Mills

The Group operates mills in North Sumatra, East Kalimantan and Bangka in which it processes all of its crop produced in these regions. In addition, fresh fruit bunches produced at its Simpang Kiri estate in Aceh are processed at a third-party mill under a tolling contract. Fresh fruit bunches harvested at PT BMA are processed on a neighbouring estate. Crop from its 38%-owned Kerasaan Estate, is processed in a neighbouring mill owned by the SIPEF group, the majority owner of the estate. A further three mills will be built as soon as the crops on our existing and newly-acquired plantations warrant it.

Our mills are operated to the highest standards and produce very high levels of crude palm oil from the fruit they process. This oil extraction rate is less than 20% for the industry as a whole. We produce on average 23.6%, with levels of up to 26% in our newer mills.

Average oil-extraction rate, 2016
(Per cent)

Source: Company data

Summary information about how all of the Group's fresh fruit bunches are processed is given in the tables below:

PANGKATAN MILL   
OVERVIEW Operated by M.P. Evans Group
  GPS location 02° 06' 44"(N), 99° 56' 44"(E)
  Group companies supplying mill Pangkatan, Bilah, Sennah
  Group smallholder co-operative scheme No
  Third party smallholder fruit Yes
OUTPUT

2017 production (t):

CPO
PK
39,800
9,800
  of which: RSPO certified

CPO
PK
37,200
9,100
  hence: RSPO %

CPO
PK
93%
93%
METHANE CAPTURE Methane capture No
  Biogas generation N/A
CERTIFICATION RSPO Yes First certified: Oct 2012
  ISCC Yes First certified: Aug 2014
  ISPO Yes First certified: Jan 2014
BUMI PERMAI MILL   
OVERVIEW Operated by M.P. Evans Group
  GPS location 00° 17' 44.84"(S), 116° 45' 39.65"(E)
  Group companies supplying mill Prima Mitrajaya
Mandiri, Teguh
Jayaprima Abadi
  Group smallholder co-operative scheme Yes
  Third party smallholder fruit Yes
OUTPUT

2017 production (t):

CPO
PK
55,600
10,100
  of which: RSPO certified

CPO
PK
51,900
9,400
  hence: RSPO %

CPO
PK
93%
93%
METHANE CAPTURE Methane capture Yes
  Biogas generation Yes
CERTIFICATION RSPO Yes First certified: Jun 2014
  ISCC Yes First certified: Jul 2016
  ISPO Yes First certified: Apr 2017
TENGKALAT MILL   
OVERVIEW Operated by M.P. Evans Group
  GPS location 01° 37' 18.44"(S), 105° 59' 18.39"(E)
  Group companies supplying mill Gunung Pelawan
Lestari
  Group smallholder co-operative scheme Yes
  Third party smallholder fruit Yes
OUTPUT

2017 production (t):

CPO
PK
50,000
11,700
  of which: RSPO certified

CPO
PK
2,700
600
  hence: RSPO %

CPO
PK
5%
5%
METHANE CAPTURE Methane capture Yes
  Biogas generation Yes
CERTIFICATION RSPO Yes First certified: Nov 2017
  ISCC No Expected 2018
  ISPO No Expected 2018
PATI SARI MILL   
OVERVIEW Operated by Third party
  GPS location 04° 05' 18.7"(N), 97° 57' 39.3"(E)
  Group companies supplying mill Simpang Kiri
  Group smallholder co-operative scheme No
  Third party smallholder fruit N/A
OUTPUT

2016 production (t):

CPO
PK
8,300
1,800
  of which: RSPO certified

CPO
PK
-
-
  hence: RSPO %

CPO
PK
0%
0%
METHANE CAPTURE Methane capture No
  Biogas generation N/A
CERTIFICATION RSPO No N/A
  ISCC No N/A
  ISPO Yes First certified: Jul 2016
BUKIT MARADJA MILL   
OVERVIEW Operated by SIPEF Group
  GPS location 03° 00' 44.26"(N), 99° 14' 08.06"(E)
  Group companies supplying mill Kerasaan
  Group smallholder co-operative scheme No
  Third party smallholder fruit No
OUTPUT

2016 production (t):

CPO
PK
23,000
5,400
  of which: RSPO certified

CPO
PK
23,000
5,400
  hence: RSPO %

CPO
PK
100%
100%
METHANE CAPTURE Methane capture Yes
  Biogas generation No
CERTIFICATION RSPO Yes First certified: May 2010
  ISCC No First certified: Jan 2011
  ISPO Yes First certified: Jul 2016

 

The Group's objective is that all its mills achieve RSPO certification within 18 months of commencing operation. The Group began accreditation for the Pangkatan mill as soon as it took over direct management of this operation in January 2010. The first Kalimantan mill was accredited in 2014; the Bangka mill began the process of accreditation as soon as it was commissioned in May 2016, and received its accreditation in November 2017. All the Group's estates, including the smallholder co-operatives attached to the Group's new projects, are covered by this accreditation.

Indonesian Sustainable Palm Oil (“ISPO”) certification, mandatory in Indonesia, is similar in most respects to those of the RSPO. Pangkatan Mill was ISPO certified in early 2014 and Bumi Permai Mill in early 2017; the Tengkalat Mill in Bangka is in the final stages of the audit and accreditation process.