27/09/2012 (Stock Market Wire) - Asian Plantations (LSE: PALM), a palm oil plantation company with operations in Malaysia, sold 391% more fresh fruit bunches (FFB) in the six month period ended 30 June 2012, compared to the same period last year.

In May it issued of nine and ten year maturity bonds totalling around $32.5m further strengthening the company's capital structure.

Its total assets were $175.2m at the end of the period, compared with $112.6m at 31 December 2011;

Tan Sri Datuk Linggi, Non-Executive Chairman of APL, commented: "We are now into our fifth year of significant investment and land development. Three of our four estates are now revenue producing.

"Next year, all four of our estates will be generating revenue. We expect to finish calendar year 2012 with approximately 20,000 tonnes of FFB produced rising to approximately 55,000 tonnes produced in 2013. We expect FFB production to rise consistently each year over the next decade as the estates mature.

"Our state-of-the-art vertical steriliser crushing mill is scheduled to be operational in December of this year. 2012 will be our last year of selling FFB, as in January 2013, we will be delivering Crude Palm Oil (CPO) to the Bintulu refineries. We have also been approached by other independent palm oil estates seeking to sell their FFB output to our mill, which would further enhance our mill's production volumes in 2013 and 2014.

"As at end June 2012, we had 11,049 hectares planted (excluding roads and common areas) compared with year-end 2011 which saw the company finish the year with 9,322 hectares planted. We currently have sufficient seedlings maturing and contractors on-site, which gives me the confidence that we will finish this year with 14,200 hectares planted.

"I believe that there is an increasing scarcity for Malaysian titled land, a relative tightness in global edible oil inventories and rising global awareness about the importance of palm oil in the global food supply chain.

"Coupling these trends with a healthy edible oil price environment, the Board believes that its strategy of assembling properly titled, land parcels in Malaysia, an investment grade rated country, will generate substantial value for the company's shareholders and I look forward to providing shareholders with further updates regarding our progress during the remainder of the calendar year."