Dekel Agri Vision : August 2020 AGM Presentation

An established West African focused agricultural company

Dekel Agri-Vision Limited AGM Presentation August 2020	1

DISCLAIMER

This presentation has been prepared by DekelOil Public Limited (the "Company"). By attending this presentation and/or reviewing the slides you agree to be bound by the followingconditions.

The information and opinions contained in this presentation have not been independently verified, are provided as at the date hereof and are subject to amendment, revision and completion without notice. No person is under any obligation to update or keep current the information contained in this presentation. No representation, warranty or undertaking, expressed or implied, is made by the Company, its advisers or representatives, or their respective officers, employees or agents as to, and no reliance should be placed on, the fairness, accuracy, completeness, correctness or reasonableness of the information or the opinions contained herein. The Company, its advisers or representatives, or their respective officers, employees and agents expressly disclaim any and all liability which may be based on this presentation and any errors therein or omissions therefrom.

This presentation does not constitute or form any part of, and should not be construed as, an offer to sell, or an invitation or solicitation or recommendation to purchase, or subscribe for or underwrite or otherwise acquire any securities in the Company in any jurisdiction and does not constitute or form part of a prospectus. No part of this presentation should form the basis of, or be relied on in connection with, or act as any inducement to enter into, any contract or commitment or investment decision whatsoever.

This presentation should not be considered as the giving of investment advice by the Company or any of its shareholders, directors, officers, agents, employees or advisers. Each party to whom this document is made available must make its own independent assessment of the Company after making such investigations and taking such advice as may be deemed necessary. If you are in any doubt in relation to these matters, you should consult your stockbroker, bank manager, solicitor, accountant, taxation adviser or other independent financial adviser (where applicable, as authorised under the Financial Services and Markets Act 2000).

This presentation contains certain statements that are neither reported financial results nor other historical information. These statements include information with respect to the Company's financial condition, its results of operations and businesses, strategy, plans and objectives. Words such as "anticipates", "expects", "should", "intends", "plans", "believes", "outlook", "seeks", "estimates", "targets", "may", "will", "continue", "project" and similar expressions, as well as statements in the future tense, identify forward-looking statements. These forward-looking statements are not guarantees of the Company's future performance and are subject to assumptions, risks and uncertainties that could cause actual future results to differ materially from those expressed in or implied by such forward-looking statements. Many of these assumptions, risks and uncertainties relate to factors that are beyond the Company's ability to control or estimate precisely and include, but are not limited to, the general economic climate and market conditions, as well as specific factors including the success of the Company's research and development and commercialization strategies, the uncertainties related to regulatory clearance and the acceptance of the Company's products by customers.

For further details regarding these and other assumptions, risks and uncertainties that may affect the Company, please read the Admission Document of DekelOil Public Limited. In addition, new factors emerge from time to time and the Company cannot assess the potential impact of any such factor on its activities or the extent to which any factor, or combination of factors, may cause actual future results to differ materially from those contained in any forward- looking statement. Except as may be required by law or regulation, the Company undertakes no obligation to update any of its forward-looking statements, which speak only as of the date of this document.

Dekel Agri-Vision Limited: AGM Presentation August 2020

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COMPANY OVERVIEW

Building a leading West African Agricultural Company

AIM traded multi-project,multi-commodity agricultural company focused on West Africa

Collaborative model centred on working closely with local communities to build vertically integrated operations processing produce grown by local farmers:

• Accelerates generation of first revenues
• Reduces CAPEX requirement
• Benefits local communities

Defined development path led by a strong board with a proven track record

Dekel has continued to operate with relatively minimal disruption from COVID-19, whilst at all times adhering to government advice and guidance.

Three core projects in Cote d'Ivoire at various stages of development:

Palm Oil

• Ayenouan: produced over 175,000 tonnes of crude palm oil over five years

Cashew

• Tiebissou: initial 10,000tpa cashew processing project capable of generating annual revenues of over US$20m

• Plan to scale up to 30,000tpa - potential annual revenues of over US$60m

Projects in Feasibility

• 30+MW Biomass and solar project in feasibility
• Third Agri Commodity in detailed feasibility

Dekel Agri-Vision Limited: AGM Presentation August 2020

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CORPORATE

12 Months Recap

FY Production

update

4.5

4

3.5

3

2.5

2

1.5

1

0.5

0

Q12019		2018 Final
Production			Interim Results
	results		FY Production
update
				Update

		Q3 2019
Half Year
	Production
Production
	Updated
Update

		May 2020
Q1 Quarterly
	Production
Update		Update

April 2020	Final Results
Production
Update
	4000000
	3500000
	3000000
	2500000
	2000000
	1500000
	1000000
	500000
	0

		SP Close		Volume	4
Dekel Agri-Vision Limited: AGM Presentation August 2020

CORPORATE

Full Year Production - 2019

Recovery in year on year volumes of FFBs harvested drove strong rebound in H1 CPO production

	FY 2019	FY 2018	Change
FFB collected (tonnes)	176,019	146,036	+21%
CPO production (tonnes)	37,649	33,077	+14%
CPO Sales (tonnes)	37,713	32,692	+15%
Average CPO price per tonne	€491	€542	-9%
PKO production (tonnes)	2,773	2,918	-5%
PKO Sales (tonnes)	2,621	2,862	-8%
Average PKO price per tonne	€551	€777	-29%
PKC production (tonnes)	4,305	3,721	+16%
PKC Sales (tonnes)	4,357	3,796	+15%
Average PKC price per tonne	€56	€51	+10%
Dekel Agri-Vision Limited: AGM Presentation August 2020	5

CORPORATE

Key Financials - 2019 Finals

Operating Results	2019	2018
FFB collected (tonnes)	176,019	146,036
CPO production (tonnes)	37,649	33,077
CPO sales (tonnes)	37,713	32,692
Average CPO price (tonnes)	€491	€542
Revenue (all products)	€20.9m	€20.9m
Gross profit	€1.7m	€1.7m
Gross margin %	8.1%	8.3%
EBITDA	€0.2m	(€0.2m)
EBITDA %	n/a	n/a
NPAT (Loss)	(€3.3m)	(€3.3m)

Dekel Agri-Vision Limited: AGM Presentation August 2020

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AYENOUANPROJECT

2019: Jump in palm oil production offset weak global palm oil prices

Macro conditions

• Strong recovery in harvest following weak 2018 fuelled double digit increase in CPO production and sales
• Second consecutive year of weak global CPO prices - 9% fall in year on year CPO prices
• Industry wide issue
• • DKL's market share of FFB delivered to its mill remained stable

Resilient Financial Performance

• Flat revenues of €20.9m (2018: €20.9m)
• Gross margin remained stable at 8.1% in 2019 (2018: 8.3%)
• Positive EBITDA of €0.2m compared to negative €0.2m in 2018

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CORPORATE

Efforts to mitigate a second consecutive year of low global CPO prices

• • 2.2% decrease in general administration expenses
  • Establishment of fifth logistics centre to facilitate delivery of local smallholder fruit to the mill
  • Implementation of programme to enable farmers to apply fertilizer and potentially double yields
  • Strengthened balance sheet with long term debt refinancing on improved terms
• Progressed Cashew Project to construction phase which will add scale and diversification to operations

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CORPORATE

AgDevCo - a leading social impact investor in African agriculture

• €7.2 million 10-year senior secured loan facility to refinance loan, support ESG activities and growth initiatives
• Estimated €5.8 million cash savings during four-year capital repayment holiday
• Significantly strengthens balance sheet and enables higher proportion of cash flows generated to be reinvested in the business
• First time AgDevCo has invested in LSE company
• AgDevCo Government-backed:
• • DFID - UK's partner for international development

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CORPORATE

Half Year Production - 2019/2020

	H1 2020	H1 2019	Change
FFB collected (tonnes)	7,975	131,917	-18.46%
CPO production (tonnes)	1,764	28,934	-13.16%
CPO Sales (tonnes)	1,819	26,702	-48.52%
Average CPO price per tonne	€602	€505	19.21%
PKO production (tonnes)	172	1,896	-2.78%
PKO Sales (tonnes)	137	1,539	-30.54%
Average PKO price per tonne	€628	€589	6.6%
PKC production (tonnes)	406	2,525	-15.98%
PKC Sales (tonnes)	336	2,274	-55.92%
Average PKC price per tonne	€60	€55	9.09%

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CORPORATE

Interim Five Year Track Record

Despite Covid-19 impact on 2020 high season, DKL expects to post improved results compared to H1 2019

	H1 2019	H1 2018	H1 2017	H1 2016	H1 2015
FFB collected (tonnes)	131,917	96,195	117,706	123,157	90,879
CPO production (tonnes)	28,934	22,242	26,947	28,550	21,836
Average CPO price per tonne	€505	€549	€707	€542	€617
	H1 2019	H1 2018	H1 2017	H1 2016	H1 2015
Revenue	€14.6m	€14.1m	€19.6 m	€16.0m	€12.9m
Gross Margin	€2.251	€2.066	€4.988	€4.165	€3.265
Gross Margin %	15.4%	14.6%	25.5%	26%	25.3%
EBITDA	€1.4m	€1.1m	€3.7m	€3.1m	€2.3m
Net profit / (loss) after tax	(€0.1m)	(€0.5m)	€2.4m	€1.8m	(€93k)

Dekel Agri-Vision Limited: AGM Presentation August 2020

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CORPORATE

2020: Palm Oil Prices Explained

• Average CPO price over last 10 years is $US800
• Having traded as high as US$870 per tonne on 13 January 2020, global CPO prices have continued to move lower due to:

1. lower demand for food products as a result of extreme measures around the world to suppress the spread of COVID-19 virus

• 1. sharp fall in crude oil prices, which adversely impacts demand for biofuel - CPO is the primary feedstock for biofuel
• Material rebound in CPO prices over the past two months as countries seek to restock supplies post lock downs

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CORPORATE

Short to Medium Term: a global short of vegetable oil expected with price spike

• Palm Oil supply growth is slowing - Malaysian and Indonesia CPO growth is almost at a standstill
• Palm oil has the highest yield per hectare and supply replacement via soybean growth appears insurmountable
• Our view is we still expect a sharp increase in vegetable oil prices medium term
• • Tables sourced from LMC International

Growth of Palm Oil area in Malaysia and Indonesia, Year on Year

%	20
growth	15
area	10
on year	5
0

Year	1983	1988			1993		1998	2003	2008	2013	2018
										Malaysia		Indonesia
		Area needed under other oilseeds to make up for lost crude palm oil production if oil
										palm expansion halted
Hectaresof	250
200
	150
Millions	100
50
	0
		Soybean				Rapeseed		Sunflower		Oil Palm
					2018				2023		2023 with no oil palm growth

Dekel Agri-Vision Limited: AGM Presentation August 2020

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CORPORATE

Ticking off milestones to build a diversified agriculture group

June 2018		July 2019		September 2019		December 2019		H2 2020
Secured option to				Commencement of		MOU signed with
acquire an interest					Green Enesys to		ESG and RSPO
	Secured refinancing		operations at second
in cashew project				develop hybrid		certification
		palm oil nursery site
at Tiebissou -		with AgDevCo			power projects		continuing to
		near Guitry
diversifying project					further diversifying		progress with
base						asset base		momentum

Q2 2021

Tiebissou comes

online

May 2019		July 2019		November 2019
Finalisation of		Commencement of		Change of name to
finance package for		construction of		Dekel Agri_Vision to
Tiebissou cashew		Tiebissou cashew		better represent
development		project		Dekel's projects

May 2020

Recommencement of manufacturing of milling equipment following COVID-19 shutdown

H2 2020

Refinancing long term debt on improved terms

Dekel Agri-Vision Limited: AGM Presentation August 2020

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CASHEW PROJECT

First cashew production on track for Q2 2021

Excellent Economics

• Ownership of 43.8% with additional option to acquire 20%
• Higher gross margins expected than from palm oil operation

Near Term Revenue

Potential

Asset Backed		Large Scale Development
• 7ha in Tiebissou for the plant		• Gradually increase
and warehouses (additional 3		processing capacity to
ha for extension)		30,000tpa
• Expected construction cost of		• Potential to generate revenue
$US10m		of over $US60 million per
				annum (at 30,000tpa)

2018/2019 Achievements

H1 2020 Milestones

• Relationships in place with cooperatives and local procurement agents
• Provides the initial feedstock for the plant to begin processing in Q2 2021

• Contracts to construct cashew processing plant and infrastructure works in place
• Long term tax exemption for cashew project granted
• Key loan drawdowns completed

• Construction work and infrastructure shipments underway
• Advance raw cashew purchase and cashew sale arrangements in readiness for production

Dekel Agri-Vision Limited: AGM Presentation August 2020

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CASHEW PROJECT

Favourable dynamics of global and regional cashew markets

1	2
830,000Mt consumed globally in 2017	Significant lack of value-adding
processing capacity in Côte d'Ivoire: out
- primary end markets are food and
of 720,000 tonnes produced annually
health
less than 20% processed in-country

3Côte d'Ivoire second largest producer globally

and largest exporter of

RCNs

48% forecast annual growth in demand - outstrips 6% annual

increase in supply since

1990

5Long term tax exemption in place Ivory Coast local

processing premiums

provided

Dekel Agri-Vision Limited: AGM Presentation August 2020

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CASHEW PROJECT

Cashew Project Construction

Dekel Agri-Vision Limited: AGM Presentation August 2020

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SOCIAL AND ENVIRONMENT

Focused on developing sustainable palm oil projects in line with RSPO standards

• AgDevCo - UK Government equity holder and debt provider
• RSPO member - certification in process
• Working with Proforest, an internationally recognised consulting group, to implementsocial and environmental programmes
• Majority of planting on previously cultivated areas
• Planting in partnership with local communities - agreement with World Bank-backed Projet d'Appui au Secteur de l'Agriculture de Côte d'Ivoire project
• All environmental permits in place
• Employs over 300 staff - majority local management
• School renovation, hospital renovation, water supplies

Dekel Agri-Vision Limited: AGM Presentation August 2020

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CORPORATE

Strategic initiatives and growth drivers 2020 onwards

Normalisation of CPO prices and further organic growth of palm oil operation

Development of cashew project to diversify and scale up revenues

New ventures to further grow and diversify the business

Strengthen balance sheet via refinancing of debt at longer tenure

Dekel Agri-Vision Limited: AGM Presentation August 2020

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CORPORATE

Investment Case

West African focused agricultural company with portfolio of multi-stage projects including producing palm oil operation

Expansion of Group with further palm oil project and diversification into cashew nuts;

• Cashew processing project expected to be commissioned Q2 2021;
• Large scale clean energy project at detailed feasibility stage: and
• Downstream opportunities and additional revenue streams under consideration

On track for major step up in revenue, EBITDA and profit profile as palm oil trading conditions normalise and completion of Tiebissou cashew project in Q2 2021

Dekel Agri-Vision Limited: AGM Presentation August 2020

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Appendices

Dekel Agri-Vision Limited: AGM Presentation August 2020

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COMPANY OVERVIEW

Collaborative model benefits local smallholders, stakeholders and shareholders

Identify shortfall in local processing capacity

Establish nursery to supply local farmers with higher yielding plants

Construct state of the art facility to process feedstock grown by local smallholders on already cultivated land

Establish logistics hubs to facilitate delivery of feedstock to plant

Secure offtake agreements

Accelerates cash flow generation and profitability

Removes the need to invest considerable capital planting estates

Provides outlet for local smallholder produce

Dekel Agri-Vision Limited: AGM Presentation August 2020

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COMPANY OVERVIEW

Excellent location with modern infrastructure

Operational palm oil project at

Ayenouan, 2 hours from Abidjan's port

Cashew Processing Project under development at Tiebissou, 3 hours

from Abidjan's port

Expansion land at Guitry, 4 hours from

Abidjan's port

Advantageous locations with good

road links to the port

Dekel Agri-Vision Limited: AGM Presentation August 2020

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AYENOUAN PROJECT

Overview

• Vertically integrated palm oil project including state of the art nursery, processing mill and logistics network
• Includes one of West Africa's largest crude palm oil (CPO) mills
• Fresh Fruit Bunches (FFB) for Mill sourced from over 3,000 smallholders and 1,900ha of maturing company estates
• CPO, palm kernel oil (PKO) and palm kernel cake (PKC) sold at factory gate
• 10 year corporate tax exemption remaining

Dekel Agri-Vision Limited: AGM Presentation August 2020

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AYENOUAN PROJECT

State of the art 60,000tpa mill

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AYENOUAN PROJECT

Feedstock for the Mill

A blend of smallholder feedstock due to regional surplus supply and company estates which will come into maturity in the near term

Smallholder		Company
Estates	Estates

Relationships with 3,000 small holders and several cooperatives

Estimated annual yields from smallholders expectedto

grow from 6-10 t/ha of Fresh FruitBunches

Over 20,000ha planted in region since 2010

1,900ha planted to date at Ayenouan

Costs to maturity: US$2,000/ha to US$2,500/ha

Mature plantations in Côte d'Ivoire have a peak yield of 18- 20t/ha

Dekel Agri-Vision Limited: AGM Presentation August 2020

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CORPORATE

Board of Directors

Andrew Tillery		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
Non Executive
	natural rubber business. Holds two Masters degrees from Oxford University, an MBA from the University of Chicago.
Chairman		Currently a Non executive director on 3 African agribusiness boards and adviser to several agribusiness investment funds in
	sub-Saharan Africa.
	Youval Rasin		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
	Chief Executive Officer
		9 years' experience in agro-industrial projects including 7 years in the Palm Oil Industry.
	Shai Kol		Founder of DekelOil. CPA & MBA graduate. 18 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
	Deputy CEO and Chief
		business development for Yellow Pages leading fund raising and M&A activities.
	Financial Officer
	Lincoln Moore		For the past 10 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 and General Manager of Sierra Leone Agriculture
	Executive Director
		Ltd and brokered sale for 300% uplift for investors in 2 years. Chartered Accountant and former senior manager at Deloitte
				and Touche.
Aristide (Aris) C.		Over the last 20 years Aristide has held senior positions in the commodity and derivative trading divisions at Citadel, British
	Petroleum, JP Morgan and Goldman Sachs. A native of Côte d'Ivoire, Aristide and his family have been involved in rubber
Achy Brou
	plantations and processing operations in the country for over 40 years. Aristide grew up in both France and Côte d'Ivoire
Non-Executive Director		and after graduating from the leading aerospace engineering school in France, he moved to the US where he obtained a
	Master of Science at MIT and received a PhD in Applied Statistics from Johns Hopkins University. Additionally, he holds an
				MBA from the Wharton Business School, with a focus on Finance and Operational Management of Corporations.
			Dekel Agri-Vision Limited: AGM Presentation August 2020	27

www.dekeloil.com

Dekel Agri-Vision -

UK Office

8 St. James's Square

St. James's

London SW1Y 4JU United Kingdom

Lincoln Moore

Executive Director

[e-mail]

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