DECA

Operations Update

RNS Number : 3118J
Agriterra Ltd
29 June 2011
 



Agriterra Ltd / Ticker: AGTA / Index: AIM / Sector: Agriculture

29 June 2011

Agriterra Ltd ('Agriterra' or 'the Company')

Operations Update

 

Agriterra Ltd, the AIM listed company focussed on the agricultural sector in central and southern Africa, is pleased to announce record trading from its maize farming and milling facilities and continued growth at the Company's cattle ranching operations in Mozambique.  

 

Overview

 

·    Record maize sales achieved from DECA and Compagri for the year ended 31 May 2011 - total sales increased by 55% on the previous year to US$13.6 million (2010: US$8.8 million)

·    Total combined sales of meal from both facilities of 28,822 tonnes for the year ended 31 May 2011, an increase of 56% on previous full year (2010: 18,496 tonnes)

·    Compagri facility performing encouragingly in the export market

·    2011/12 buying season off to a strong start with more than 17,000 tonnes purchased to date

·    22,000 tonnes of maize currently in stock across both facilities

·    Mozbife cattle ranching operations achieving rapid growth - herd stood at over 1,445 head as of 31 May 2011 across 15,000 hectare Dombe and 1,000 hectare Mavonde ranches

·    Initial revenues generated from beef sales with average price per carcass of US$768 achieved

·    Commissioned construction of abattoir at Chimoio - designed to have initial throughput of 300 head of cattle and 1,200 goats per day

 

Agriterra Executive Director Euan Kay said, "The past 12 months have been a highly active period for Agriterra, and the momentum built through our grain processing operations continues to generate considerable revenues for the Company.  In addition to these established maize farming and milling operations, our growing cattle ranching business continues to grow rapidly and is now contributing maiden revenues for Agriterra.  Beef represents a high margin business for Agriterra, and we are committed to driving this division of the Company forward in order to enhance value for shareholders."

 

** ENDS **

 

For further information please visit www.agriterra-ltd.com or contact:

Andrew Groves

Agriterra Ltd

Tel: +44 (0) 20 7408 9200

Jonathan Wright

Seymour Pierce Ltd

Tel: +44 (0) 20 7107 8000

David Foreman

Seymour Pierce Ltd

Tel: +44 (0) 20 7107 8000

Robin Henshall

Matrix Corporate Capital LLP

Tel: +44 (0) 20 3206 7000

Hugo de Salis

St Brides Media & Finance Ltd

Tel: +44 (0) 20 7236 1177

Susie Geliher

St Brides Media & Finance Ltd

Tel: +44 (0) 20 7236 1177

 


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