Client

Government-Linked Company

Products & Services

• Plantability Assessment
• MSPO Certification Planning
• Land Use Optimisation
• Agronomic Evaluation

Description of Project

Client

The Client is a listed company and the plantation arm of Malaysia’s premier government-owned Islamic financial institution. The company manages a large portfolio of oil palm estates and mills across Malaysia and Indonesia, producing Fresh Fruit Bunches (FFB), Crude Palm Oil (CPO), and Palm Kernel (PK). 

Background

The engagement was undertaken to conduct a plantability and financial assessment, and to obtain pre-project approvals in principle for agroforestry conversion to oil palm plantation, as well as pre-approval for MSPO certification in Sabah. The assessment aimed to evaluate land suitability, financial viability, and regulatory compliance to support informed decision-making on plantation development.

Challenges & Expectations

Effective planning is required in addressing gaps in field data, soil and climate variability, and infrastructure readiness. The client also needed guidance on navigating regulatory requirements for agroforestry conversion and MSPO certification while ensuring financial feasibility and realistic projections for plantation establishment.

Our Role on the Project

Scope of Services

We were tasked to assess plantability and agronomic potential, determine optimal land use, evaluate financial feasibility and estate valuation, and provide support for pre-project approvals, including environmental and operational risk assessment, remediation strategies, and coordination with regulatory authorities.

Solutions / Outcomes Delivered

• Conducted field and soil assessments to determine plantable areas and optimise land use for oil palm plantation
• Established financial feasibility, including CAPEX, OPEX, cost-to-maturity, and 30-year financial modelling
• Assessed viability for establishing an oil palm mill to complement plantation operations
• Evaluated environmental and operational risks associated with agroforestry conversion, and recommended ecological remediation strategies
• Assisted in securing pre-project approvals and coordination with state forestry department and MSPO officers
• Provided phased implementation plans aligned with certification and operational requirements