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Deal #3074 Version #58583

Nigeria

Created at

2013-02-22

Last update

2015-07-23

Last full update

2023-03-24

Land area

Intended size

50 000 ha

Size under contract (leased or purchased area)

[2012, current] 29964.0 ha
[2011] 19173.0 ha

Comment on land area

Initial plantations include Biase, Ibiae, and Calaro- totaling 19173 hectares. Additional plantations at Eyop, Kwa Falls, and Oban (all part of the Obasanjo concessions totaling 10791 hectares). Cross River State Government is reported to be identifying lands for the company's expansion in the area. Some reports state that the intended size is 100 000hectares while others state that the intended size is 50 000hectares. Friends of the Earth report states that the intended size is hundreds of thousands of hectares.

Intention of investment

[current] Agriculture unspecified

Comment on intention of investment

Oil palm for multiple uses. One report states that the company was illegally selling the logs from clearing the land.

Nature of the deal

Lease

Negotiation status

[2011, current] Concluded (Contract signed)

Comment on negotiation status

During a recent privatization round, the company won bids for 3 plantations. The company has committed to spend $650m into oil palm plantation estate including mills and refining facilities. The company acquired the Obasanjo concession in 2012. The company only conducted the social impact assessment in 2012.

Implementation status

[2011] Startup phase (no production)
[current] In operation (production)

Comment on implementation status

Land clearing commenced in 2011. RSPO has requested the company to halt all activities until it has complied with its regulations

Contract farming

Yes

Not on leased / purchased (out-grower)

Yes

Comment on contract farming

The company is looking into a smallholder scheme.