Sale of Australia’s biggest sheep station falls over

Jumbuck Pastoral has listed Australia’s largest sheep station, the 1.046 million-hectare Rawlinna Station, for sale after an existing deal fell over.

Australia’s largest sheep station has been publicly listed for sale after an existing deal with mining magnate Andrew ‘Twiggy’ Forrest’s ASX-listed Fortescue fell over.

Jumbuck Pastoral have listed the 1,046,323-hectare Rawlinna Station for sale, more than a year after it emerged Dr Forrest and Fortescue Metals Group via subsidiary Fortescue Future Industries, entered into a conditional contract to purchase the sprawling outback station.

Located 400km east of Kalgoorlie in Western Australia, Rawlinna is regarded as Australia’s largest operating sheep station, covering an area about the size of Greater Sydney, carrying up to 69,000 sheep in recent seasons.

A Fortescue spokesman said the transaction had been left in limbo for almost a year waiting for approval from the West Australian government.

“Fortescue is no longer proceeding with the acquisition of Rawlinna Station. We have been waiting for Ministerial approval of the transfer for 11 months,” the spokesman said.

“Following this extended period, with policy ambiguity remaining regarding Government approval, we have chosen to withdraw from the sale of Rawlinna, which was always a long-term energy opportunity for Fortescue.

Andrew Forrest with King Charles III at the Australian National Botanic Gardens in Canberra. His Fortescue Metals Group have dropped out of purchasing the 1.046 million-hectare Rawlinna Station. Picture: NewsWire-Martin Ollman

“Withdrawing from the sale provides certainty for the Rawlinna workforce and the Nullarbor community in relation to the current and future operations at Rawlinna.”

Fortescue said they remain committed to pursuing long term green energy opportunities in the Nullabor and Southeast Western Australia region via alternate arrangements.

Following the withdrawal, Jumbuck Pastoral has listed the station publicly, via a staged expression of interest campaign through Elders.

It is understood the station is for sale bare (excluding livestock) and is expected to receive offers greater than $20 million.

“The portfolio of agricultural assets that has been acquired by Jumbuck over many years of sustained investment is truly extraordinary,” Elders’ executive general manager network Tom Russo said.

Rawlinna Station, located 1000km inland from Perth, Western Australia.

“Whilst the divestment of Rawlinna constitutes a significant sale, in the context of their overall portfolio, this is merely a refinement to better align the asset base with Jumbuck’s strategy moving into the future.

“Jumbuck’s intention is to continue to invest in the improvement and growth of their proudly Australian family owned agricultural enterprise.

“Given the strategic advantages and efficiencies that can be achieved by operating an enterprise at this scale, we anticipate receiving offers from both large private and corporate investors within Australia and internationally.”

Jumbuck Pastoral’s Hugh MacLachlan.

Rawlinna Station was first established in the 1960s after Hugh MacLachlan sited a remote siding called Rawlinna as he was travelling from South Australia to Perth on the Indian Pacific.

Last October the 136-year-old company split their 5.2 million-hectare empire of 12 stations between brothers Jock and Callum MacLachlan and their father, Hugh.

Jumbuck Pastoral retained the 112,000-hectare Gunbar Station alongside the 513,000-hectare Commonwealth Hill and 309,600-hectare Bulgunnia Station in South Australia and 254,648-hectare Blina Station in Western Australia’s Kimberley following the carve up.