Good afternoon. Welcome, and thank you for attending today's Midway Analyst and Investor Call on our FY 2022 financial results. I'm Tony McKenna, CEO and MD of Midway Limited, and I'm joined today by Michael McKenzie, who was appointed Chief Financial Officer on July 1. We are recording today's session so we can put a transcript on the website. Despite the disappointing financial result, there's an inspiring challenge before us to restore profitability, establish Midway as a leader in the emerging carbon offset industry and to maximize shareholder value. We are taking positive action to manage the adverse factors affecting our performance due to a difficult global environment and unexpected domestic industry issues. We've announced a strategic review and, on determining that Midway is not the natural owner of large forestry assets, executed contracts for the sale of our Victorian plantation estate. I will now take you through the key takeaways from the analyst and investor presentation lodged with the ASX this morning. Michael and I will then be pleased to answer any questions at the end of the presentation. In summary, the year was a tale of two halves, each with its own challenges. In the first half, the ongoing COVID-19 pandemic and power cuts in China adversely affected customer demand and export volumes. Wet weather and COVID-19 disruption to harvest and haul activities constrained the Australian industry's ability to capitalize on better trading conditions in the second half. Surging input prices, particularly fuel and labor, and a long-dated FX hedging position have squeezed profit margins. Partly as a result of these factors, the WA Logistics, the plantations, and the wood fiber segments made losses in FY2022. We have taken decisive steps to structurally address the persistent NPAT losses in WA Logistics and plantations. We've exited the logistics business, and with plantations, we have contracted to sell the plantation assets, refinanced expensive supply arrangements, and restructured the operations. As these initiatives are finalized, they will permanently remove the drag on earnings from these segments. The decision to sell our Victorian plantation estate to MEAG for AUD 154 million will have a major positive impact for the company and investors. On completion, it will secure expansion of the plantation estate for future log supply and establish the company as a manager of carbon and plantations. We are optimistic that this project will receive FIRB approval shortly and that it will reposition the company for future growth. Midway has also taken a number of steps to improve the earnings of the wood fiber segment. New customers have been secured for the Tiwi Islands project. The company has exported the first cargo from our new port facility at Bell Bay in July, and we expect Midway Tasmania to make a significant contribution after the Norfolk Street Mill is fully operational in October this year. We also continue to progress design and planning activities for a grain storage and export terminal on our North Shore site in Geelong. We are taking a range of other initiatives to ensure that when supply chain constraints ease, Midway will be well-placed to capitalize on strong regional wood fiber markets. The rapidly emerging demand for carbon emissions offsets presents a huge opportunity for Midway. The activities that generate plantation-based carbon credits are core to our business, and we are striving to establish Midway as a carbon manager in a way that has the potential to transform the company. Now to the FY2022 key results. The industry has faced a very difficult operating environment, and the FY2022 results reflect this and are clearly unsatisfactory. We have revenue was down 29%, underlying EBITDA loss of AUD 1.8 million, slightly worse than anticipated in May. Underlying net loss after tax before significant items, of AUD 8.6 million. Significant items pre-tax costing the business AUD 1.2 million, excluding biological asset revaluation of AUD 6.5 million up. Operating cash flow is down AUD 6.5 million, and net debt has risen to AUD 42 million as at the 30th of June. It was not an option to pay a dividend to shareholders based on these results. However, the sale of the Victorian plantation land and trees gives directors the ability to use the first tranche of the proceeds to reduce debt, repay the strategic financial liability, and pay a fully franked dividend of up to AUD 0.195 per share in first half of 2023, subject to final completion and other conditions. Directors will consider future special dividends when the subsequent tranches of the sale proceeds are received. Now to the financial results for FY2022. Again, the numbers tell a story of a difficult year. Operating costs were down because of lower sales volumes. However, underlying costs actually went up in the second half of 2022 as a result of rising inflation and fuel costs. The net fair value of our biological assets increased by AUD 6.5 million on the back of higher wood fiber prices. The higher wood fiber prices and higher interest rates meant our strategic financial liability also increased. As a result, we recorded a statutory NPAT loss of AUD 12.9 million. Key drivers of performance for FY2022. Midway experienced a AUD 4 million improvement due to the increase in wood fiber prices, where the globulus price was set at $180 per ton for the 2022 calendar year. There are also some green shoots in the business units. PMP Tiwi operations improved by AUD 2.7 million in EBITDA, and Southwest Fibre improved by AUD 2.5 million in EBITDA over the prior corresponding period. However, a long-dated FX position entered into in 2021 cost us just over AUD 10 million compared with the previous corresponding period. Unfortunately, that FX position will remain in place in the first half of 2023. At current FX levels, it will continue to be a drag on financial performance. The other market and weather-driven factors causing deterioration from the prior corresponding period were lower volumes, had a AUD 5.2 million impact. The bone-dry fiber content declined 2% because of wetter conditions, with an impact of AUD 4.9 million. The supply chain margin squeeze had a AUD 4.9 million impact. I'll now look at the cash flow. The good news is the contribution from the sale of plantation land at Kerrisdale and Wandong, north of Melbourne. The net land sale proceeds of AUD 20 million were used to repay AUD 10 million in long-term debt and help fund the investment in our business at Bell Bay. Long-term net debt therefore fell from AUD 29 million to AUD 19.1 million, and we will fully repay that with the MEAG proceeds in FY 2023. Our gearing ratio is currently 25%. We remain within our banking covenants and have a strong relationship with our banks. We will retain working capital debt and asset finance after the settlement of the sale of the plantation estate, and these are appropriate types of debt for Midway at this time. Midway converts the vast majority of export sales to cash, and we therefore expect an improvement in our cash position when the business is able to capitalize on strong export demand. Looking at the balance sheet for FY2022. Our net asset position remains very strong, and in knowledge of the impending sale to MEAG, we have used proceeds from the Wandong sale for investing in the Bell Bay development and for repayment of long-term debt. The net current asset deficiency position will improve after the first tranche of the plantation estate sales. At that time, further repayment of debt will occur and the unwinding of the expensive strategic financial liability will commence. The long dated adverse FX position is another factor contributing to our current net asset position. Our net tangible asset backing of AUD 1.406 per share is well above our current share price, and it is one of my major challenges to address this gap. We believe the market will more accurately value Midway when current remedial actions are fully implemented and operating performance improves. We will update the market on our cash flow position and balance sheet after the plantation sale to MEAG is completed. Our trading conditions. Wood fiber demand and supply. A frustrating aspect of the company's performance this year for me was the fact that production constraints have prevented us from taking full advantage of the return of strong market demand in the second half. While the Japanese market is relatively mature with minimal growth, the Chinese market has seen a structural increase in demand with new virgin fiber pulp mill capacity coming online in the first half of 2022. On my recent visit to our Japanese customers, it was apparent that they are feeling the impact of the tight supply and stronger demand environment. Low-cost acacia supply from Vietnam also appears to be more constrained. On wood fiber and pulp paper pricing. As usual, the Australian wood chip industry confirmed annual pricing with the Japanese market in early 2022 calendar year. This year, the global wood chip market dramatically improved after the annual pricing was set and costs rapidly escalated. This meant Australian exporters were not able to benefit from improved trading conditions in the second half. Vietnamese acacia CIF export prices have experienced an increase around 30%, and it's reported that more recent FOB prices have seen increases closer to 50%. All Australian hardwood wood fiber stock is sold out until the end of 2022 calendar year. Global industry expert RISI has forecast a tighter wood fiber market as further new capacity comes on stream, with higher wood fiber prices for export expected for calendar year 2023. Now looking at the business initiatives that are designed to improve performance. One of the most important business initiatives was the decision to sell our Victorian plantation estate to MEAG. The sale of the Victorian plantation estate and trees is important because it will provide Midway with a plantation management income and long-term offtake agreement for wood fiber in southwest Victoria. It will simplify the Midway balance sheet by removing the plantation land and trees from the asset register, removing the revaluation volatility from the annual financial accounts. It will enable the reduction of corporate debt, repayment of the strategic financial liability and return of capital to investors. It will provide Midway with a platform to become a leading plantation carbon manager. Another important project is the completion of the Bell Bay processing and export facility. The first stage on berth 7 is complete, and the second stage, the processing and storage site at Norfolk Street is due for commissioning in September this year. The first softwood export vessel was shipped from Bell Bay in July, and further softwood vessels are confirmed for calendar years 2022 and 2023. The new site gives Midway the ability to segregate wood fiber and allows us to earn a premium for sustainability certification on regrowth hardwood thinnings. Also of great importance to Midway is the proposed grain terminal at Geelong, which is progressing well with planning and design work well underway. We are working through state and local government development approvals. On our carbon strategy. The forecast for the surge in global demand for carbon offset credits to meet net zero commitments by 2050 presents an enormous opportunity for Midway. There is currently limited supply of high-quality forestry plantation projects to generate carbon credits. The commitment to further planting by MEAG demonstrates that global fund managers are keen to invest in sustainable plantation forestry assets in Australia. Midway is at the leading edge in the Australian market, contributing to the regulatory framework, including having input to the CSIRO and Clean Energy Regulator processes. Now looking at Midway's competitive advantage in carbon management. Midway's business model of forming partnerships, establishing and managing plantations, and generating a commercial return from those plantations, is the same process that generates plantation carbon credits. We are at the table with large international investors as they look to participate in the carbon offset industry. We're at the table with local landowners as they consider how they can participate in the generation of carbon sequestering projects. Providing carbon credit management usually also secure supply of the underlying wood fiber business. Under the new plantation forestry carbon rules, replanting now qualifies for carbon credits. This rule is essential for the retention of current plantation areas and enables us to harvest the plantation and generate new credits on replanting. This becomes a virtuous cycle of growth for Midway. The regulatory and execution complexity of the carbon credit registration management process and the need for an industry presence with feet on the ground fortifies Midway's position in this field. There are a few companies in Australia with the ability to work across the whole forestry plantation supply chain with investors and growers in the way Midway can. This is an organic expansion of our business that can be transformational for the company. Moving to the carbon, revenue models that we're working on. This is a new and rapidly changing environment. We've identified three complementary business models immediately ready for pursuing. Firstly, as carbon rights owner, we can generate, own, and trade Australian Carbon Credit Units(ACCUs). The Tiwi Islands is an example of where we can work with indigenous owners to generate and share carbon credits when we replant as part of a second rotation. Secondly, as a plantation aggregator, we can manage plantations on behalf of small landowners and share carbon credits at an agreed rate. Our work in Tasmania shows that there is a very compelling opportunity that has not been fully tapped yet. Thirdly, as a carbon manager, we can manage carbon assets on behalf of others. The MEAG transaction is an example of how we can do this with global investors looking for local industry experts to manage projects for them. These projects provide benefits for Midway, including greater economies of scale. Importantly, these business models are capital light and do not require Midway to own large tracts of land. Now to the outlook on the key factors that will drive performance in FY 2023. We expect stronger export pricing and a more favorable exchange rate in the second half of 2023 to benefit the business. However, lingering COVID-19 supply chain disruptions persist and will impact volumes in the first half of 2023. We expect continued margin pressure in fuel and labor markets in the first half. It is too early to say what the net impact of these factors will be across the whole financial year. We will provide an update on business and trading conditions at the annual general meeting on the November 30. However, we remain confident that once supply chain disruption eases, Midway will be well-placed to take advantage of strong demand at higher wood fiber prices in calendar year 2023. We will continue the next phase of the strategic review to consider the future growth opportunities in carbon and adjacent markets, and to consider the natural ownership structure of the business. All options remain on the table as far as I'm concerned. Despite the unsatisfactory financial performance in FY2022, I'm convinced that the company's operating financial performance can be turned around and that Midway can be repositioned to capitalize on the opportunity presented by rapidly growing demand for carbon emission offsets. My management team and I are very focused on generating improved shareholder returns. Michael and I are now happy to take your questions through the Q&A box. First question, Tony. Is there any update on who will be the joint venture partner or lessee of the Geelong Grain Terminal project? Thank you. At this stage, that remains confidential information, but we are making good progress in discussions. There's some negotiations that still need to be worked through, but there's a lot of work happening behind the scenes. No other questions at this stage. We'll just wait for a moment. Participants can ask questions through the Q&A box on the Zoom top of the Zoom screen. Charlie Kingston's asked a question. At current spot and wood chip prices, how profitable would you be? That's a speculative question that we probably shouldn't be going to answer and won't answer that one. Another question from Charlie Kingston. What is the FX hedging policy going forward? Our FX hedging policy remains as it has been, with a level of cover, that scales as we go into the future. We are averaging our position down, obviously, with the better FX rates now. We will continue to remain fully covered to the level that our policy allows and, we won't be going to extend that position at the moment, but we're constantly monitoring our FX position. Charlie's on fire today. Good. Is Bell Bay fully funded now? Of the major projects, only Geelong pending? From a capital perspective, in FY 2023, there's about AUD 4 million-AUD 5 million to be spent in the early part of the year, just before commissioning in September, October. From our perspective, fully funded with a combination of bank debt and what we've already spent. The only other major capital initiative at the moment is obviously the grain project. Simon Conn has asked a question. Have you seen your competitive position change through this period? Have any competitors disappeared? How have they coped with the increased costs you have witnessed? Talking to our competitors, none have disappeared because of the nature of the industry is very long term. We do know that they are suffering very similar pressures to us. We're all experiencing the impacts of higher fuel costs. We're all experiencing the impacts of labor shortages, truck drivers availability, those sort of things are putting pressure on. As I said, we are very frustrated, and this is industry wide, not to be able to deliver more volume into the strong buoyant markets at the moment. Another question's come in. Two questions. The first is there any time frames around when the grain terminal project may process? That's a fair question, but it's, there's multiple parties involved to finalize this, and we aren't able to put a timeline on it. We are moving as quickly as we can, and I'd like to be making announcements, but we're not at that stage yet. We will be making announcements in due course, hopefully. Second question from Charlie Kingston. Once corporate debt is repaid, what is the working capital required by the business? How much cash will you need to retain to fund the business? Well, again, Charlie, at any point in time, it depends on the cycle. As we know, a vessel proceeds AUD 6-8 million in cash coming in, so we need to build stock for that vessel. Our working capital facility will reduce to AUD 15 million from the December 31 or when the merger deal settles. Once we repay the debt, we'll need to maintain a level of working capital to support inventory build across the business. You know, we like to have a couple of vessels in stock so that could be between AUD 10 million and AUD 15 million just to cover working capital from an inventory build perspective. A question from Richard Wilkins. How much do you estimate the carbon credit part of the business to be worth? When is this likely to occur? That's a really good question. The carbon side of the business is, as I said, it's a new and emerging industry. It's fast-growing, it's exciting in that way, but there's also a lot of uncertainty. What is certain is that we are leading players in the actions and activities that generate ACCUs through plantation forestry. It will be an increasingly important part of the business. Quantifying an emerging industry is really difficult, but you can look at the projections for both the number of ACCUs that are required and the value of those ACCUs. It's one thing certain is that the importance of parties who can generate ACCUs for all these companies and countries that are looking to offset their emissions, I think, puts us in a very good place. Question from Anthony Bak. Are there any opportunities to replace the lost Eastern European supply of wood pellets to European and Asian markets due to the Ukrainian war and associated sanctions on Russia with our wood chips? Not directly, but we are seeing sort of knock-on effects as demand for example, biomass out of Japan is increasing and we probably will see the same out of China. While there's not a direct opportunity to replace that supply because of freight costs and other issues, that is creating additional demand for other products which is dragging up. The demand for Vietnam wood chips was a major source of supply for biomass plants in Japan, for example. This is getting more competitive to that, which is pushing up the wood chip price. Just pause for further questions. Another question from Simon Conn. Has there been any progress with bringing in other sources of wood chips through Geelong? I understand there is another operator in the area whose volume could go through Midway's Geelong terminal. We have had some discussions on that, but to date there's been no significant progress. There's some history to be worked through, but it makes good commercial sense, but there's some work to be done before we make some real meaningful progress on that. Just waiting for further questions. Got 2 more questions. The first is from Richard Wilkins. When do you think the business will be profitable again? Record revenue last year, but no profit. Thank you, Richard. I'd be disappointed if we're not profitable this current financial year that we're going into. It's, you know, with all this, everything that we've seen happening globally and within our industry. It's very hard to make any projections or predictions that way. Another question from Charlie Kingston. What are the CapEx requirements of the carbon opportunity? Appreciate there are multiple ways this could play out, but what is your preferred way to invest in the opportunity and required funding? Yeah. Good question. Thank you, Charlie. Around the aggregation model, there is limited capital required, although if there's capital available to invest in owning trees alongside landowners, that would increase our ability to grow that business. Obviously in the management model, there's minimal CapEx required at all. For managing MEAG, we have the infrastructure in place, so there's no further investment required for that. The option where we, for example, the project in the Tiwis on the second rotation, there would be capital required to own the trees and lease the land, and to establish those projects. While it's my personal preference that we can find a way to do it, because I think it will represent some very attractive opportunities, I think we need to have a look at the risk return that that provides and whether that's the optimal use and whether Midway, as the company stands today, is the natural owner of those trees. We're still to work through that and just thinking about it from who's the natural owner of those trees. The main thing from Midway's point of view is that we're at the table and part of the project and capturing value for being able to establish and manage those projects. Richard Wilkins has asked another question. Are you able to give an update on the progress of the FIRB approval for the plantation assets? Yes. Thank you, Richard. The FIRB has come back to us a number of times requesting extensions for their consideration. We have seen draft conditions, which is a very good sign. Those conditions, there's nothing objectionable in those. There's still some process to work through internally within the FIRB, and then the process goes to the treasurer. Things are going well. We should hear from them by the end of this month. We've seen that they've extended probably three times now, so I can't be certain about timing, but I think very confident that we'll get there and expect to hear hopefully this month. Thank you. Another question from Simon Conn. Have you had any discussions with other asset owners about managing their plantations? Does the MEAG deal allow Midway to manage assets for other parties? Thank you, Simon. Our priority would be to try and establish and manage new plantations. At the moment, most of the plantations, the scale plantations have managers attached to them. What we're seeing is a transition from the TIMO with the fund management model, and we're seeing that shift more to a direct investment working with industry players like Midway. MEAG talk of themselves as or describe themselves as being one of the early investors in the TIMO model along into those assets. We now see them investing directly with an industry player. We expect to see more and more of that and we're definitely open to it, but it's more likely to be for establishing new plantations rather than in existing ones. Charlie Kingston has asked a question. When do you think you will be able to deploy the additional AUD 200 million from MEAG, and when will Midway begin receiving revenue from this? Yeah. Thanks, Charlie. We will be looking to start deploying that as soon as contracts are signed. We've had people working on it around identifying suitable properties and doing preliminary work. It will take a little bit of time to start seeing that come out and it to be invested over a course of five years. We expect the first year start up will probably be a bit slower than subsequent years. We're definitely working on that and that progress is being made in that way. As far as when will we start seeing revenue, that comes from when we first start establishing plantations and make those acquisitions. Anthony Bak has asked a question. Does the FIRB approval include the planned AUD 200 million of investment, or will each acquisition require separate approval? Great question. Thank you, Anthony. It will include a certificate of exemption for future purchases, and that's why it's taken longer than it would have normally. To not have that certificate of exemption would have made it significantly harder for us to acquire land. That's been an important part of the process, but it has made things take longer and delayed settlement and the commencement of the project. Yes, no, that's the way the FIRB approval will work. Charlie Kingston's got another question. How much of the loss this year was due to Geelong? Geelong hasn't made a loss, but it hasn't made the returns that it has in the past. That's been a drag on the business. That's around, significantly around having volumes going through. Geelong's not a loss-making asset as it stands. That's not a loss-making part of the business. Just waiting for further questions. Charlie Kingston again. Do you have a mid-cycle EBITDA margin target? No. No, we don't. To commit ourselves to something like that, I think would be, as I said before, foolish in the environment that we're currently experiencing and that we've experienced in the past. Charlie Kingston, are you focusing on the voluntary or regulated carbon markets? We're focusing on the regulated carbon markets, and we're doing that because there's a higher value attributed to it and because the type of carbon credits that we generate attract that higher value. That's, I guess, the commercially optimal place for us to be playing. It plays to our strengths as high quality carbon offsets. Thank you everyone for your interest. We really appreciate your interest in the company, and as I said, we're completely committed to turning around this performance, turning around the financial operating performance, but also repositioning the company for growth in an emerging market that sits so closely to what we're doing. I think it presents a great opportunity for us as a business and hopefully will present great opportunities for you as holders. Thank you for your time.