Interim Dividend: Abdul Wahab (third left) hands over a mock cheque to Meripat (second left) while others look on.

21/12/2011 (Borneo Post) - Land Custody and Development Authority (LCDA) yesterday announced the disbursement of RM1.5 million interim dividends to 779 NCR landowners participating in an oil palm project in Sebungan, Bintulu.

According to LCDA general manager and chief executive officer of Pelita Holdings Sdn Bhd, Abdullah Chek Sahamat, the oil palm plantation was their first NCR land development project to declare real dividend to the participants.

“In normal oil palm plantation, the real dividend (net profit) could only be declared in the 10th year of operation,” he said

The RM40 million-project started eight years ago when Pelita and DD Plantation Sdn Bhd formed a joint venture company (DD Pelita Sebungan Plantations) to develop 10,000ha of NCR land under the new concept of NCR land development. To date, 4,343 ha have been planted with oil palm. An area of 4,117ha is already in production.

Abdullah said the dividend was a very good achievement and the participants were happy.

“What is clear here is that if we are sincere and do a good job, profit will eventually come. Today is a good example, not only to the participants (of the project) who also the investors.

“It is also proof that if everybody cooperates then everyone will gain,” he said before the signing ceremony of the Selepin Bakong NCR project and the disbursement of dividend.

He said the disbursement of the interim dividend amounting to RM1.5 million yesterday was only for the first half of the financial year 2011. Each landowner gets at least RM2,000. The final dividend would be declared in May next year.

Abdullah expected the dividend next year would be higher in tandem with the increase in production, which would be 90,000 metric tonnes as opposed to 50,000 metric tonnes this year.

“An oil palm mill will also be set up in Sebungan next year and I have recommended to the board of directors of LCDA that the participants of the project will also be given shares in the mill.

“The very interesting part is that the villagers only have to agree with the set up of the mill. They do not have to invest money or buy shares in the mill,” he said.

Abdullah hoped that their success in Sebungan would encourage landowners in Selepin Bakong to actively participate in the same project undertaken in their area.

Fourteen longhouses, made up of 356 families comprising 1,780 people from Selipin Bakong have requested the state government to develop their NCR land into an oil palm plantation.

The area was approved by the state task force for NCR land development in August 2008 to be developed under the new concept of NCR land development with a total area of 8,484ha. A JV company between LCDA subsidiary company Pelita Holdings Sdn Bhd (PHSB) and DD Plantations Sdn Bhd (DDPSB) was formed to develop and manage the plantation.

With this, PHSB shall take up 40 per cent equity in the JV, including the 30 per cent which PHSB shall hold in trust for the NCR landowners while DDPSB shall hold the remaining 60 per cent.

Meanwhile, Assistant Minister of Land Development Datuk Abdul Wahab Aziz who represented Minister of Land Development Tan Sri Dr James Masing urged LCDA to help participants of NCR land development to set up cooperatives to allow the participants to be more involved in the venture.

“Think of the future generations. Don’t waste your money on something that is not guaranteed. Invest in Amanah Saham Bumiputra, Amanah Saham Nasional or buy land because the value from these investments will always increase,” Abdul Wahab advised the landowners.

The signing of the Selepin Bakong NCR development project was done by Abdullah representing PHSB while DDPSB was represented by its managing director Datuk Yee Ming Seng.

During the ceremony, Abdul Wahab presented a mock cheque (dividend) to the headman of Sebungan, Meripat Sekeran, on behalf of the land participants.