Future Expansion in WA

AFF’s Western Australian operations are located in the Kondinin and Kulin areas of southern Western Australia. The area offers some of the most cost effective land for sheep meat production available in Australia. Because it is affected by frost the area has not attracted the focus of cropping companies and as a result pricing has not been pushed up by recent grain price increases and pricing remains significantly below equivalent land just 200 kilometers away. Rainfall is marginally lower than Marabou and Belmont but is still well within the acceptable range for Dorper production.

In Western Australia, AFF leases two properties, Jilakin and Mallee Hills, with a total area of 3,490 hectares. AFF has secured an option to purchase Mallee Hill at a fixed price which can be exercised at any time within three years. AFF is also in the process of purchasing, Thompsons which is 1,008 hectares adjoining Mallee Hill. Settlement is scheduled for December this year. AFF is also considering the purchase of an additional 529 hectares adjoining Thompsons. Upon completion, that would bring AFF’s total holdings in Western Australia to 4,019 hectares. In aggregate, this land holding should prove sufficient to run around 10,000 sheep. AFF will continue to look to acquire adjoining properties and at the same time will also look to acquire a large sized operation probably further north of our current properties.

Future Expansion in WA