Flour Mills Invests 7 billion in Edible Oils Manufacturing Plant in Ibadan

Flour Mills, a leading player in the Fast Moving Consumer Goods sector has concluded arrangements for the establishment of an edible oil manufacturing plant in Ibadan, Oyo state.

The plant will have a daily capacity of 500 tonnes of edible oil and will serve as raw materials input for the company’s Animal Feed Mill operations.

Paul Gbededo, Head of Flour Mills Agro-Industrial Division, stated that this investment is a phase in a larger N 20 billion investment campaign focused on the cultivation and extraction of edible oil from soybean and palm.

Phase 1 consisted of the expansion of soybean cultivation capabilities in Kaboji, Niger state and the acquisition of an existing oil extraction and refining company in Ibadan.

The new plant, to be commissioned in this second stage, will more than double the extraction capacity to 500 metric tons per day of Soy and 300 metric tons per day of palm kernel. The extracted crude oils will be refined in 400 metric tons per day state-of-the-art multi-oil refinery to be established on a new site purchased for this purpose.  A 100 metric tons per day fractionation plant will split 100 metric tons per day of the refined palm oil into Olein, which will be bottled for retail consumption, and Stearines for industrial use. The third stage of the company’s investment in edible oils will be the establishment of palm plantations to augment local raw material supplies, and the establishment of an additional 750 metric tons per day multi oil refinery and margarine packaging plant at Agbara Industrial Estate, Lagos State.