Delta-Wilmar CIS is a joint venture between Singapore based Delmar Pte Limited (80%) and Ukraine based Market House Bread Harbour (20%). Delmar Pte Limited in turn is a joint venture between the main Project sponsors: Wilmar Holding Pte Limited (62.5%) and Delta Exports Limited (37.5%) both of which are based in Singapore.

The total project cost is estimated at around $27 million. The proposed IFC investment us a $17.5 million A loan for IFC’s own account.

17.50 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan	17.50
Equity

* These investment figures are indicative

The greenfield project is located in an industrial zone close to the Yuzhny port in Ukraine.

The project is expected to have the following development impacts. It will: - support the growth of a private productive enterprise in the CIS; - provide a refined tropical oils to the food processing industry; - enhance competition in the fats and oils market; - establish an infrastructure investment supporting the trade and refining of tropical oil into the CIS markets; - bring additional tax revenues for the Government of Ukraine with import duties and corporate income tax; and - offer further leverage to improve the company's environmental and social management capabilities.

IFC’s expected contribution to the project would include: - promoting a “South-South” investment from an existing IFC client specialized in the trade of agricultural commodities (Wilmar) to a manufacturing plant in Ukraine; and - providing long-term finance which is not otherwise available in Ukraine.

This project has been categorized as a Category B project according to IFC''s environmental and social review procedure. Appraisal of the investment entailed a close scrutiny of the CPO supply chain and the specific operations slated to provide raw materials for the proposed refinery as well as a visit to the site of the proposed refinery. With IFC as full, voting member of the Roundtable on Sustainable Palm Oil (RSPO), involvement in such projects has a higher, more visible profile for the corporation. Accordingly, during appraisal, the company’s practices and performance in its own supply chain were reviewed to assess compliance with national law and with IFC’s policies and guidelines, as well as consistency with the RSPO Principles and Criteria for sustainable palm oil production. Environmental and social issues associated with this project and that evaluated during appraisal included: environmental and social affairs management and on the ground performance of supply chain CPO plantations and mills; site selection, acquisition, development and permitting of the proposed refinery in the Ukraine; quality and sustainability of potable water supply; handling and disposal of hazardous and non-hazardous waste; management of bentonite filtrates; liquid effluent management; air emissions; occupational health and safety; and systematic management of quality, environmental and social issues, and occupational health and safety.