Media Contact: Obi Emekekwue (oemekekwue@afreximbank.com; Tel. +202-2456-4238; Mobile +2010-2086-6222)
Cairo, 13 February 2013 – Liberian Palm Developments Ltd., the joint venture between Equatorial Palm Oil of the United Kingdom and BioPalm Energy, Ltd., a subsidiary of Singapore-based Siva Group Incorporated, has appointed the African Export-Import Bank (Afreximbank) as advisor to help it secure the $140 million financing facility for its Palm Bay project located near Liberia’s deepwater port of Buchanan.
According to the mandate signed today in London, the Palm Bay project will involve large scale land preparation and planting of oil palms and will signify the progress and development by Liberian Palm Developments Ltd. in the implementation of its strategy to become a leading West African palm oil producer.
As financial advisor, Afreximbank will identify and approach suitable financiers to support the facility which will fund the project. Michael Frayne, Chairman of Equatorial Palm Oil, said that “the appointment of African Export-Import Bank is an important milestone for the company and a significant step up for us in becoming a leading palm oil producer in West Africa. The financing will provide the capital needed to support our long term planting programme with cash flow for the project. It will also have a positive impact on the local economy; directly benefiting the people of Liberia. The appointment of Afreximbank signifies the substantial progression LPD has made in developing from an early stage project to becoming a substantial business, both within the local economy and as an International palm oil player.”
“This collaboration with Liberian Palm Developments offers an exciting opportunity for trade development in a region enjoying political stability and favourable conditions for oil palm cultivation. The project will have a significant positive social impact on the local communities,” said Dr. Benedict Oramah, Executive Vice-President, Business Development and Corporate Banking, of Afreximbank. “The social and economic objectives of Liberian Palm Developments are in line with those of the African Export-Import Bank and we look forward to developing our relationship further as the company works towards delivering its long term growth objectives.”
Equatorial Palm Oil Plc., a United Kingdom publicly-listed crude palm oil producer with palm oil estates in Liberia, was founded in 2005 and is focused on becoming a global, sustainable producer of high quality palm oil for regional and international markets. BioPalm Energy, Ltd., its 50:50 joint venture partner in Liberian Palm Developments Ltd., is a subsidiary of the Siva Group, which invests in oil palm projects around the world.
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About Afreximbank:
The African Export Import Bank was established in October 1993 by African governments, African private and institutional investors, and non-African investors to finance and promote intra-African and extra-African trade. Its two basic constitutive documents are the Establishment Agreement, which gives it the status of an international organization, and the Charter, which governs its corporate structure and operations. AFREXIMBANK is headquartered in Cairo. For more information, visit: www.afreximbank.com