Okomu raises shareholders’ expectations with planned new factory
Things are looking up brighter for shareholders of Okomu Oil p cs the company plans to commission its extension 2 palm plantation where a new line of production would also be established soon.
Okomu oil plc has brought to the notice of all stakeholders, that the company has commenced the process and reparation for the commissioning of its extension 2 palm estate in Edo state.
A statement signed by the company secretary Christian Mariere and release y the Nigerian Stock Exchange (NSE) on Monday, the company disclosed on the intention of boost in its production line and earnings with the planned establishment of a second oil palm mill at the location very soon.
“This will significantly increase the company’s production capacity and to a large extent, the financial returns of the company” the company stated.
Okomu Oil Palm PLC develops oil palm plantation, mills palm oil, and processes palm kernel. The Company also develops rubber tree plantation.
the company opened trade on Monday at N 72.40 per share and closed at the same price with transacted volume of 43,355 shares transacted by investors
The Okomu Oil Palm Company was established in 1976 as a Federal Government pilot project aimed at rehabilitating oil palm production in Nigeria. At inception, the pilot project covered a surveyed area of 15,580 hectares out of which 12,500 hectares could be planted with oil palm. It was incorporated on December 3, 1979 as a limited liability company.
As part of efforts to shore up its revenue base, the company acquired and installed a 1.5-tonne fresh Fruit Bunches /hour mill in 1985 to begin to process its FFB. Prior to the installation of the mill, the company derived its revenue from the sale of FFB.
By December 31, 1989, 5,055 hectares of the estate had been planted. The company also began infrastructural developments on the estate at that period. The facilities included office blocks, workshops/stores, staff quarters, a petrol station, a powerhouse and a primary school for children of the company’s staff members.
In 1990, the Technical Committee on Privatization and Commercialization (TCPC) privatized The Okomu Oil Palm Company on behalf of the Federal Government of Nigeria.
It has since grown to become Nigeria’s leading oil palm company with total area of 33,000 ha of which 14,000ha is currently planted with palm oil trees and 8,000ha with rubber trees. Another 4,000ha of palm oil trees is to be planted within the next year and 1,500 Ha of Rubber trees by 2020. Currently, the company operates two 30 ton per hour oil mills and another two 30 ton per hour oil mills are planned to be operating by 2020/1.
Stories by Bonny Amadi
