more than two years although they fell away slightly as the year wore on.

The positive news flow towards the end of 2016 and into 2017 though, with the share price creeping back towards those multi-year highs and up more than 25% for the year to date.

Towards the beginning of April, shares were changing hands for around 13.15p to give DekelOil a market value of almost £50mln.

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Fri, 27 Jan 2017 13:00:00 +0000 https://www.proactiveinvestors.co.uk/companies/news/172368/dekeloil-readies-itself-for-a-big-2017-as-production-continues-to-grow-172368.html