About Hargy Oil Palms
Hargy Oil Palms Limited (HOPL), incorporated in 1976, is wholly owned by SIPEF. The company is committed to promoting the well-being of its 4 852 employees and their families, supporting their focus and dedication to achieving its vision and mission.
HOPL’s main activities include the cultivation, cartage, milling, and export of premium quality palm oil. It is a major grower and producer of fresh fruit bunches (FFB) in Papua New Guinea, operating six oil palm estates as well as 3 640 certified smallholders, with each estate and its surrounding smallholders forming a dedicated supply base for HOPL’s three mills.
Crop production follows a nucleus estate model, with three mill processing facilities. Approximately 60 percent of FFB is produced by HOPL and 40 percent by independent smallholders. Within 20 hours of harvesting, FFB are transported to the nearest mill for oil extraction, ensuring the production of premium quality oil for export to the European market.
HOPL’s palm oil is in demand due to compliance with the Roundtable on Sustainable Palm Oil (RSPO) and plantation governance criteria, guaranteeing consistent premium pricing. Hargy Oil Palms aims to be a world leader in sustainable palm oil, producing certified, traceable, and globally marketed oil palm products from Papua New Guinea.
HOPL plantations
HOPL has three estates of plantations totalling 13 550 RSPO certified hectares along the coast of the island of New Britain.
Hargy estate
The Hargy estate, covering 4 413 hectares, comprises two distinct plantations: Hargy and Barema, located 30 kilometres apart, each with its own palm oil mill. The plantations differ in tree age, landscape, and management. Hargy has three separate employee compounds across its divisions, while Barema has a single central compound surrounded by two similar plantation divisions.
Hargy plantation, the oldest within HOPL, was first planted in 1976. Spanning 2 573 hectares on hilly terrain, partly on the lower flanks of the Hargy caldera, it includes palms of varying ages.
Barema plantation covers 1 900 hectares, located about 30 kilometres farther up the coast. Its first planting began in 2006.
Navo estate
Located 55 kilometres from HOPL’s main office, Navo estate covers 6 552 hectares across three plantations: Kiba, Atata, and Ibana. Almost fully mature (99%), its first palms were planted in 1984, with the first replanting beginning in 2010. Replanting will continue as palms reach 20 years of age.
An additional 1 414 hectares of new plantings between 2011 and 2016 at the lease-leaseback (LLB) plantations of Sena, Vamakuma, and Remailing have been integrated into Navo estate. In 2019, 77 hectares in Kiba plantation were replanted, representing the only immature areas in the estate.
The Navo palm oil mill, located at the estate’s centre, receives about 55% of its crop from Navo estate, with 29% from Pandi estate and 16% from surrounding smallholders near Mt Ulawun. Navo estate also hosts HOPL’s nursery, supplying seedlings to all plantations and smallholders.
Pandi estate
Pandi estate was established in 2010 and covers 2 584 hectares, of which 95 hectares are immature. Unlike the other estates, Pandi consists mainly of LLB areas, where local landowners hold the land title and have subleased management to HOPL under 25-year agreements.
These areas are fully integrated into HOPL’s management system, allowing close monitoring and tracking of production. Yields have increased as the palms mature, and all Pandi estate FFB are transported to Navo mill.
HOPL mills
Hargy Oil Palms owns and operates three palm oil mills. Each mill has the capacity to produce 45 tonnes of palm oil per hour. The total milling capacity for producing both crude palm oil (CPO) and crude palm kernel oil (CPKO) is at the rate of 135 tonnes and 10 tonnes per hour respectively, in strict compliance with RSPO Principles and Criteria.
Both the Hargy and Navo palm oil mills have a conventionally designed system which uses a horizontal cage steriliser with an effluent pond system when extracting oil from FFB.
In contrast, the Barema palm oil mill uses a hydraulic tilting steriliser system, as well as utilising methane gas that is captured and converted into renewable energy to generate electricity for the mill.
Meet HOPL management
Hargy Oil Palms' operations in Papua New Guinea are guided by an executive committee. The committee comprises the general manager, the company secretary, and the heads of six key departments, each responsible for a core aspect of the business. This structure ensures coordinated leadership across plantation management, engineering, sustainability, finance, human resources, and smallholder affairs.
How HOPL got its name
The word ‘Hargy’ originated from a United States Army Air Force Major by the name of Fred Hargesheimer. He was a fighter pilot engaged in battle against the Japanese army over the South Pacific region during World War II. Whilst engaged in fighting in Papua New Guinea, his plane was shot down into the jungle at Bialla, West New Britain Province in June 1943. Fortunately, the local people came to Fred’s rescue, protected him against enemy forces and nursed him back to full recovery. This act of kindness from the indigenous people moved Fred to show his appreciation by establishing local community schools as well as the Airmen’s Memorial Foundation after the war had ended. The schools are located jn the villages of Ewasse and Noau, and receive regular support from HOPL.