14 July 2014
On July 14, 2014, CGL concluded the sale of the sugar mill to Kimberley Agricultural Investments (KAI).
KAI is the proponent to lease and create 13,400 hectares of irrigated farmlands as part of the Ord Expansion Project.
The sale of the property includes all of the milling equipment, office buildings, workshops and associated infrastructure within the property plus the pumping equipment located adjacent to the M1 Channel that serviced the property when the mill was operating.
The property was purchased in October 2012 and has provided CGL with a steady income stream through leasing of the office and workshop and the sale of some of the mill’s ancillary equipment.
CGL’s decision to purchase the property was in the belief that Ord Expansion Project and other proposed Ord farmland projects would see the return of broad acre cropping on a far greater scale than previously seen in the Ord and that this would in turn see the development of a processing plant of some form.
CGL was keen to ensure that the property remained available as an option for consideration by the proponent of the Ord Expansion Project to incorporate into their long term development plans.
CGL was also confident that the purchase of the property in 2012 would provide shareholders with a sound return on investment through the period of ownership and when it was ultimately sold or redeveloped.
CGL is very pleased that both of these objectives have been achieved and is looking forward to working with KAI through the next stages of their development which should ultimately see the return of agricultural exports through the Port of Wyndham.