Transiting Stooges often remark about the credibility of...

Transiting Stooges often remark about the credibility of Northern's backers. Well, Lang Hancok
faced the same narrow mindedness when he asked Rio Tinto to back him in the Pilbara iron ore
project in 1961. Rio tried to entice [then] the WA Govt with a plan for funding a steel industry in
WA. But the Brand Govt rejected Rio on the grounds that Rio had 'no experience in steel mining'.
The rest is fascinating history.

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There is an ancient Chinese saying that Shandong would be very familiar with..'If you don't change
your direction-you may end up where you are headed.' Coal/Wind power will eventually give way
to Nuclear. [Early days for South Australia] China is surging ahead and companies that don't diversify
will be taken out by those that do. And it wont just be Northern's HRE project that Shandong and
associates will embrace in Australia -if Mitsubishi is any guide....

Mitsubishi is rapidly expanding its AG investments in Australia's budding prawn farming industry off
the Kimberley coast and is keen to invest $400 million to secure a 25% stake in the project. While the
Gays and Greens ' Traipse' through the media headlines-Chinese and others are accumulating our
Northern range lands for their future protein source.

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Chinese coal companies it should be noted,are not necessarily independent of the Chinese Govt. At best
there is a grey line between Xi Jinpings 'inner circle' and business-often it is totally absent! Nearly half
of all profits generated by China come from companies that the Chinese Govt has a controlling interest
in.

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Shanghai Zhongfu [Kimberly Ag investments] recently bought 476.000 Ha Carlton Hills for $100 M
paving the way for a massive cropping and food processing development backed by the Ord irrigation
layout. SZ won the right in 2012 to develop 14,000 Ha of irrigated land-"opened by public purse"-in the
Ord irrigation scheme stage 2 paying $1.00 a year rent for the 50 year lease in return for pledging to
invest $600 Million in development and processing plants and jobs. [Carlton hills is the original Durack
property and was 'quietly' approved by the FIRB and Morrison]

***

Australian Miners diversifying are Gina Rinehart and Twiggy Forrest....

Gina Rinehart recently purchased the 'Crown Jewel' of the Kimberly stations-Fossil Downs- for $30 M.
[Fitzroy crossing] Gina also has a controlling interest in "Liveringa" station for $40 M, along with
Waroona abattoir south of Perth. Other beef properties under the same flag are Riveren,Inverway and
Nerrima stations.

***

Twiggy Forrest has now acquired Harvey Beef, WA's only accredited beef exporter to China-along with
purchases of two Gascoyne stations to fuse with his - Mindereoo- in the Pilbara. [Note how mining and
other pursuits like AG can co-exist in the heads of Smart People. The product can change-but business
principles remain the same ]

***

AG expansion in the Northern Australia will need lots of water. Most Australians if asked to name our
Artesian basins [hopefully] would know at least one-the Great Artesian Basin. A pear shaped aquifer
starting in the Gulf of Carpentaria and flowing down to Dubbo in the east and Broken Hill in the West.
However, there are five other basins,one being the Kimberly basin,which is the size of Spain.When Texan
Jack Fletcher first tested the flows on his Liveringa station [Now Gina's] in the 1980s-the bores produced
8000 ltrs per minute with a 90 meter draw down. [I have two good bores with a fraction of that flow rate]

The North West aquifers are replenished annually by the 'wet' and the Dept of Water in WA estimates there
are more than 1000 gigs of sustainable water in the Kimberly and Pilbara. The Pindan [volcanic soils] of the
Kimberly are now being irrigated by centre-pivot irrigators with solid results.

Bottom line..

Agribusiness investment interest in the Kimberly is protein focused and that trend can only escalate.China
phased out their 'one child police' last year so land and food will be at the top of their 'hit list' -and if these
same people can combine AG with mining - like our entrepreneurs - then the Kimberly 'is wide awake' !

Hm