Tomco Energy (TOM)

Sector:

Energy Producers

Index:

FTSE AIM All-Share

 0.028p
   
  • Change Today:
      0.000p
  • 52 Week High: 0.095p
  • 52 Week Low: 0.028p
  • Currency: UK Pounds
  • Shares Issued: 3,904.14m
  • Volume: 482,100
  • Market Cap: £1.07m
  • RiskGrade: 70

TomCo moving towards 2tph palm oil processing plant

By Josh White

Date: Friday 07 Oct 2016

LONDON (ShareCast) - (ShareCast News) - TomCo provided an update on the proposed palm oil milling operation in the Makeni oil palm belt in Sierra Leone on Friday.
The AIM-traded firm said that, following completion of the equity fundraise announced on 2 September, discussions have been ongoing with potential debt providers with regards to securing a debt facility to part fund and enable the company to commence procurement and construction of the initial one tonne per hour processing plant.

"Whilst discussions remain ongoing, the company has been considering the optimum development plan for the project, given it is the board's intention to seek to fund the majority of the project's capital expenditure from such debt financing," its board said in a statement.

As a result, TomCo is now considering proceeding directly to developing the 2tph palm oil production plant and associated packaging plant, with an expected aggregate capital cost of approximately $1.25m, rather than a phased ramp up from 1tph to 2tph.

"On securing the necessary debt funding, the company anticipates that it will take approximately six to nine months to commence commercial operations.

"The company proposes that the soap making plant will be brought on stream at a later date, with the estimated cost of $275,000 being funded from the anticipated early cash flow from the project."

TomCo said it has also decided to proceed with purchasing the boiler unit for the 2 tph plant at a cost of $27,500 from its engineering partner in India.

"This is largely due to the boiler being a long lead item, which takes approximately four months to construct.

"This shall be funded from the company's available cash reserves, which as at 3 October, was approximately £375,000."

Progress is also being made at the Makarie site despite the waterlogged nature of the ground following Sierra Leone's rainy season, the company reported.

Drainage ditches are currently being dug in order redirect any further water runoff from the main access road away from the site allowing work to recommence on clearing the site trees later this month.

"Other items of equipment and management personnel have already been sourced locally in Sierra Leone and site works will begin in earnest as soon as financing has been obtained."

TomCo said it has also held preliminary discussions with regards to a potential offshore offtake agreement, pursuant to which the company would seek to sell palm oil to the offtake partner at the factory gate for overseas exports.

"I'm delighted to see the progress being made regarding our palm oil project as we consider moving straight to the larger scale production plant which will result in an increased return on our investment. We look forward to updating the market going forward," said chairman Andrew Jones.

Email this article to a friend

or share it with one of these popular networks:


Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Tomco Energy Market Data

Currency UK Pounds
Share Price 0.028p
Change Today 0.000p
% Change 0.00 %
52 Week High 0.095p
52 Week Low 0.028p
Volume 482,100
Shares Issued 3,904.14m
Market Cap £1.07m
RiskGrade 70

Tomco Energy Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
51.34% above the market average51.34% above the market average51.34% above the market average51.34% above the market average51.34% above the market average
47.22% above the sector average47.22% above the sector average47.22% above the sector average47.22% above the sector average47.22% above the sector average
Price Trend
88.98% below the market average88.98% below the market average88.98% below the market average88.98% below the market average88.98% below the market average
79.49% below the sector average79.49% below the sector average79.49% below the sector average79.49% below the sector average79.49% below the sector average
Income Not Available
Growth Not Available

Tomco Energy Dividends

No dividends found

Trades for 31-Oct-2024

Time Volume / Share Price
11:02 470,000 @ 0.029p
08:12 4,100 @ 0.030p
08:12 8,000 @ 0.030p

Top of Page