FUTURE INVESTMENTS
Increase Production
By increasing the planted area and improving yield per unit area using modern planting materials, total production will increase. Presco plans to plant and replant a total of 2,000 hectares between 2005 and 2010 at Obaretin and Cowan Estates. Furthermore an important concession has been acquired, i.e. Ologbo Estate (see expansion map), which will allow Presco to plant a further 7,000 hectares.
|
|
|
|
Increase Processing Capacity
In order to be able to efficiently process the increased production Presco has started a programme to increase the processing capacity of the palm oil mill from 24 to 40 tonnes per hour. This investment includes a second weighbridge, a third steriliser and more fruit cages, two further presses and associated equipment, a new clarification station, a new boiler and a steam turbine. The programme, which is already in progress, will be completed in 2008.
Increase Refining / Fractionation Capacity
In 2003 Presco increased its refinery/fractionation capacity to 75 tonnes per day. This was needed to cope with increased production from the plantation, and increasing demand from customers. A further increase to 100 tonnes per day is planned for 2009.
Improvement of Storage and Loading
Presco will modernise the existing tank farm and loading area to cope with increased production and sales.
Fractionation of PKO
In line with Presco's goals, we intend to commence the fractionation of palm kernel oil, a speciality product used in the food industry for the production of waffle cream.
Improvement of Agricultural Equipment
In the plantation Presco uses a novel system of fruit collection that greatly reduces collection costs. The system consists of a tipping truck mechanism that reduces the fruit collection turnaround time. Presco will continue to equip itself with a similar truck-container system for use on its estates.
The company has over 400 km of plantation roads that require regular maintenance to ensure that the crop can be efficiently brought to the mill. To do this Presco operates its own fleet of heavy equipment (loaders, graders, bulldozers), which is routinely upgraded. The same equipment is used for land preparation and building works.
Transport and Workshops
Transport and workshop operations are critical to a company that is moving 90,000 tonnes of fruit, shipping 20,000 tonnes of products and moving thousands of tonnes of materials (fertiliser, cement, sand, fuel, etc). Presco, therefore, continues to invest in its fleet and workshops.
|
|
|
Buildings, Furniture, Fittings and Others
Suitable accommodation and social facilities (clinics, primary school and market, as well as a clubhouse and swimming pool) for staff are part of Presco's investment programme. To improve administration efficiency, Presco will continue to invest in modern office equipment and training of employees.
Management Tools
Presco is renewing its enterprise software with an enterprise resource planning (ERP) system. The ERP system will increase the accuracy and timeliness of internal and external reporting, which in turn will to improve decision making. It is also expected that the system will decrease overhead costs and increase productivity.