ABULON HOLDINGS LIMITED

Abulon Holdings

 

COMPANY PROFILE

Abulon Holdings is an investment holding company, specializing in the funding of projects in the very lucrative mariculture industry, which enables us to give our shareholders an above average return on their investment. Our initial concentration is focused on the development of land-based abalone grow-out farms as well as related projects. These projects are located in South Africa's Western Cape Province on its Western coastline.

Our current operation include:

  • An abalone grow-out farm in Paternoster
  • Export of canned and dried abalone to the overseas market and
  • Selling of abalone shells to the local market

Future operations will include:

  • The start-up of additional grow-out farms and
  • The breeding and hatching of abalone.

Business Rationale

Historical demand, primarily from Asia, for abalone and other fish species has led to massive exploitation of the world's natural resources. This worldwide exploitation has led to a phenomenal shortage in supply of abalone, forecasted to reach more than 5 000 tons. Abulon Holdings is looking at ways to replenish the natural resources and to use cost effective farming methods to increase production capabilities.

 

Developments: Past, Present and Future

  • Jun 1999: The Abulon concept is initiated and thorough due diligence procedures are followed
  • Oct 1999: Bluecap General Trading (Pty) Ltd t/a ABATECH is formed
  • Jun 2000: Abatech (43.2-ton farm) begins purchasing spats (baby abalone) from Global Ocean
  • Aug 2000: Benguela Mariculture (28.8-ton farm) begins purchasing spats from Global Ocean
  • Dec 2000: Lease signed on property in Paternoster for Abatech and site-works begin
  • Jan 2001: Abulon negotiates 88% purchase of Abatech's share capital. Abulon negotiates 75% purchase of Benguela's share capital.
  • Jul 2001: Contract signed for 1000-ton export order till 2007
  • Dec 2002: Phase 1 of the buildings at Paternoster (Abatech) is completed
  • Jul 2002: Animals previously farmed at Kleinmond is moved to the farm at Paternoster
  • Dec 2002: Civil works for phase 2 starts at the farm in Paternoster
  • Dec 2003: Phase 2 is completed
  • Feb 2004: Phase 2 is fully operational
  • Jun 2005: Commercial harvesting begins

Further abalone grow-out farms as well as a hatchery will be established. Abulon Holdings Ltd will purchase property for these developments. All abalone produced by Abulon Holdings will be sold as a South African branded product and possible joint ventures with large SA fishing groups is not excluded.

To culture abalone successfully the single most important factor is to have clean, stable and elevated temperature seawater. The technology used on Abulon's farm has been built on world-class systems already in use by the international salmon/trout industry and by modern larger aquariums. It is a proven, effective system for the land-based rearing of abalone. A further advantage for farming on the Cape West coast is that the species, Haliotis midae, are large, fast growing and have white flesh (which is considered a delicacy in eastern countries) and is prized on the international market.