Cattle assets

Mutton Hole, Oakland Park & Rewan Station

In mid-2016 RFF acquired Mutton Hole and Oakland Park, large-scale breeding properties situated southeast of Normanton on the Gulf of Carpentaria in northern Queensland.

The third property, Rewan Station, is a high-quality backgrounding and finishing property located 55 kilometres south of Rolleston in central Queensland within commercial proximity of multiple market facilities including feedlots, abattoirs, saleyards and ports. Improved pasture on Rewan, including fodder crops, forage legumes and highly productive leucaena provides a quality feed base for fattening.

Combined, the three properties provide the lessee, Cattle JV Pty Ltd, with an efficient and reliable supply of young cattle and a range of markets to sell.

Natal aggregation

In October 2017, RFF contracted to acquire three contiguous cattle properties in northern Queensland. The properties, Natal Downs, Longton and Narellan, referred to as ‘Natal’, encompass an area of 390,600 hectares and are situated 115 radial kilometres south west of Charters Towers. The properties contain a mix of developed and undeveloped breeding land, as well as higher value finishing land.

The properties are leased to DA and JF Camm Pty Ltd with Natal operating as the central breeding location for the lessee’s integrated breeding, backgrounding and finishing operation.

Comanche

In July 2018 RFF acquired Comanche, a 7,600 ha breeding and backgrounding cattle property located in central Queensland.

The property offers productivity development opportunities almost identical to those proven on other cattle properties owned by RFF. These include planting additional Leucaena, increasing cultivation area and developing additional water points.

Feedlots

In July 2018, RFF contracted to acquire all of JBS Australia Pty Ltd’s cattle feedlots. Located across Queensland and New South Wales, the five feedlots have a combined capacity of 150,000 Standard Cattle Units which represents approximately 15% of Australia’s lot fed cattle capability.

Two of the feedlots, Riverina Beef at Yanco in New South Wales, and Beef City at Toowoomba in Queensland, form part of Australia’s only two integrated feedlot and processing facilities. This reduces freight costs and market price risk, and can improve cattle weight gain performance.

The feedlots are leased back to JBS Australia Pty Ltd for a period of 10 years.

Cerberus

In September 2018, RFF acquired Cerberus, an 8,280 ha cattle breeding and backgrounding property located 140 km north west of Rockhampton in central Queensland. A development program, forecast to cost $2.5m, aims to increase carrying capacity by 28% and improve infrastructure.

The lessee of the property is Katena Pty Ltd, trading as Bryant Beef. The lease will run for 10 years and includes a rent review in year five. Note: this entity has no commercial or familial relationship with RFM Managing Director, David Bryant.

Dyamberin, Woodburn & Cobungra

RFF acquired two breeding and backgrounding properties in the north east NSW region of New England in late 2018 and early 2019: Dyamberin, a 1,728 ha property settled in October 2018, and Woodburn, a 1,062 ha property settled in January 2019.

In March 2019, RFF acquired Cobungra, a 6,486 ha breeding and backgrounding property located in the East Gippsland region of Victoria.

The properties are leased to Stone Axe Pastoral Company, a Wagyu producer that operate other properties in NSW and in WA. The leases are for 10 years and include market rent reviews in year five.

 

Property Location Property type Size
Mutton Hole Carpentaria, QLD Breeding 140,300 ha
Oakland Park Croydon, QLD Breeding 85,500 ha
Rewan Station Rolleston, QLD Backgrounding and finishing 17,500 ha
Natal Charters Towers, QLD Breeding 390,600 ha
Comanche Rockhampton, QLD Breeding and backgrounding 7,600 ha
Mungindi Mungindi, QLD Feedlot 12,000 SCU with 409 ha of associated cropping land
Caroona Quirindi, NSW Feedlot 23,500 SCU with 1,387 ha of associated cropping land
Prime City Griffith, NSW Feedlot 35,000 SCU with 4,021 ha of associated cropping land
Cerberus Rockhampton, QLD Breeding and backgrounding 8,280 ha
Dyamberin New England, NSW Breeding & backgrounding 1,728 ha
Woodburn New England, NSW Breeding & backgrounding 1,062 ha
Cobungra East Gippsland, VIC Breeding & backgrounding 6,486 ha

 

^Lease expiries weighted by forecast FY19 rental income

*Pro forma for feedlots (Beef City and Riverina Beef) and cattle properties (Woodburn and Cobungra) which were not settled at 31 December 2018.