MP Evans Group PLC (AIM:MPE), the producer of sustainable Indonesian palm oil, said it produced the equivalent of 134,400 tonnes of crude palm oil (CPO) in the first five months of the year.
Total production increased by 3%, although production at its own mills was up by 9% on 2022 thanks to the group’s new mill at Musi Rawas, a statement ahead of today’s AGM said.
The company said it continues to achieve a good oil extraction rate of 23%, marginally lower than the 23.1% it achieved in the same period of 2022.
Additionally, it processed 584,800 tonnes of fresh fruit bunches in the five-month period to 31 May 2023, 2% higher than last year.
For the first five months of the year, the average price of CPO was US$1,001 per tonne, 39% lower than the equivalent period in 2022, although 13% higher than the five-year average rolling price and 23% higher than the 10-year average.
Sales last year were “exceptionally high” as commodity markets responded to the outbreak of war in Ukraine, MP Evans said.
Prices for palm kernels reduced by 61% to US$415 per tonne in 2023 compared to 2022.
An increased total dividend of 42.5p per share has been proposed in respect of 2022.