Mills

The Group operates six mills in North Sumatra, East Kalimantan and Bangka in which it processes its crop. In addition, fresh fruit bunches produced at its Musi Rawas and Simpang Kiri estates are processed in local third-party mills.

All the plantations are held on long-term renewable leases. All agricultural land in Indonesia is owned by the government and leased out; this is the same for Indonesian citizens and companies as it is for foreign companies such as M.P. Evans. We have held our oldest estates on this basis since the 1960’s when this legal framework was introduced.

The extent of new development and replanting in our older estates means our palms are on average still relatively young. This is important as the yield from a new planting increases very steeply in the early years of its life before reaching a peak when the palm is about ten years old. The young age of its palms means the Group can anticipate very strongly increasing crops well into the 2020’s as its palms mature. The Group’s average annual crop growth in the last decade has been 12%.

TGM Mill
Average oil-extraction rate, 2022
(Per cent)
Average Oil Extraction Rate Chart

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: Yes
Third party smallholder fruit: Yes
Output
2022 production (t): CPO 53,301
PK 12,147
of which: RSPO certified CPO 44,285
PK 10,099
hence: RSPO % CPO 83%
PK 83%
Methane capture
Methane capture No
Biogas generation No
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, Tegu Jayaprima Abadi
Group smallholder co-operative scheme: Yes
Third party smallholder fruit: Yes
Output
2022 production (t): CPO 70,835
PK 15,555
of which: RSPO certified CPO 68,028
PK 14,958
hence: RSPO % CPO 96%
PK 96%
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
2022 production (t): CPO 75,089
PK 18,452
of which: RSPO certified CPO 60,707
PK 14,881
hence: RSPO % CPO 81%
PK 81%
Methane capture
Methane capture Yes
Biogas generation Yes
Certification
RSPO Yes First certified: Nov 2017
ISCC Yes First certified: Nov 2020
ISPO Yes First certified: Aug 2019
Rahayu mill
Overview
Operated by: M.P. Evans Group
GPS location: 00° 12′ 7.100″S, 116° 46′ 28.500″ E
Group companies supplying mill: Prima Mitrajaya Mandiri, Teguh Jayaprima Abadi
Group smallholder co-operative scheme: Yes
Third party smallholder fruit: Yes
Output
2022 production (t): CPO 41,984
PK 8,273
of which: RSPO certified CPO 1,628
PK 302
hence: RSPO % CPO 4%
PK 4%
Methane capture
Methane capture Yes
Biogas generation No
Certification
RSPO Yes First certified: Jun 2022
ISCC Yes First certified: Aug 2022
ISPO Expected 2023
Benuang mill – Commissioned 22 July 2021
Overview
Operated by: M.P. Evans Group
GPS location: 00° 53′ 12.9714″ N, 118° 24′ 6.21648″ E
Group companies supplying mill: Bumi Mas Agro
Group smallholder co-operative scheme: Yes
Third party smallholder fruit: Yes
Output
2022 production (t): CPO 56,167
PK 9,616
of which: RSPO certified CPO N/A
PK N/A
hence: RSPO % CPO N/A
PK N/A
Methane capture
Methane capture Yes
Biogas generation Yes
Certification
RSPO Expected 2023
ISCC Yes First certified: Jan 2022
ISPO Yes First certified: Mar 2019
Bukit Mas mill
Overview
Operated by: PT Anugerah Langkat Makmur
GPS location: 04° 00′ 46.5″ N, 98° 11′ 40.5″ E
Group companies supplying mill: Simpang Kiri
Group smallholder co-operative scheme: No
Third party smallholder fruit: Yes
Output
2022 production (t): CPO 33,406
PK 6,013
of which: RSPO certified CPO N/A
PK N/A
hence: RSPO % CPO N/A
PK N/A
Methane capture
Methane capture No
Biogas generation No
Certification
RSPO N/A N/A
ISCC N/A N/A
ISPO Yes First certified: Jul 2018
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
2022 production (t): CPO 28,129
PK 5,836
of which: RSPO certified CPO 28,129
PK 5,836
hence: RSPO % CPO 100%
PK 100%
Methane capture
Methane capture Yes
Biogas generation No
Certification
RSPO Yes First certified: May 2010
ISCC Yes First certified: Oct 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 was certified in August 2019.

Updated March 2023

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