/EINPresswire.com/ -- TORONTO, ONTARIO -- (Marketwired) -- 05/30/16 -- Feronia Inc. ("Feronia" or the "Company") (TSX VENTURE: FRN) today released its financial results for the three months ended March 31, 2016. All amounts in this release are expressed in US dollars unless otherwise indicated.

Q1 2016 Highlights

--  Produced 21,276 tonnes of fruit (Q1 2015: 18,613 tonnes), a year-over-
    year increase of 14%
--  Produced 4,045 tonnes of Crude Palm Oil ("CPO") (Q1 2015: 3,599 tonnes),
    a year-over-year increase of 12%
--  Oil extraction rate of 19% (Q1 2015: 19%)
--  Revenue of $4.0 million (Q1 2015: $2.5 million) primarily from the sale
    of 5,551 tonnes of CPO at an average price of $636 per tonne (Q1 2015:
    2,917 tonnes at $777 per tonne)
--  Net loss of $329,000 (Q1 2015: net loss of $3,053,000)
--  Closed the final tranche of secured convertible debentures (the
    "Debentures") through the private placement of a $3.2 million Debenture
    with the African Agricultural Fund through Golden Oil Holdings Ltd
--  Publication of Environmental & Social Assessment report

Subsequent Events

--  Completed first drawdown of $15 million from secured term facility
    agreement and, concurrent with the first drawdown, $31.33 million
    principal amount of Debentures and $2.7 million of accrued and unpaid
    interest converted into 291,693,813 common shares

Xavier de Carniere, Chief Executive Officer of Feronia Inc. commented: "The operational team achieved a smooth first quarter this year, meeting their production targets.

Low global palm oil prices and the significant amount of illegal imports of palm oil, driven by sharp currency fluctuations in countries neighboring the DRC, negatively impacted the Company over the past year. Both of these issues seem to be behind us and we see a more favourable competitive landscape ahead.

Our new boiler and turbine in Lokutu will soon be operational, which should greatly reduce our energy costs and positively impact our extraction rate. We are launching equivalent projects in our Yaligimba and Boteka plantations, with similar impacts on productivity expected towards the end of 2017.

Operationally we are entering into a virtuous circle, which should translate into progressively improved performance moving the Company along a path to achieve our long term goals. Our production volumes and efficiency should continue to increase as we improve and increase our industrial capacity, gradually freeing up additional resources to advance our ambitious social and environmental targets with the continued support of our shareholders and lenders."

About Feronia Inc.

--  Feronia is an agribusiness operating in the Democratic Republic of the
    Congo (DRC).
--  At the heart of Feronia lies a long established palm oil business,
    Plantations et Huileries du Congo (PHC), which has three remotely
    located plantations; Lokutu, Yaligimba and Boteka. We also have an
    arable farming operation which grows and processes rice.
--  When Feronia acquired its palm oil business from Unilever in 2009, it
    had suffered from years of underinvestment and considerable disruption
    caused by conflict in the DRC. Our initial focus has been on rebuilding
    the business and resuming production to secure its future and the
    livelihoods of the 3,800+ people we directly employ.
--  Feronia's plantations produce crude palm oil (CPO) and palm kernel oil
    (PKO). CPO is part of the staple and traditional diet of the Congolese
    and, with our products sold locally in the DRC, we are well placed to
    help decrease reliance on imports and increase food security and
    quality.
--  Feronia prides itself on being the guardian of our 105 year-old palm oil
    business and its employees, communities, and environment. We have a long
    term commitment to improve the living and working environment of our
    employees and their communities and are committed to sustainable
    agriculture, environmental protection and community inclusion. Feronia
    has in place an Environmental and Social Action Plan which is focused on
    implementing environmental and social best practice and improving social
    infrastructure.
--  Feronia is working towards certification by the Roundtable for
    Sustainable Palm Oil (RSPO) and is implementing IFC/World Bank standards
    for environmental and social sustainability. Our oil palm replanting
    programme is brownfield in nature - replacing old palms with new - and
    it has no reliance on deforestation.
--  Feronia's management team is comprised of senior agriculturalists with
    extensive experience in managing both plantations and farming operations
    in emerging markets.
--  For more information please see www.feronia.com

Cautionary Notes

Except for statements of historical fact contained herein, the information in this press release constitutes "forward-looking information" within the meaning of Canadian securities law. Such forward-looking information may be identified by words such as "anticipates", "plans", "proposes", "estimates", "intends", "expects", "believes", "may" and "will". There can be no assurance that such statements will prove to be accurate; actual results and future events could differ materially from such statements. Factors that could cause actual results to differ materially include, among others: risks related to foreign operations (including various political, economic and other risks and uncertainties), the interpretation and implementation of the "Loi Portant Principes Fondamentaux Relatifs A L'Agriculture", termination or non-renewal of concession rights or expropriation of property rights, political instability and bureaucracy, limited operating history, lack of profitability, lack of infrastructure in the DRC, high inflation rates, limited availability of debt financing in the DRC, fluctuations in currency exchange rates, competition from other businesses, reliance on various factors (including local labour, importation of machinery and other key items and business relationships), the Company's reliance on one major customer, lower productivity at the Company's plantations and arable farming operations, risks related to the agricultural industry (including adverse weather conditions, shifting weather patterns, and crop failure due to infestations), a shift in commodity trends and demands, vulnerability to fluctuations in the world market, the lack of availability of qualified management personnel and stock market volatility. Details of the risk factors relating to Feronia and its business are discussed under the heading "Risks and Uncertainties" in Feronia's Management's discussion and Analysis for the year ended December 31, 2015, a copy of which is available on the Company's SEDAR profile at www.sedar.com. Most of these factors are outside the control of the Company. Investors are cautioned not to put undue reliance on forward-looking information. Except as otherwise required by applicable securities statutes or regulation, the Company expressly disclaims any intent or obligation to update publicly forward-looking information, whether as a result of new information, future events or otherwise.

Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contacts:
Feronia Inc.
Xavier de Carniere
Chief Executive Officer
44 (0)7468 697 658
xavier.decarniere@feronia.com

Feronia Inc.
Paul Dulieu
Investor Relations Manager
44 (0)7554 521421
paul.dulieu@feronia.com
www.feronia.com

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