AGM Statement

RNS Number : 1675D

Anglo-Eastern Plantations PLC

28 June 2021

 

28 June 2021

Anglo-Eastern Plantations Plc

("AEP" or the "Company")

AGM Statement

The 36th Annual General Meeting of Anglo-Eastern Plantations Plc will be held at the Company's office in Malaysia at 7^th Floor, Wisma Equity, 150 Jalan Ampang, 50450 Kuala Lumpur, Malaysia at 4.30pm (Malaysia time) today.

At the meeting, the Chairman will comment on current operational performance and development as well as the outlook for the remainder of  2021.

Operational and financial performance

For   the first five months ended 31   May   2021, our own production of fresh fruit bunches ("FFB") was 477,300mt, an overall increase of 16% compared to the same period in 2020 (five months to May 2020: 413,100mt). Plantations in the Kalimantan and North Sumatera regions performed exceptionally well, exceeding last year's production by more than 20% due to favourable weather conditions. With an abundance of crop, FFB bought in was 475,800mt, an increase of 39% in comparison with the same period last year (five months to May 2020: 342,200mt). As a result, our six mills processed more crops than last year with the Crude Palm Oil ("CPO") production reaching   194,400mt, 26% higher than the corresponding period in 2020 (five months to May 2020: 154,100mt) .

The CPO ex-Rotterdam price averaged $1,120/mt for the first five months to   31 May 2021, 70% higher than the average price of  $659/mt recorded   in the first five months of 2020. The mills accordingly enjoyed a 25% higher average ex-mill price of $691/mt compared to $ 553 /mt for the same period last year.

The AEP balance sheet remains strong.

Development

AEP has plantations across Indonesia and Malaysia, amounting to some 128,000 hectares, of which approximately 73,980 hectares (including Plasma) are planted. The Group's new planting for the first five months ended 31 May 2021 was 907 hectares (including Plasma) (five months to May 2020: 995 hectares).

The concrete piling works for the seventh mill in North Sumatera are progressing as scheduled. Civil and structural works together with mechanical works including a steam boiler and turbine were tendered and recently awarded at a cost of US$12.8 million.

Outlook

The CPO price ex-Rotterdam closed at $1,110/mt on 2 June 2021, representing an increase of 9% from the start of the year at $1,014/mt.The Group expects prices to moderate in the second half of the year on the back of higher crop production. CPO prices are also expected to weaken by a pull back in prices of competing soybean oil due to better weather ameliorating crop concerns in the United States, as well as likely lower biofuel targets.

Note: The information communicated in this announcement is inside information for the purposes of Article 7 of Market Abuse Regulation 596/2014 as it forms part of domestic law by virtue of the European Union (Withdrawal) Act 2018.

For further enquiry, contact:

Anglo-Eastern Plantations Plc
Dato' John Lim Ewe Chuan	[phone]
Panmure Gordon (UK) Limited
Dominic Morley	[phone]

 

END

 

 

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