The oil palm industry, which has a long history in Teck Guan, is another of our core business that demands our priority in both investment and commitments. This integrated industry we are in encompasses large scale oil palm cultivation, crude palm oil milling, palm kernel oil extraction, and palm oil-based oleo chemical refining.

As at August 2007, our stable includes three operating crude palm oil mills, with three more at different stages of development and a palm kernel oil extraction plant nearing completion. These two types of facilities play the roles of milling for crude palm oil and extracting palm kernel oil from fresh palm fruits and palm kernels respectively.

All these and our palm oil plantations are situated within the fertile regions of Sabah, which is regarded as having the most conducive climate with the highest yield of palm oil fruits and oil extraction rates.

The technologically advanced palm oil-based oleo chemical refinery is a natural and synergistic progression of our integration. It is situated in the fast developing Rugao Economic Development Zone near Shanghai, China. Our Jiangsu Oleochemical plant is equipped with the world biggest, most advanced, single-fatty alcohol system - using the patented wax-ester route process of Lurgi, Germany. This refinery, scheduled for operation at end of 2007, is designed to produce 130,000 metric tons of surfactant-fatty alcohols, fractionated fatty acids and USP grade glycerine. These products are mainly used by multi-national companies for manufacturing of user-friendly surfactants, personal care products and many other consumer and industrial application products.