TORONTO, ONTARIO -- (Marketwired) -- 05/30/13 -- Feronia Inc. ("Feronia" or the "Company") (TSX VENTURE: FRN) today released its unaudited financial results for the quarter ended March 31, 2013. All amounts in this release are expressed in US dollars unless otherwise indicated.
Q1 2013 Highlights and Developments
-- Revenue of $1.2 million (Q1 2012: $1.9 million) from the sale of 1,517 tonnes of Crude Palm Oil ("CPO") (Q1 2012: 1,920 tonnes) at an average net price of $674 per tonne (Q1 2012: $875 per tonne)-- Replanted 442 hectares ("ha") of oil palm (Q1 2012: 264 ha)-- Produced 1,764 tonnes of CPO (Q1 2012: 2,009) from 9,550 tonnes of fruit (Q1 2012: 10,975 tonnes)-- Increase in oil extraction rate ("OER") to 18.47% (Q1 2012: 18.31%)-- Fresh fruit bunch ("FFB") yield of 1.60 tonnes per ha (Q1 2012: 1.74 tonnes per ha)-- Average CPO Free Fatty Acid ("FFA") content of 2.17% (Q1 2012: 2.3%)-- Construction of Yaligimba CPO mill progressing with testing underway. First CPO production expected by the end of June 2013-- 1,785 km of operational roads (Q1 2012: 1,680 km)-- First sales of rice grown by the Company made in Q1 2013 to local customers-- Net loss attributable to Feronia was $(2.6m) or $(0.01) per share, compared to a loss of $(2.4m) or $(0.02) per share in Q1 2012-- Completed non-brokered private placement led by strategic investor African Agriculture Fund for aggregate gross proceeds of Cdn$14.5 million, including approximately Cdn$2.4 million from existing qualifying shareholders of the Company.
-- 1,757 ha of oil palm had been replanted in the year to date as at May 22, 2013-- Rice planted in October 2012 and harvested in April 2013 demonstrated commercial yields-- Q1 2013 production shortfall recovered since quarter end-- Appointment of new Managing Director of Palm Oil division
Bill Dry, CEO of Feronia Inc. commented: "Whilst the low volumes of CPO we currently produce and soft global CPO pricing continue to have an impact on Feronia in the short term, the future value of the Company will come from its new plantings. The addition of the African Agriculture Fund as a significant investor in Feronia is a major endorsement of our long-term vision from one of the continent's most sophisticated investors who are an active supporter of management's efforts to achieve our business objectives and create value for shareholders."
About Feronia Inc.
-- Feronia operates large-scale commercial oil palm plantations and has commenced an arable farming operation in the Democratic Republic of the Congo (the "DRC").-- The Company, through its subsidiaries, holds concessions on land which is owned by the DRC government and on which its oil palm plantation and farming operations take place.-- The Company uses modern agricultural practices to operate and develop its oil palm plantations and arable farming. Feronia believes in the immense agricultural potential of the DRC for high-quality edible oils, oil derivatives and foodstuffs given the suitability of its climate and soil and the availability of a skilled workforce.-- The Company's management team is comprised of experienced business administrators and senior agriculturalists with extensive experience in managing both plantations and large-scale mechanized farming operations in emerging markets.-- Feronia is committed to sustainable agriculture, environmental protection and providing jobs and economic growth for local communities.-- For more information please see www.feronia.com.