DekelOil have EUR5.1 Debt Cancelled “Very positive news” Lincoln Moore

DekelOil Executive Director Lincoln Moore said, “The debt write off of EUR5.1m is very positive news and unlocks significant value for shareholders. This follows the successful ramp up of operations at Ayenouan in 2015, which for the nine months to 30 September 2015 saw 29,137 tonnes of CPO produced, more than double the total volumes achieved in 2014. With profits on an upwards trajectory, and the PKO plant now in operation, the Board will continue to take full advantage of the excellent progress made on the ground to date to further strengthen our balance sheet so that it more fully reflects DekelOil’s status as a growing palm oil producer rather than a pure project development company.”

DekelOil Public Limited, operator and 51% owner of the vertically integrated Ayenouan palm oil project in Cote d’Ivoire has told DirectorsTalk that it has improved the Project’s economics following an agreement with its joint venture partner, Biopalm Energy Ltd (“Biopalm”), which reduces the Company’s debt position by EUR5.1m. An offset agreement has been signed between the Company and Biopalm, whereby a capital note totalling EUR5.1 million owed to Biopalm at the Project level, is to be cancelled.

Under the terms of the loan note, interest was payable by the Project at 10% per annum and ranked above that of future dividends to ordinary shareholders. In exchange for the cancellation of the loan note, DekelOil has agreed to waive Biopalm’s outstanding equity contribution to the Project, which totals EUR1.1m and relates to the recent expansion of the Project with the now operating palm kernel crushing plant (“PKO”), and allows Biopalm to maintain its 49% interest in the joint venture.

This agreement has been reached as part of the Company’s broader strategy to strengthen its balance sheet and reduce interest expense following a period of significant growth in profitability. This was highlighted in the recent half yearly report, which stated EBITDA for the six months ended 30 June 2015 totalled EUR2.3 million.

Click to view all articles for the EPIC:
Or click to view the full company profile:
Facebook
Twitter
LinkedIn
DekelOil Public Ltd

More articles like this

Dekel Agri-Vision PLC

Palm oil rises on strong exports

Palm oil snapped a two-day drop on optimism that Malaysian exports will be robust this month, and on concerns that potential Indonesian policy changes could limit supplies from the biggest shipper. The gains this morning are

Dekel Agri-Vision PLC

Palm oil futures rise on stronger rival oils

Malaysian palm oil futures climbed higher on Monday as stronger rival oils helped boost prices, but smaller-than-expected exports and expectation of higher output capped gains. The benchmark palm oil contract FCPOc3 for June delivery on the Bursa Malaysia Derivatives

Dekel Agri-Vision PLC

Palm oil futures rise to over one-year highs

Malaysian palm oil futures rose for a fourth consecutive session on Thursday, trading at highs last seen over a year ago, as stronger rival edible oils and crude oil prices underpinned the market. The benchmark palm

Dekel Agri-Vision PLC

Palm oil closing at near 8-month highs

Malaysian palm oil futures were little changed on Tuesday after closing at near 8-month highs in the previous session, as stronger rival oils and crude oil prices offset a decline in exports. The benchmark palm oil

Dekel Agri-Vision PLC

Dekel Agri-Vision 2024 CPO production significantly ahead of prior year

Dekel Agri-Vision Plc (LON:DKL), the West African agriculture company focused on building a portfolio of sustainable and diversified projects, has provided a February 2024 monthly production update for its Ayenouan palm oil project in Côte d’Ivoire. Key Highlights ·      The

Dekel Agri-Vision PLC

Palm oil futures reach five-week high amid supply concerns

Malaysian palm oil futures closed at a five-week high on Tuesday, rebounding from two days of decline amid supply concerns and inclement Indian weather prompting higher imports of edible oils. The benchmark palm oil contract FCPOc3 for May delivery

Dekel Agri-Vision PLC

Palm oil futures rise on strength of rival oils

Malaysian palm oil futures opened up on Thursday, tracking strength in rival vegetable oils on the Dalian Commodity Exchange. The benchmark palm oil contract FCPOc3 for May delivery on the Bursa Malaysia Derivatives Exchange was up 36 ringgit

Dekel Agri-Vision PLC

Palm oil rises for third day on rival oils’ gains

Malaysian palm oil futures rose on Monday for a third straight session, tracking gains in rival oils, while the market is waiting for a major conference due to be held in Kuala Lumpur next week. The benchmark palm oil contract FCPOc3 for

Dekel Agri-Vision PLC

Palm oil futures rise on soyoil strength

Malaysian palm oil futures rose on Wednesday, tracking strength in Dalian’s palm olein contract and Chicago soyoil, although weak exports data limited gains. The benchmark palm oil contract FCPOc3 for May delivery on the Bursa Malaysia Derivatives Exchange

Dekel Agri-Vision PLC

Palm oil futures rise on increase in soyoil

Malaysian palm oil futures rose on Friday on an increase in soyoil and the transition of May contract to the benchmark, narrowing the discount to the April contract, although weak exports capped the upside. The benchmark palm oil contract FCPOc3 for May delivery on the Bursa

Dekel Agri-Vision PLC

Palm Oil rises on strong crude oil futures

Palm oil futures edged up on Wednesday, extending gains from the previous session, as a bigger-than-expected fall in January inventories of the tropical oil in top producer Malaysia lent support. The benchmark palm oil contract for