• Total portfolio value increased by $22 million during the quarter
• Dry weather conditions led to decline in major dam storage levels
• Government announced plans to recover 450 GL of water for environmental purposes by 2027
• Entitlement and allocation prices saw mixed movements during the quarter

Duxton Water is pleased to report that the total value of its portfolio increased by $22 million during the quarter, primarily driven by recently contracted water entitlement acquisitions and a rise in allocation prices. This has resulted in the Company's overall portfolio reaching a new high of 91.5 GL. Weather conditions remained persistently warm and dry across extensive areas of the southern Murray-Darling Basin, contributing to a significant decline in major sMDB dam storage levels, now at their lowest point since 2020. The Commonwealth Government reaffirmed its plan to begin accepting tender offers in late 2024 and early 2025 as part of the water buyback program under the Restoring Our Rivers Act 2023, aiming to recover 450 GL of water for environmental purposes by 31 December 2027. During the quarter, the Ricardo Entitlement Index decreased by -0.4%, with entitlement values increasing for general security entitlements, which marginally offset declines in high security entitlements. Allocation prices increased during the December quarter as warm and dry conditions coincided with the start of the peak irrigation season. At 31 December 2024, the Company had 37% of its permanent entitlement portfolio leased, a decrease of 3% during the quarter due to the Company increasing its portfolio holdings. The Company remains optimistic about the next water year from a leasing perspective, with recent conditions leading to an increase in demand from irrigators looking for leases commencing 1 July 2025.