🕐22.05.13 - 16:54 Uhr

OPTIVA INITIATION OF COVERAGE ON DEKELOIL - BUY & TP OF 1.63% - 66% UPSIDE -
NEAR TERM PRODUCTION TO TRANSFORM DEKELOIL INTO CASH COW



Hi there Optiva Securities has initiated coverage on DekelOil Limited, the West African focussed palm oil developer with a Q4 2013 production target, with a BUY rating and a target price of 1.63p.

The share price is currently trading at 0.98p which represents an excellent 66% increase on the current price. House analyst Jason Robertson said: "As it takes at least four years before a palm oil plant generates its first yield, for many palm oil companies the path from development to full production is typically lengthy being six to eight years.

DekelOils route to production in Cote DIvoire is considerably shorter, as it will be sourcing the crop from existing palm oil smallholder plantations covering 27,000 hectares, which will then be processed at a mill that is currently under construction.

We believe many investors have yet to realise that DekelOil is just eight months away from commencing the generation of sustainable revenues and sizeable cash flows." The full note is attached but do let me know if you would like to have a chat with the management and Id be happy to arrange. Best Lizzie [cid:image001.png@01CE56FF.EF09A900]






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