Landkom International PLC (AIM: LKI, "Landkom" or the "Company"), the Ukrainian producer of high-value oil seed rape and wheat, has successfully produced its first biofuel which it will use to cut the running costs of its fleet of trucks and tractors.
The biofuel has been produced from Landkom's non-core crops on existing marginal land.
Landkom has tested as much as B100 on some tractors and trucks but in the first instance will run B20 (20% Biodiesel).
This enhances the operational effectiveness of the Company and does not disrupt core production of wheat and oil seed rape.
The cost of a litre of Landkom's own-produced biodiesel is around 30 cents, or approximately a third of the current cost of the diesel with which it will be blended, initially at B20 (or 20% Biodiesel/80% Diesel).
Landkom currently spends $2 million a year on mineral diesel fuel.
Richard Spinks, Landkom Chief Executive, commented:
"By utilising marginal farm land to produce biofuel for our own use we can save money and save the environment. It's good for business and good for the local community."
