D1 Oils, the beleaguered jatropha specialist, unveiled yet another corporate shake-up, and confirmed a retreat from plantation expansion, as it picked itself up from the end of its joint venture with BP.

The UK group said it had set up a third division – business development – aimed at exploiting its knowledge of jatropha built up at its planting and science divisions.

The addition is the latest in a series of changes at D1, which last year pulled out of producing biodiesel from bought-in vegetable oils, selling its refinery two months ago, and this year witnessed the break-up of a plantations tie-up with BP, the oil giant.

D1 bought BP out of the venture after alternative investors could not be found.

"Our new unified management team has made a strong start to restructuring and streamling operations," chief executive Ben Good said.

Planting retreat

Changes also included the ditching of plans to expand plantings which, when the BP joint venture was in place, were set to hit 300,000 hectares by the end of last year.

D1's plantings division, which had an interest in 220,000 hectares of plantations as of the end of June, will now "focus on the most commercial viable areas of jatropha planting", Mr Good said.

"It is essential over the coming year that we demonstrate to investors our ability to extract maximum value from our existing planting interests."

The group, which restated that it had sufficient funds to remain cash positive until at least the end of next year, in June gave investors 18 months' notice of its fourth capital raise since it was listed in 2004. D1 also raised capital at its flotation.

'Realise value' 

D1's science division was contributing to the group's financial welfare by developing the first commercial jatropha seeds, for sale to farmers, and building a pilot plant for processing jatropha meal.

"Progress against such markers is essential to demonstrate our ability to realise value for shareholders," Mr Good said.

While the jatropha's primary product is oil, a non-edible oil used in making biofuels, D1 is attempting champion the use of the meal byproduct as an animal feed.

Shares jump

The comments came as D1 revealed that, in the January-to-June half, revenues from continuing operations dropped 29% to £1.54m, reflecting the break-up of the tie-up with BP.

However, losses halved to £2.81m, again reflecting accounting methods used for the joint venture.

D1 Oils shares stood 0.23p higher at 5.98p in afternoon deals in London.