30,000 tpa Raw Cashew Nut Processing Project

Located in Tiebissou, Côte d'Ivoire

On the 26th June 2018, we announced to the market that we had secured an option to take a major stake in Pearlside Holdings Ltd where its wholly owned subsidiary Capro CI SA is developing a raw cashew nut processing business at Tiebissou in Côte d'Ivoire, which includes the construction of a large-scale 30,000 tpa RCN processing plant.

Highlights of the Project
• Tiebissou is located in the heart of Côte d'Ivoire's cashew producing region and three hours from the port of Abidjan
• Similar collaborative model to DekelOil's producing palm oil project at Ayenouan including a state-of-the-art plant which will process RCNs grown by local smallholders
• Phase 1 - construction of plant with an initial capacity to process 10,000tpa of RCNs produced by smallholders and in time, a cashew nut shell liquid ('CNSL') processing facility is also under consideration
• First production at 6ha site in Tiebissou targeted Q3-2019
• Development capital and turnkey contract with leading manufacturer are close to completion
• Phase 2 - increase capacity to 30,000tpa over five years which is expected to be funded from operating cash flows

DekelOil has an option to acquire a 43.8% stake in the project and an option to increase our interest to 20.5%
The Tiebissou cashew processing project is on course to become DekelOil's second operational project by early 2020, alongside its palm oil project at Ayenouan, Cote d'Ivoire.

The project is advancing positively with the award of the civil works contract for the development of the project announced to the market on the 19th November 2018