Klue. There is only a certain amount of landfill waste in the...

Klue. There is only a certain amount of landfill waste in the market. It currently all has a home so there isn’t trucks full of waste waiting for this to open. To get volume they need to be either cheap or be conveniently located. Gingin is 90 k outside of Perth so it’s location is not good and as they have installed a composite liner, not cheap either. Almost all collection trucks tip at waste transfer stations where material is bulked up for semi trailer transport. So the supply chain is critical, you need to own transfer stations to feed your landfill. Exactly as Suez, Veolia, Cleanaway and soon to be open, Instant Waste new landfill in York. The M8 Maddington site is not licensed for general waste, which seems to be a ridiculous oversight as a licence amendment could been done whilst finishing Gingin. So where the waste is going to come from is the question. There has been no supply deals done other than Brajkovich committing what they already send. The incinerators come online in the next 18 months which will reduce landfill volumes for everyone, so all the landfills will be competing to replace volumes. To answer your question, personally I wouldn’t take it on if I was given it for free. The cost of running a class 3 needs to be supported with significant inputs and they don’t have the waste, the transfer facilities or the geographical position to achieve this. Veolia sold the site to M8 years ago as it was determined to be of little strategic value. Tells you everything. Anybody buying it would have to do a huge amount of due diligence prior to ensure the earth works and lining system have been installed correctly and would then have to apply for a license to operate it. The Department of Environment will not make that easy because they don’t and you would not start from the beginning but still an approval wouldn’t be a certainty. Rudas had got this catastrophically wrong, how in the current booming market in Perth you loosing money like they are is beyond belief. So no, it’s a great outdoor pool.