TFS Corp to work with French oils firm for processing plant

Perth-based Indian Sandalwood grower TFS Corporation Ltd will collaborate with France-based essential oils company Albert Vieille SA in the construction of its Kununurra processing plant, among other projects, the company announced today.

The full text of a company announcement is pasted below

TFS Corporation Limited (TFS) is pleased to announce that it has concluded a Collaboration Agreement with Albert Vieille SA. Albert Vieille was established in 1968 and is a French-based essential oils and extracts company supplying the fine fragrance industry with a large range of natural ingredients.

Under the agreement, Albert Vieille will:

• Conduct trials with TFS later this year to investigate bringing forward the processing of TFS's Indian Sandalwood (santalum album) plantations, from the current projected initial harvest date of 2012.
• Provide technical assistance and advice to TFS in the establishment of a pilot processing and distillation facility at Kununurra in Western Australia.
• Have the right to purchase 25% of the santalum album oil produced by TFS, up to a maximum of 10 tonnes per annum with the price to be determined annually by negotiation.
• Assist TFS in identifying other core ingredients for the fine fragrance industry that can be viably grown in plantations, in the Kununurra region

"This agreement with Albert Vieille is a significant milestone for TFS in its planned progression towards becoming a vertically integrated producer of santalum album oil and related Indian Sandalwood products," said Frank Wilson, Executive Chairman.

"Not only does it ally TFS with a well-established and highly regarded participant in the fine fragrance industry, which we have targeted, but it confirms the strong interest in our product given the certainty of long term sustainable supply that we can offer," he added.