AgriWealth Pty Limited

AGRIWEALTH 2011 SOFTWOOD TIMBER PROJECT

FORAUST CONSULTING SERVICES PTY LTD

2011-2012 Annual Report

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Context This annual report has been prepared in accordance with Schedule 1 Part 3(h) of the Forestry Management Contract between AgriWealth Pty Limited and Foraust Consulting Services Pty Ltd (Foraust) for the AgriWealth 2011 Softwood Timber Project.

Overview The AgriWealth 2011 Softwood Timber Project is located at Projects   Location   Property   Area (ha)   Lots/DP  

AgriWealth 2011 Softwood Timber Project   Tumut NSW   Mobbs   60  

38/750999, 81/750999, 1/529835  

  Shelley Vic   Barkman   75  

1/512607, 2/514462, 3/514462, 1/514462  

  Taggerty Vic   Charlton   52   11A/282564     Tallangatta Vic   Nicholsons   25   1 & 2/562610  

  Burraga NSW   Press   44.5  54/753018, 119/753020  

Total       256.5     In total the project comprises 256.5 hectares of plantation planted in winter 2012. In NSW, the Press property is located 40 kilometres south west of Oberon and the Mobbs property is located 50 kilometres north east of Tumut. Properties located in north east Victoria are Barkmans which is located 95 kilometres east of Albury-Wodonga, Nicholsons, located 65 kilometres east of Albury-Wodonga and Charltons which is located 15 kilometres south of Alexandra.

Annual rainfall in the Oberon area was 1110mm compared to the long term average of 960mm (refer Figure 1 and Table 1 Annexure A).

Figure 1

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Rainfall in the Tumut area was above average during the reporting period (refer Figure 1 and Table 2 Annexure A) with significant rainfall occurring in late spring and in early March. Total rainfall at Burrinjuck Dam from July 11 to June 12 was 1219mm compared to the long term average of 927mm.

Rainfall in north east Victoria was also well above average (refer Figure 2 and Table 3 Annexure A). Total rainfall at Hunters Hill was 1421 m compared to the long term average of 1173 mm.

Figure 2

Establishment Site preparation included track rolling of harvest debris, ripping, mounding of some sites over small areas, and pre planting herbicide application.

Access tracks have been installed at Nicholsons to facilitate access for planting, future maintenance operations and fire protection. Construction of harvest roads will not occur until the plantation is due for first thinning.

Planting of GF 23+ containerised cuttings commenced and was completed in July 2012. Cuttings used were sourced from Arborline Nursery, a nursery at Hamilton Victoria.

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Photo: Site Prep Nicholsons Photo Spraying Charltons

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Photo Planting Barkmans

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Pest and Disease Information Rabbit baiting was undertaken in the 2012 age class at Mobbs as part of establishment operations.

Fire Incidents No fire incidents have occurred within or close to any of the plantations.

Other Management Issues Nil

Report Prepared by

John Moore Managing Director Foraust Pty Ltd

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ANNEXURE A

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Jul   Aug   Sep   Oct   Nov   Dec   Jan   Feb   Mar   Apr   May   Jun  

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thly  Raifall  mm  

 Table  2:  Burrinjuck  Dam  Rainfall  Jul  11  to  Jun  12  

Burrinjuck  Dam  Jul  11  to  Jun  12   Burrinjuck  Dam  LTA  

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Jul   Aug   Sep   Oct   Nov   Dec   Jan   Feb   Mar   Apr   May   Jun  

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Table  1:  Oberon(Lowther  Park)    Rainfall  Jul  11  to  Jun  12  

Oberon  (Lowther  Park)  Jul  11  to  Jun  12   Oberon  (Lowther  Park)  LTA  

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Jul   Aug   Sep   Oct   Nov   Dec   Jan   Feb   Mar   Apr   May   Jun  

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thly  Rainfall  m

m  

Table  3:  Hunters  Hill  Rainfall  Jul  11  to  Jun  12  

Hunters  Hill  Jul  11  to  Jun  12   Hunters  Hill  LTA