AEF Green Charcoal SUMMARY OF PROJECT INFORMATION (SPI)     Project Name		South Africa:  Green Charcoal    Region   	   		Sub-Saharan Africa    Sector			Manufacturing    Project Number   		   8391    Projected Board Date	September 30, 1997    Company Name		Green Charcoal (Pty) Ltd    Technical Partner and/or Major Shareholders    The main project sponsors are two entrepreneurs, Patrick Frampton (41), a professional engineer, and Tessa Fairweather (47), a marketing executive. A group of Eastern Cape based small businessmen from a previously disadvantaged group are also participating in the venture through African Pioneer Investment Holdings (APIH). The driving force behind APIH is the Chairman, Stephen Dondolo (40), a prominent Eastern Cape businessman.    Project cost including proposed IFC investment    Project Cost:	   	   US$3.0 million equivalent   IFC Investment:   		   US$0.87 million (equity and quasi-equity)    Location of project and Description of Site    The projects facilities are expected to be located at Two Streams, in the Eastern Cape Province.    Description of Company and Purpose of Project    The project is to build and operate a plant to produce high quality lump charcoal for export, primarily to Europe and the Far East. The output will be designed to meet the German DIN standard for charcoal--minimum 80% carbon content--which is widely applied across the European Union. The manufacturing process will use wattle trees as  basic raw material. Wattle is regarded as an invasive and alien species by the Department of Water Resources and Forestry and a programme is already in place to eradicate the tree from water catchment areas. Well over 20 years of feedstock is available within 30 kilometres of the plant. The project will utilize the environmentally  friendly retort technology for charcoal production.    Project Development Impact    At peak production Green Charcoal is expected to  employ 78 direct employees at the plant and create indirect jobs for an estimated 650 sub-contractors supplying feedstock. The beneficiation of low grade wood and the earning of foreign exchange are further positive effects of this project.      Environmental Categories and Issues    This is an environmental review Category B project.  Key environmental, health and safety issues include source of raw material; harvesting and transport of raw material; water and power supply, including fuel storage if applicable; disposal of solid wastes; disposal of liquid wastes, including sewage; air emissions; workplace air quality; provision of personal protective equipment and employee health and safety training; and fire protection and emergency response. At IFC''s request, the sponsors have agreed to carry out emissions testing after plant startup has been completed and the facility is in full operation, and have agreed to provide IFC with a copy of the analytical results.  The sponsors have also stated that they will install condensation tunnels, if necessary, to ensure that emissions comply with relevant South African standards and World Bank guidelines.  Although dust in the plant is not expected to be significant, the sponsors have agreed that workers involved in offloading and bagging operations will be provided with face masks, if necessary, to ensure against excessive inhalation of dust or soot.  As part of its community development efforts in the region, Green Charcoal intends, with the assistance of the provincial government, to construct a clinic for use by both its employees and residents in the area. The ERS was submitted to the PIC on May 22, 1997.    The  is  from the Public Information Center.   Date SPI sent to PIC     For Additional Information contact:  Corporate Relations Unit -   telephone: (202) 473-7711   facsimile: (202) 974-4384  Environmental documents for this project are available at http://www.ifc.org and from the World Bank InfoShop (http://www.worldbank.org/html/pic/aboutinfo.html).