1 00:00:00,080 --> 00:00:02,160 Speaker 1: Shane solely harbor Asset Management is with us. 2 00:00:02,160 --> 00:00:06,440 Speaker 2: Hello Shane ton Quai here, how are you very well? 3 00:00:06,440 --> 00:00:08,560 Speaker 1: Thank you? Busy day for the dairy sector announcements today. 4 00:00:08,560 --> 00:00:10,520 Speaker 1: So you had an announcement from Fontira. 5 00:00:11,960 --> 00:00:16,599 Speaker 2: Yeah. So Fontira is obviously sold mainland group business to Talas, 6 00:00:16,640 --> 00:00:19,000 Speaker 2: one of the big global groups, and it announced a 7 00:00:19,040 --> 00:00:22,480 Speaker 2: supply arrangement with them today. Basically a ten year raw 8 00:00:22,480 --> 00:00:26,160 Speaker 2: milk supply deal allows both parties after seven years to 9 00:00:26,239 --> 00:00:28,800 Speaker 2: chop out with a thirty six month notice keeping. Here 10 00:00:28,960 --> 00:00:31,320 Speaker 2: is a good price for farm and still based price 11 00:00:31,560 --> 00:00:34,839 Speaker 2: of farm gate price plus some undisclosed premiums link to 12 00:00:34,960 --> 00:00:38,600 Speaker 2: volume and collection and so forth. And really importantly their 13 00:00:38,920 --> 00:00:41,760 Speaker 2: Fontier is expecting the same sort of volumes they have 14 00:00:41,920 --> 00:00:44,240 Speaker 2: been delivering into Mainland, So about three and and fifty 15 00:00:44,280 --> 00:00:47,479 Speaker 2: million leaders, similar levels of activity between the two groups 16 00:00:47,479 --> 00:00:49,920 Speaker 2: and terms of Finnish goods as well, all up a 17 00:00:49,960 --> 00:00:52,559 Speaker 2: little a little bit of a support for the Fontira 18 00:00:52,560 --> 00:00:54,760 Speaker 2: ship race up half a percent to seven ninety five today. 19 00:00:54,800 --> 00:00:56,279 Speaker 2: That's the Fontier shield. 20 00:00:56,040 --> 00:00:57,920 Speaker 1: Of fund Sorry, okay. And what about Sinnay? 21 00:00:58,800 --> 00:01:02,440 Speaker 2: Yeah, so sin Lay obviously been under pressure with rather 22 00:01:02,440 --> 00:01:03,960 Speaker 2: than high levels of debt and a bit of an 23 00:01:03,960 --> 00:01:06,920 Speaker 2: operating profit problem over the last year. They came out 24 00:01:06,959 --> 00:01:09,120 Speaker 2: with a result today it was better than expected. But 25 00:01:09,240 --> 00:01:11,880 Speaker 2: really the keyping that drove the sheer price up was 26 00:01:11,959 --> 00:01:14,920 Speaker 2: up fifteen percent today to eighty one cents was a 27 00:01:14,959 --> 00:01:17,720 Speaker 2: sale of its North Islan assets to Abbott for just 28 00:01:17,760 --> 00:01:19,600 Speaker 2: ever three in a million. That that is a really 29 00:01:19,600 --> 00:01:22,399 Speaker 2: helpful combining it with a better cash flow, and it 30 00:01:22,400 --> 00:01:24,520 Speaker 2: actually takes care of most of SILA is dead at 31 00:01:24,520 --> 00:01:28,000 Speaker 2: the moment. They haven't provided guidance. Management didn't provide guidance, 32 00:01:28,040 --> 00:01:31,400 Speaker 2: but they did talk about previous manufacturing problems they've pretty 33 00:01:31,480 --> 00:01:34,479 Speaker 2: much resolved and they're actually seeing a strong customer demand. 34 00:01:34,560 --> 00:01:36,240 Speaker 2: So a much better day for Sinlay. 35 00:01:36,760 --> 00:01:39,160 Speaker 1: Now. We've been speaking to Nicola Willis just before about 36 00:01:39,160 --> 00:01:42,800 Speaker 1: the energy market report out this week. What's the market expecting? 37 00:01:43,880 --> 00:01:49,560 Speaker 2: Yeah, so market's actually real The keyfully optimistic is probably 38 00:01:49,560 --> 00:01:52,200 Speaker 2: the best oputant. So we've got their government due to 39 00:01:52,280 --> 00:01:55,400 Speaker 2: announce at surgiwin divention charges hopefully on Wednesday, and it's 40 00:01:55,400 --> 00:01:57,440 Speaker 2: the end of the month. That's what they've said, and 41 00:01:57,600 --> 00:02:00,600 Speaker 2: based on recent minister's comments, the markets expect been changes 42 00:02:00,600 --> 00:02:03,800 Speaker 2: to be pretty much common sense adjustments rather than major interventions, 43 00:02:04,760 --> 00:02:07,840 Speaker 2: and that days these are announcements on Wednesday won't really 44 00:02:07,920 --> 00:02:11,840 Speaker 2: materially impact their current share prices or their company valuations. 45 00:02:12,120 --> 00:02:14,720 Speaker 2: What we are watching for the Heather is measures that 46 00:02:14,760 --> 00:02:17,720 Speaker 2: address things like gas shortages, including potential for gas imports, 47 00:02:18,120 --> 00:02:21,720 Speaker 2: some improved transparency on hedging and assistance for retail market, 48 00:02:22,360 --> 00:02:25,799 Speaker 2: some discussion about hydro storage, about contingent hydro storage, and 49 00:02:26,200 --> 00:02:29,760 Speaker 2: anything that really streamlines this resource consenting process. That while 50 00:02:29,800 --> 00:02:33,239 Speaker 2: the market's not expecting big shocks, there's a lot of 51 00:02:33,320 --> 00:02:35,679 Speaker 2: focus on is it going to be just that? Is 52 00:02:35,720 --> 00:02:37,080 Speaker 2: it going to be a little bit of common sence? 53 00:02:37,240 --> 00:02:39,480 Speaker 1: Yeah, brilliant stuff has Shane has always good to talk 54 00:02:39,520 --> 00:02:42,720 Speaker 1: to you. Thanks mate, Shane Soley, Thanks Harberaccit Management. For 55 00:02:42,880 --> 00:02:46,440 Speaker 1: more from Heather Duplessy Allen Drive, listen live to news talks. 56 00:02:46,480 --> 00:02:49,640 Speaker 2: It'd be from four pm weekdays, or follow the podcast 57 00:02:49,800 --> 00:02:50,760 Speaker 2: on iHeartRadio.