The company would like to offer an opportunity for an investor either through private equity or institution to allow the process which has begun to expand.
An established UK PLC with registered operating company in Guinea has access to over 100,000 ha of land under a lease promise. Over 5,000 ha have already been leased for 50 years. The plot has good location close to the port, infrastructure and coast line. Feasibility studies completed by third party confirm that the conditions are suitable for growing quality planting material. Equipment is purchased. Planting shall start in 2015, 1st harvest expected in 2017/18.
Vegetable oil production around the World totals 100 million tons per year, of which over 28 million tons are produced by the oil palm – the World's second largest oil crop after soy-oil. The development of oil palm plantations is crucial for Guinea (West Africa) to escape from the poverty trap it is in. Initiatives like that of our company, will provide employment, training and education of local staff, it will substantially increase the income of thousands of small local palm oil out growers in the region, and it will improve the social and economic infrastructure in the area without a negative impact on the environment. Guinea is the homeland of the oil palm.
Using a UK Public Limited Company (PLC), the directors decided to change its name (“the Company”) with the option of future listing for the purpose of conducting a palm oil based business in Guinea, West Africa. However the company remains private.
The company, has successfully registered its operating company in Guinea-Conakry, with the relevant capital to be certified by the Government and is now authorised to carry out large scale agricultural projects.
The core team members of the company without exception have lived, worked, operated and created businesses under the sometimes harsh and demanding environments such as West Africa and bring a personal level of hard earned experience and knowledge, as well as their network of highly skilled specialists to the Company.
The Company will produce crude palm oil (CPO) to satisfy local demand with over 75% being consumed in food preparation, with the remainder going to industrial uses such as production of oleo chemicals or biodiesel.
With a land bank in excess of 5,000 ha, (land lease signed for 50 years) and options in place to expand, the initial process has started with the establishment of the company and continual research being carried out.
The company is now at a stage of development with the design of the nurseries being completed along with the mapping and plantation location finalized.
Equipment has been purchased along with an order for the hybrid seeds, which have been sourced from a world wide producer that has over 60 years of research and development in planting material and currently supplies over 50 million seeds worldwide. All data that has been collected, is from actual plantations within the region that have been using the same planting material and therefore our projections and business model are based around actual models.
Soil and rain analysis has been carried out and achieved data has been collected and used specific to our area of operations.
The company would like to offer an opportunity for an investor either through private equity or institution to allow the process which has begun to further take shape and expand.
Our financial models provide an attractive return on investment, with the project being cash flow positive within the first 2-3 years after planting and the initial investment being paid back from revenues of sale thereafter. It is also planed to reinvest back into the company with the investor having a % returned annually.
Our focus is only on the nurseries and plantation at this stage. With financing of the Mill being the focus in the future.