No apologies required. The ROA question is an interesting one....

No apologies required.

The ROA question is an interesting one. The asset acquired will cost between 300-360 mill. The benefit to COE will be the reduction in tolls on production of (I think) about $3.50 per GJ. less the cost of operating Orbost. I am not sure what the operating costs actually are and would be grate ful for any input from other posters but I will guess an operating costs at 50% of revenue.

The above leaves COE with a benefit from the transaction of $1.75 per GJ. At 55 TJ a day gives us $96k p.d. so about $35 mill p.a.

Based on the above, a ROA of 10% isnt setting the workld on fire and is probably not sufficient compensation for future risks like energy transition. Of course I may be out on my profit margin on Orbost and the output levels so again, happy to hear from others on that front.