Current ESV Group Operations in the Mozambique

Esv Group Plc has recently acquired 11,000 hectares in Mozambique and is currently planting Jatropha seedlings with a view to increase this cultivation in the near future.
 

The project, situated on an old cotton plantation in the Inhambane Province of Mozambique, was initiated in 2006 and is focused on the establishment of a Jatropha plantation. Jatropha is a relatively new crop being cultivated specifically to meet demand for crude vegetable oil for the biofuel industry. The majority of crops currently used as feedstock for the biofuel industry are traditionally also produced for the food market, such as rape seed, sunflower and soybean, and a significant switch to an alternative use is likely to result in rising food prices. The advantage of Jatropha is that it is not suitable for human consumption and therefore this trade off does not exist. It is also a fast-growing, hardy plant ideally suited for the sub-tropical African climate, which will produce a high oil yield per hectare. Unlike Palm Oil the cultivation of Jatropha does not involve the clearing of tropical rain forest.

The Mozambican government has given its full support to the project and has initially granted a 99 year lease on 31,000 hectares of land, with an option to expand further. A large proportion of the population of Mozambique is reliant on the agricultural industry, which has suffered a severe decline in recent years. The government recognises the potential of the bio-energy market and the Jatropha crop to rejuvenate the rural economy and create jobs for thousands of people. This project alone will support a community of approximately 3,500 people.

In the current phase 5,300 hectares have been planted and 5,700 hectares have been cleared, making a total of 11,000 hectares planted by December 2008. It would be one of the largest Jatropha plantations in the world.