Kencana
 
   
 
Kencana
Kencana Tower,
Jakarta - Indonesia
Corporate Profile

Listed on the Singapore Exchange on 25 July 2008, Kencana Agri Limited ("Kencana" or "the Group") is a plantation company engaged mainly in the cultivation of oil palms; processing of Fresh Fruit Bunches ("FFB") into Crude Palm Oil ("CPO"), Crude Palm Kernel Oil ("CPKO") and Palm Kernel Cake ("PKC"), refining of CPO and provision of bulking, port and logistics services.

Kencana's oil palm plantations are located mainly in Sumatra, Kalimantan and Sulawesi regions of Indonesia. Since its inception in 1996, the Group's planted area has grown rapidly to about 66,000 ha in 2013. The Group currently has four palm oil mills with total processing capacity of 210 tonnes per hour and two kernel crushing plants with capacity of 435 tonnes per day.

The Group currently has a relatively young palm profile with significant potential for production growth in the coming years as its palms continue to mature and reach peak production.

Of its current land-bank, only 34% is planted. The Group aims to continue to expand its planted area in a sustainable manner over the next few years to ensure steady FFB production growth.

To fully leverage and maximise the value chain of its plantation assets and logistics services, the Group together with Louis Dreyfus Commodities has built an integrated palm oil complex in Balikpapan - comprising a palm oil refinery, bulking terminal and a deep sea port.

Kencana is committed to growing its plantation business in a sustainable - ecologically and socially acceptable manner. It has adopted environmentally friendly practices in its plantation development such as zero-burning and zero-waste management and is a member of the Roundtable on Sustainable Palm Oil ("RSPO") through its subsidiary PT Sawindo Kencana.

It also sells "green" electricity to the state-owned electricity company PT Perushaan Listrik Negara ("PLN") and has signed an Emissions Reduction Purchase Agreement ("ERPA") with the Danish Ministry of Climate and Energy to sell Certified Emission Reduction ("CER") credits from its renewal biomass power plant in Bangka island.

Kencana is also committed to working with and improving the social and economic welfare of the local communities through its plasma and corporate social responsibility programmes. 

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Kencana