Methods for Palm Oil & CPO Business Acquisitions Based upon my personal experience in oil palm and CPO business management, investors looking to acquire an oil palm plantation and/or CPO mill need to consider the following factors seriously:

A. Plantations

Plantations are graded by the quality of land contours, soil quality, ground water quality, soil pH level such that there are Grade A, B, C and D plantations. Each block should have its own profile card indicating, among others, type and certification of oil palm or tree, source of tree purchase, tree age, frequency and amount of annual fertilizer application by tree, type of fertilizer applied. In addition, all government permits for oil palm plantations such as the regent's site permit and/or recommendation, commercial plantation business and other relevant permits must be obtained.

B. Mills

The grade of a mill varies by the make, grade, sophistication and remaining useful life of its machinery and equipment, maintenance frequency, experienced personnel and their qualifications, in addition to mill site, construction, environmental and other government permits. The Indonesian government requires all CPO mills to conduct a feasibility study involving environmental impact analysis, with the results being called the Environmental Management Plan and the Environmental Monitoring Plan. These plans must be approved by the office of the State Minister of the Environment for the district concerned. If ground water is used to feed boilers and other machinery and equipment, the relevant permit must be obtained.

Note: A summary business proposal of eight pages, including the details of financial requirements, at an upfront cost of USD 500, is available to interested investors by sending a request to Mr Tjan at email: indrasonny@tjansietek.com, stating your full personal and company names and particulars. Please include your company profile or brochure where possible.