10.7103 ha freehold land title

Trees are owned are expressed as a percentage 2.65% share of the entire forest, Pinefarm 65.

Pinefarm 65 consists of 5 stands totalling 298.1 hectares of pruned and thinned Pinus radiata forest located approximately 10km west of Tiniroto, in the Gisborne District and 72 Km by road from Port Eastland.

2.3 CARBON MARKET

The carbon credits are leased to New Zealand Forest Leasing No 3 Ltd.

NZU have increased over the year with the current price at $5.90.This year the return is approximately $145 per ha less management costs.

The forest is showing a positive cashflow over management fees and insurance.

The owners share of costs this year $794.36.

Annual rates 2015: $1107.19 and are excluded from the above.

Management fee is approximately $40 per ha plus share of annual insurance.

Stand data

Compartment Species NSA Est. Year Age Prune Ht Stocking 1 PRAD 38.4 2002 13 6.3 401 2 PRAD 35.4 2002 13 6.3 401 3 PRAD 123.6 2002 13 6.3 384 4 PRAD 17.4 2002 13 6.3 377 5 PRAD 83.3 2002 13 6.3 366 Total 298.1

General observations indicate that the all stands have been tended under a 3/21 regime with a target pruned height of 6.5 metres. Silviculture history is taken as follows:

1st Prune at age five, to 3.54m;


2nd Prune at age seven to 5.0m;


3rd Prune at age ten to 6.5m; and


Thin-to-waste at age seven to a stocking of 750


Thin-to-waste at age ten to a final stocking 400


Documents available:

Valuation


Forest Report 2015


Lease agreement


2015 Budget vs actual


Audited Financial Statements


To download documents please copy & paste: http://www.propertyfiles.co.nz/ag