An Established Vertically Integrated Palm Oil Production Company, Cote d Ivoire

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1 An Established Vertically Integrated Palm Oil Production Company, Cote d Ivoire NURSERY PLANTED LAND 60T/HR MILL SMALLHOLDER PRODUCTION EXPANSION LAND Investor Presentation July AIM:DKL

2 OVERVIEW An AIM quoted palm oil developer 51% ownership of Ivory Coast palm oil project Producing revenues from its 60 t/hr mill, which is one of West Africa s largest Strategy to expand the Company s existing plantation assets with the objective of becoming a leading West African CPO producer Demand for palm oil estimated to double by 2020 Likely to attract interest from south east asian palm oil giants Production from 60 t/hr Mill 5,000 Smallholders Providing FFB 2,000 ha of Planted Estates 1m plants pa Nursery 26,000 ha Expansion Land Vertically Integrated

3 MILESTONES SINCE LISTING AIM listing Arrival of Mill on site Commenced construction Award of Effluent Treatment Plant contract Operations team recruited Software implementation 1 st off take Mill Operational Nubuke Investment 2 nd off take First production First CPO Sales First hub site First quarterly production Improvement of extraction rate Second hub site Mar 2013 Apr-Jun 2013 Jul-Dec 2013 Feb 2014 Mar-Apr 2014 Jun 2014

4 ASSETS WELL POSITIONED IN COTE D IVOIRE Advantageous location and existing infrastructure Existing operations are located in Ayanouan, 2hrs from Abidjan s port Expansion land is located in Guitry, 4hrs from Abidjan s port Guitry Existing 27,000 ha smallholders c.1,900 ha company plantations 60t/h mill 1M plants Nursery Good road links to the port and to Ghana Expansion Plan 24,000 ha for plantations 60t/h mill New Nursery (subject to funding) Ayanouan

5 DEVELOPMENT STRATEGY Increase production as quickly as possible from the first project and fast track development of Guitry project CURRENT Produce 16,000-20,000 tons of CPO in 2014 Proof of logistics solution from smallholders Implementation of ERP system Diversification of offtake partner base IMMEDIATE, SUBJECT TO FUNDING (1-2 Years) Develop a further 3,000 to 5,000 ha of company plantations in close proximity to the first mill and increase yields of smallholders plantations Construct a palm kernel oil crushing facility Commence operations at 24,000ha Guitry including new nursery and 1,000ha of estates Finalise first land acquisition in Ghana of 10,000ha MEDIUM TO LONG TERM (2-5 Years) Expand planting at Guitry and construct second 60tphr palm oil mill Commence first nursery and pilot planting in Ghana Review new projects in Cote d Ivoire and bordering countries

6 GLOBAL PALM OIL MARKET & CORPORATE ACTIVITY Palm oil is the most widely used edible oil in the world Demand estimated to double by 2020 Supply side limited by lack of land availability in traditional growth zones in Malaysia and Indonesia Palm Oil 000t Production Consumption Balance Benin (75) Cote d'ivoire Ghana (40) Guinea (25) Liberia (19) Nigeria (390) Sierra Leone (8) Togo 7 90 (83) Note: Data for ECOWAS palm oil producing countries, as of 2011 Source: USDA, 2012 RECENT CORPORATE ACTIVITY IN WEST AFRICAN PALM OIL SECTOR: A SNAPSHOT International palm oil majors currently entering or expanding in West Africa to address lack of land in Malaysia and Indonesia Worlds three largest palm oil companies; Wilmar, Sime Darby and Golden Agri have entered West Africa KLK, one of the leading global plantation companies, has acquired a 63% interest in Liberian-based Equatorial Palm Oil at a significant premium to DekelOil DekelOil is currently one of the only established, palm oil developers with contiguous land not in partnership with a major asian palm oil company

7 COTE D IVOIRE: AN IDEAL ENVIRONMENT Cote d Ivoire has a well established palm oil industry with an estimated 250,000ha of palm oil plantations Modern infrastructure: land, sea (largest port in West Africa), air, electricity and communication The Directors believe the market is relatively fragmented with potential acquisition opportunities Company No. of Mills Hectares Annual tons FFB Palm Oil production Highly dominant agriculture industry: Existing agriculture workforce Existing commodity trading infrastructure The world's largest producer and exporter of cocoa beans and significant producer and exporter of coffee and palm oil PalmCI (SIFCA, Wilmar & Olam) SIPEFCI Palm Afrique SOGB 12 39,000 1,107, , , ,083 56, , ,200 59, , ,000 22,000 Economy grew by 8.7% in 2013 (source IMF official figures not yet available) 17 63,176 1,776, ,818

8 AYANOUAN HOME TO ONE OF WEST AFRICA S LARGEST MILLS 60 ton/hour mill, largest in West Africa, now operational as at March 2014 Total Mill site size - c.14 hectare, mill floor base - c.9,000 s.q.m. Smallholder fruit delivery DKL pays price proportionate to CPO price At full capacity, the Mill can produce 75,000 tons of CPO (potential revenue of $US64m at palm oil price of $US850/tn) An effluent treatment plant ( ETP ) is being built leading provider KIS Group Completed recruitment of all Mill operational management and the operational team, including the Mill manager, the Mill maintenance manager and Shift Managers Simple CPO Processing Methods

9 MILL SITE POST CONSTRUCTION

10 LOGISTICS: RUNNING SMOOTHLY Developing an effective logistics network to ensure timely delivery of fresh fruit bunches ('FFB') to the Mill via Collection Points The recruitment of logistics zone managers has been completed to coordinate the delivery of fruits to the collection points and Mill Undertaking detailed planning with local cooperatives to enable the adequate and efficient delivery of feedstock from local smallholders to the Mill The first two Collection Points now operational providing multiple drop-off points for smallholders and manages congestion as trucks make deliveries for processing The reception area at the Mill has been designed to be twice the size of those at traditional 60 tph mills for efficiency purposes Contract signed with a subcontractor to transport fruits from the Logistics Collection Points to the Mill

11 FIRST MILL FEEDSTOCK Small Holder Estates Contracts with over 5,000 small holders over 27,000 ha of existing plantations Estimated annual yields from small holders of 8-12 tns/h of Fresh Fruit Bunch Company Estates 1,900 ha planted to date at Ayanouan, partly yielding Costs to maturity: US$2,000/ha to US$2,700/ha, lower than West African competitors Mature plantations in Côte d Ivoire have a peak yield of 20-24t

12 PRODUCTION AND SALES Month/s CPO Production (t) Kernel Production (t) FFB Processed (t) Extraction Rate (%) CPO Sales ( t) Average Sales Price (US$) March 1, , April - June 5,943 1,077 24, , Total 7,550 1,266 32,827 5,559 AIPH Pricing achieved base on CIF Rotterdam CPO price Operating profitability achieved in the Company s first full month of operations Three off take agreements in place, all with local refineries By selling the CPO locally, the Company benefits from reduced transportation, insurance and marketing costs

13 INCREASING FFB STRATEGIES Agreements with large farmers Performance Bonus system (discount on fertilizer and plants, Free EFB) Local PR Village to Village Appointed extensive supervisor network Natural Improvement Full year operation - improved payment system Increased local awareness Confidence in operations Additional Hub Sites Step 1 Step 2 Step 3 Step 4 Step5 Step 6

14 FIRST MILL ECONOMICS AT MATURITY Description Calculation FFB Received 350,000 CPO Produced Extraction Rate 23% Pricing $US900/tn $US72.5m Kernels Produced Extraction Rate 5% Pricing $US250/tn $US4.5m Total Revenue $US77m EBITDA Margin Mid point 28% $US21.5m Interest Expense 10.5% on $US20m $2.1m Tax 13 year zero tax exemption nil Net Profit After Tax $US19.0m DekelOil Public Share 51% Share 9.7m

15 EXCELLENT VALUE IN COMPARISON TO PEERS Name Market Capital ( m) Asset Ownership (%) Planted Hectares (Ha) Small holder FFB Crude Palm Oil Production ( 000) Mill Production (Tonnes) 2014e 2015e 2016e Asian Plantation % 13, , Equatorial Palm Oil Palmci DekelOil Public Ltd % 1,400 10, % 39, , % 1, ,

16 BOARD OF DIRECTORS Andrew Tillery Non Executive Chairman Youval Rasin Chief Executive Officer Shai Kol Chief Financial Officer Lincoln Moore Executive Director Richard Amon Non Executive Director 25 years operational management and private equity experience in Africa and other emerging markets including 10 years as a CEO in Cote d'ivoire, West Africa where he had responsibility for managing a group of oil palm operations and founded a natural rubber business. Holds two Masters degrees from Oxford University, an MBA from the University of Chicago. Currently a Non executive director on 3 African agribusiness boards and adviser to several agribusiness investment funds in sub-saharan Africa Founder of DekelOil and has held senior management positions in various companies within the Rina Group, a family holding company with interests in agriculture, mining, hotels etc. Qualified lawyer and active in Ivory Coast since 2002 with 7 years experience in agro-industrial projects including 5 years in the Palm Oil Industry. Co-Founder of DekelOil. CPA & MBA graduate. 13 years work experience in finance, with significant business & international exposure. former KPMG corporate finance. Financial director for an international software company, Director of finance and business development for Yellow Pages leading fund raising and M&A activities. For the past 5 years Lincoln has been active in the West African oil palm industry in Liberia and Sierra Leone including establishing and raising finance for palm oil developments. Former CFO of Sierra Leone Agriculture Ltd and former executive director of AIM listed Northcote Energy Ltd. Chartered Accountant and former senior manager at Deloitte and Touche. Richard Amon is an Ivorian national and member of the Royal family of Abengorou, part of the Agny which is one of the largest ethnic group in Cote D Voire. Mr Amon is a former Notary and is a co-founder of DekelOil. Mr Amon s key role is to assist with relations with the community, small holders, co-operatives, in addition to government relations. Mr Amon holds a law degree from Montpellier University, France.

17 SOCIAL AND ENVIRONMENTAL RSPO member and certification process to commence shortly Majority of planting over previously cultivated areas Planting in partnership with local communities Palm Oil effluent treatment plant under construction completion in 2014 All environmental permits in place Employ over 300 staff majority local management Small holder initiatives in place Various local community projects in place

18 INVESTMENT SUMMARY Production Revenues and operating profitability achieved from production at palm oil mill in Cote d Ivoire Good mill performance high extraction rate. Three local Off-take agreements to diversify sales outlets Expansion Location Ramping up production at Ayanouan in 2015 Plans to expand company owned planted land at both project areas to become a leading West African CPO producer Continued assessment of synergistic project opportunities in Cote d Ivoire and region Cote d Ivoire is a leading palm oil and agricultural producer in West Africa suitable infrastructure West African palm oil projects in strong demand by majors looking to expand production outside of Malaysia and Indonesia Asset Backed 51% interest in one of West Africa s largest CPO mills 28,000 hectares of brownfield land in Cote d Ivoire 2,000 ha of which is already planted World-class nursery producing world-class plants Support Ayanouan is under a 51:49 JV with Indian conglomerate The Siva Group Increased institutional representation across shareholder register Government support by way of 13 year tax relief across operations

19 CONTACTS DEKELOIL Youval Rasin Chief Executive Officer Mob: Lincoln Moore Executive Director Mob: Nplus1 Singer Andrew Craig Tel: +44 (0) St Brides Media Elisabeth Cowell/Frank Buhagiar Tel: +44 (0)