Dyno Nobel Limited (DNL) Earnings Call Transcript & Summary

[Presentation]

Good morning, everyone, and welcome to the 2022 Annual General Meeting for Incitec Pivot Limited. My name is Brian Kruger, and I'm very pleased to address this meeting as your Chairman. I begin by acknowledging the traditional custodians of the land on which we meet today, the Wurundjeri people and recognized their ongoing connection to land, water and the community. I pay my respects to elders past, present and emerging and extend that respect to any aboriginal or Torres Strait Islander peoples here today. Now before proceeding to the formal business of the meeting, there are a few housekeeping matters to note. In the unlikely event of an emergency, please remain calm and follow the directions of the Melbourne Exhibition Center staff, who will assist you to exit the venue via the doors to my right. The Melbourne Exhibition Center staff will then guide you to the nearest emergency evacuation assembly area. Exit signs are clearly visible throughout the venue, and if during the evacuation, you need assistance, please advise staff. And we do ask that no recording devices be used during the event. And if you could please check that your mobile phones are switched off or turned to silent. The Company Secretary informs me that in accordance with the company's constitution, a quorum is present. I therefore declare this Annual General Meeting open. I'd like to welcome our shareholders and visitors who are here today. After our last 2 meetings had to be held virtually due to the COVID-19 pandemic, we're delighted to be welcoming you back to our AGM in person this year. As today's meeting is being webcast live, I also extend a welcome to those watching online. The AGM is a very important opportunity for your Board to report to you and to receive your views. At the end of the meeting, the Board and management will be available to take your questions and talk with you over refreshments in the foyer. I'd now like to introduce my fellow directors who are joining me for the Annual General Meeting today. Firstly, Greg Robinson, who is standing for reelection today; Xiaoling Liu, who is also standing for reelection today; George Biltz, Bruce Brook, Tonianne Dwyer, and Jeanne Johns, our Managing Director and CEO. And finally, next to me on my immediate right is the Company Secretary, Richa Puri. I'd also like to introduce the members of the executive team who are here today in the front row. Paul Victor, who is our Chief Financial Officer; Braden Lusk, our President of Dyno Nobel Americas; Greg Hayne, President of Dyno Nobel Asia Pacific; Christine Corbett, who's the CEO designate for Incitec Pivot Fertilizers; Sunil Salhotra, Chief Strategy and Sustainability Officer; Robert Rounsley, our Chief Technology Officer; Stephenie De Nichilo, our Chief HSE and Operations Excellence Officer; Rob Mill, our Chief People Officer; and Margot Sharapova, our Executive Chief Information Officer. Also in attendance is Tim Richards, who is our lead audit partner from Deloitte, the company's auditor. Tim is available to answer questions regarding the audit of the company's 2022 financial report, which will be discussed as the first item of business. Timothy Farag and other representatives of Link Market Services, the company's share registry, are also with us today. Timothy will act as the returning officer for the poll that will take place. Before continuing with the formal business of the meeting, I'd like to provide an update on the performance of the company and developments during the year. I'll then invite our Managing Director and CEO, Jeanne Johns, to address the meeting. It's great to be back, face-to-face with our shareholders. Our financial year 2022 AGM is coming a little later than ordinary, given we originally planned to hold the AGM and shareholder demerger meeting concurrently for your convenience. In financial year '22, our business delivered a record result against the backdrop of geopolitical and economic challenges in the aftermath of the pandemic. We reported a 162% increase in earnings before interest and tax, excluding individually material items, to $1.485 billion. Our net profit after tax, excluding individually material items of $1.027 billion is up 186% compared to the prior year. Dyno Nobel Americas reported EBIT of USD 533 million, up from $141 million in the prior year, with the strong second half manufacturing performance capturing favorable commodity markets. However, a lag in passing through price increases to address inflation did impacted explosives margins in the second half. Dyno Nobel Asia Pacific EBIT of $162 million was up 16%, reflecting strong volumes and growth from technology sales. Fertilizers EBIT increased to $614 million, up from $268 million, with manufacturing more than doubling earnings during the year. We retained a strong balance sheet with net debt of $1 billion, and a net debt-to-EBITDA ratio of 0.5x, and that was down from 1.1x. Our return on invested capital in 2022 was 13.8%, up from 5.8% in the prior year. And following improved earnings performance, strong cash generation and balance sheet strength, the Board was pleased to announce a record final dividend of $0.17 per share, taking our total fully franked dividend to $0.27 per share. In addition, the Board has announced an on-market buyback of up to $400 million. Like all manufacturers globally, we have experienced some minor supply chain interruptions throughout the last few years. However, IPL across both businesses has maintained the provision of top-quality products to our customers across both the mining and agricultural industries. We've also taken this time to diversify our supply chain, expanding the geographical locations where we procure quality commodities. This has included the procurement of natural gas for the East Coast of Australia, at a time when the domestic and international gas supply market served up unprecedented challenges. Our teams continue to work tirelessly to secure natural gas for feedstock for manufacturing operations, while navigating a new world of policy administered by the Australian federal government. Last year, we committed to providing our shareholders with the opportunity to have an advisory "Say on Climate" vote at this AGM, which is presented today in Resolution 6. Shareholders are asked to show their support for IPL's progress during 2022 in managing its climate change transition by voting in favor of this resolution. We have made significant progress on our transition to Net Zero over the past 18 months. During 2022, we progressed 4 significant decarbonization projects: Moranbah tertiary nitrous oxide abatement, Waggaman geological permanent sequestration, the potential conversion of our Gibson Island manufacturing facility to green ammonia, and nitrous oxide abatement for our Louisiana and Missouri facility. And I'm pleased that these 4 projects, if each of them proceeds, will deliver in excess of 42% greenhouse gas emission reductions against our 2020 baseline for our current portfolio. Importantly, we continue to incentivize our key executives to deliver these projects, and they're being progressed as quickly as possible. We plan to revisit our medium-term reduction target as these projects progress and following the release of the science-based targets initiative methodology for the chemical sector. In 2022, we also made significant progress in identifying and measuring the Scope 3 greenhouse gas emissions in our supply chains. We completed a 3-month customer trial of our DeltaE explosives technology to quantify the greenhouse gas reductions associated with its use, which are being independently verified. And we engage with Fertilizer Australia on developing a methodology to quantify the greenhouse gas reductions associated with our enhanced efficiency fertilizers. This year, we've also established a sustainability capital category within our capital allocation framework, specifically to deliver our greenhouse gas emissions reduction projects. As part of this, we announced $100 million to $140 million in aggregate spend to 2030 with a $50 million to $60 million spend on decarbonization projects expected in financial year '23. And the external parameters are also changing. IPL is currently considering the federal government's revised Safeguard Mechanism. Our team is investigating the impact of the Safeguard Mechanism and engaging with the Federal Department with submissions due at the end of the month. In this context, the resolution being put to you today forms part of the company's ongoing commitment to transparency and open dialogue with shareholders and other stakeholders. We will continue to report our progress on climate change annually, and the Board is committed to submitting shareholders a nonbinding advisory vote at least every 3 years or more frequently if significant changes are made to the company's climate change strategy. In November and consistent with our long-term strategy, we announced a strategic review of our ownership in our ammonia production plant in Waggaman, Louisiana with the timing being driven by interest from a number of credible counterparties. This strategic review is well underway, and the demerger process will recommence once the strategic review is complete. The Board considers that significant value can be unlocked by the separation of the explosives and fertilizer businesses with both operating in large and attractive markets that value their industry-leading technology and products. With increased focus and appropriate capital structures, processes and policies for each business, these 2 iconic businesses will be unencumbered to pursue their respective and unique destinies. Now, more than ever, we're seeing the increasing importance of food security and mining extraction to the world as well as the rapid acceleration towards decarbonization and electrification. There is an unprecedented opportunity for us to accelerate our growth through the development of technology and customer solutions, to capture the significant potential in both the resources and agricultural sectors. And given how quickly the world is changing and the opportunity set in front of both businesses, we believe that separating the 2 companies will further empower them to more successfully capture these markets. The progress that Jeanne and the team have made to improve the reliability of our assets and develop and grow technology, coupled with our overall balance sheet capability means that we will pursue a separation from a position of strength. This allows us to set up both businesses with capital structures that reflect their different earnings profiles with the capacity to invest in the compelling growth opportunities they both have in front of them. Also, we know there is a high level of interest for an opportunity for separate exposures to either a premium explosives business or a focused Australian fertilizers business, from both existing and prospective shareholders. This reinforces our view that increased choice for investors will be an important contributor in unlocking value from the separation. In a post-pandemic world, travel once again became possible. And the Board was able to visit our people on the ground with visits to Townsville, Gibson Island and Geelong in Australia, and Salt Lake City, Waggaman and Carthage in the U.S. These visits provide us with important opportunities to gain more insights into the business, our people and our customers. Across 2022, we made some exciting appointments to a future stand-alone fertilizers business. In June, we were delighted to announce Michael Carroll as Chairman-designate of the Fertilizers business. Mike is a highly experienced director and has a long history of working in the agricultural sector across finance, fertilizers and agricultural services. In addition, our current IPL Board member, Greg Robinson, will join Mike on the future Board as a Nonexecutive Director. Greg will be a valuable addition, bringing knowledge of the fertilizer business, along with extensive experience in the resources, energy and finance sectors. We've also appointed the CEO-designate and CFO-designate for the Fertilizer business with Christine Corbett and Chris Opperman taking on these roles and establishing what is a very capable senior team to lead the business both in the lead up to and following the proposed demerger. I'd like to sincerely thank our Managing Director and CEO, Jeanne Johns, and the executive team for their impressive leadership. I also want to thank and acknowledge our global team on a remarkable year. Their incredible hard work and dedication to IPL was evident throughout the year and in our record financial results. And finally, I would like to thank my fellow Board members for their contribution throughout the year. Looking ahead, your company is in a strong position with both of our businesses performing well in very attractive markets and with great opportunities to be able to continue creating value for our shareholders and all of our other stakeholders. I'm now pleased to hand over to Jeanne, who will speak in more details on the company's performance over the past financial year and also on our strategic agenda moving forward. Thanks, Jeanne.

Thank you, Brian, and good morning, and welcome to our shareholders who are here with us in person today and everyone who's joining us online. I begin today by acknowledging the traditional custodians of the land on which we meet today. I pay my respect to elders past, present and emerging and extend that respect to any Aboriginal or Torres Strait Islander Peoples here today. I would like to acknowledge our Chairman, Brian Kruger, my fellow directors and our executive leadership and all of our global workforce. I'm delighted to be with you today as the Managing Director and CEO, to talk about our 2 category-leading businesses and the record financial results delivered during the financial year 2022. Our team worked incredibly hard to navigate the ongoing supply chain and inflationary challenges around the globe to deliver this result, as well as driving our strategy forward across all areas of the business. Today, I'll take you through the momentum that IPL has captured across safety and sustainability, and as Brian has touched on, our significant progress towards meeting our net zero ambition by 2050. I'll provide highlights of the record financial results from 2022 and what it means to you as shareholders. You'll also hear about the progress that we have made in executing our strategy and the strong momentum across the key strategic priorities, which is continuing in this financial year. And finally, I'll provide some commentary about the outlook for IPL. One constant, that has been the foundation on which the strategy is built, is our commitment to Zero Harm, our #1 company value. I am very proud of our team's response to COVID, showing care for each other and for our customers. The processes and systems that were put in place to support the business during the pandemic, have now been integrated into our overall safety management system, consistent with our commitment to continuous improvement. During financial year 2022, the number of process safety instance decreased by 34%. And while our personal safety record was flat, we were pleased to report that injuries resulting in serious harm continued to decline for the third year running. Our global team continues to work on the safety culture across IPL and strives each and every day to improve. This is evidenced by the rollout of our SafeTEAMS program, which has managed to touch over half of the IPL global population since we commenced implementation in June of 2021. Our efforts to reduce the impact on the environment are reflected in a great performance during the year. And I am pleased to see that the actions we've taken across IPL being reflected in the year-to-date numbers with a downward trend so far in this financial year towards our targets. Our climate change agenda is an immediate and important priority for the business. In November, we released our second stand-alone climate change report, which is fully aligned with the task force on climate-related financial disclosure guidelines. It sets out the significant progress that we've made towards our net 0 ambition by 2050 or sooner, if practical. And as Brian mentioned, we are progressing 4 projects at pace as we seek to deliver material change in our operational emissions, which collectively identifies a pathway to deliver an excess of 42% emissions reductions in the medium term from our current portfolio. One of those 4 projects is the potential green ammonia facility at Gibson Island, where we are currently progressing a FEED study with our partner Fortescue Future Industries. If the final investment decision is made to proceed with the project, it seeks to convert IPL's existing Gibson Island facility into a green ammonia facility, which would have the ability to produce 380,000 tons of green ammonia for the Australian and the export markets. While the future of Gibson Island is evolving in line with our climate change ambitions, I want to reflect on the important legacy created by the teams across the Gibson Island manufacturing facility and the big end distribution networks since operations began there in the 1960s. The teams have done an impressive job of managing the challenges over the last couple of years with a clear commitment to safety, efficient production and delivering for our customers. The decision to close Gibson Island in 2021 was made after we were unable to secure an economically viable long-term gas supply. In parallel, IPL is supporting central strategic review of the Surat basin gas tenement given its inability to meet IPL's future gas needs with the aim of recuperating the cost invested. Our current gas strategy is focused on securing gas supply for our 2 remaining manufacturing facilities. And in January, we started the process of transitioning Gibson Island to an import facility, and this work is progressing to plan. As I mentioned, financial year 2022 was a record financial result for IPL. Our team focused on safe, reliable operations and delivering for our customers in a complex operating environment to capture the strong market as well as the benefits of the commodity upswing. We delivered record EBITDA of $1.8 billion and operating cash flow of over $1 billion, with the strong result reflected in a return on invested capital of 13.8% or 21% excluding goodwill. Demonstrating our commitment to shareholder returns, we announced a record final fully franked dividend of $0.17 per share, bringing our total fully franked dividends for the year to $524 million. We also announced a buyback of up to $400 million, which amounts to up to $924 million of dividends and capital management initiatives based on the financial year 2022 performance. The timing of the buyback will be dependent on when we can execute in permissible share trading windows, noting the impact of the Waggaman strategic review and the half year blackout period. I am very pleased to report that this record financial result was delivered whilst also maintaining strong momentum across strategic execution to continue to create 2 great businesses and generate compelling returns for our shareholders. A critical part of this has been our 4-year journey to deliver manufacturing excellence to improve our plant reliability and to deliver a $40 million to $50 million benefit after the investment in our major plant turnarounds. The financial year 2022, the benefit was 3x this initial estimate with the well-performing plants capturing the value of the commodity upswing. Our strategy to invest in these turnarounds during the down cycle was well timed and an excellent use of capital to drive shareholder returns. And by way of an update on how we're performing in this financial year, we remain on track for the outlook provided at the full year with regard to the performance of our 2 biggest sites at Waggaman and at Phosphate Hill. We are pleased to report that we have continued to secure natural gas in an extremely tight market in the Eastern Australia to enable full production at Phosphate Hill, with our approximately 1 million tonne production target for this financial year remaining on track. We anticipate coming in at or slightly below the low end of the cost range for the additional gas costs that we gave at our full year results in November. And we are currently resuming our full contract gas next month. I'd now like to talk about 2 important priorities to further our strategy to grow recurring earnings. Both of our businesses are focused on the continued execution of our premium technology products and customer solutions. Over the past 5 years, we've delivered a compound annual growth rate of 19% from our premium emulsions, and 17% from our electronic detonators in our explosives business and over 10% growth from our liquid fertilizers. These solutions are helping our customers deliver better results in their mining and agricultural businesses, and this value is driving continued growth from these premium offerings. Customers are demanding the best and the latest in technology, and we're delivering it. Of note, last month, we began servicing one of our newest customers at the Caserones copper mine in Chile, with premium emulsions and detonators. We're gaining strong traction with our wireless offering, including significant developments in Western Australia, the mining hub of the Australian market. Our strategy is sharply trained on growing these recurring earnings by leveraging our world-class technology and reducing the volatility of our earnings from commodity exposure and maintaining capital efficiency and discipline is essential to our focus on delivering shareholder returns. In addition to our organic growth agenda, we made 2 strategically important acquisitions during financial year 2022. Firstly, building upon our strength in the quarry and construction sector, Titanobel contributed to a strong position in France, and a great opportunity to grow in select European and African markets. It provides an exciting opportunity for adoption of our world-leading electronic detonators in both a large market estimated at over 60 million detonators per annum and one that is underpenetrated in electronics. Tremendous values available for Titanobel's customers by upgrading to the superior technology. The business continues to perform well since completion of the acquisition in May and we're pleased to be exceeding the acquisition business case. The acquisition of Yara Nipro, a company specializing in liquid fertilizers, is highly complementary to our fertilizer business, bringing a broader range of liquid fertilizer options to our customers and supporting the growth of our soil health offering. Returning to our overall financial 2023 priorities, as Brian spoke to earlier, the strategic review of Waggaman is consistent with our focus on growth in recurring earnings and driving return on capital for our shareholders. With over 70% of Waggaman's production sold to third parties, there's a clear opportunity to unlock value from this excess commodity exposure. With the positive structural outlook for ammonia in the short and medium term, as well as the improvement in Waggaman's reliability from our manufacturing excellence strategy, now is an excellent time to be undertaking a strategic review. Importantly, as we progress the strategic review, we will prioritize preserving security of supply for our customers and an integrated margin for our shareholders. We look forward to providing an update on the strategic review at, if not before, our half year results. And while the Waggaman process has pushed out the time frame for the proposed demerger, we continue to drive the strategies to underpin the success of our explosives business and our fertilizer business as 2 separate companies, 2 companies with compelling market fundamentals as well as rich opportunity sets for their growth. We also made excellent progress during the year to secure high-quality executive talent to support the leadership of our 2 great businesses. We were pleased to welcome CEO-designate of our Fertilizer business, Christine Corbett. Christine brings a passion for building a soil health company, supporting our customers and a remarkable strength and leading people to take hold of that vision. Christine has a wealth of executive experience in customer-based businesses across energy, e-commerce, retail and logistics and has joined the executive team running the fertilizer business. Further strengthening our executive team, we were also pleased to welcome Paul Victor as our CFO last July. Paul is absolutely aligned to IPL's strategic objectives and brings enviable energy, drive, discipline, execution and focus. Paul brings strong capital allocation discipline and robust financial and commercial experience across the industrial, mining and energy sectors from his previous roles, including CFO with the publicly listed Sasol of South Africa. Turning now to the outlook. With financial year 2023 well underway, it promises to be another strong year for IPL. We have good momentum in our strategy execution across our explosives and our fertilizer businesses. And the outlook remains favorable in key end markets, consistent with the commentary that we provided at our financial year 2022 results. Our business is performing materially in line with that outlook that we provided at full year. In Explosives, positive recontracting conditions on the East Coast of Australia are expected with earnings impacts from financial year 2024 and onwards. In the U.S., Waggaman is tracking to nameplate production, and while the first half explosives volumes have been impacted by extreme weather, we expect to recover the volumes in the second half. The St. Helen's turnaround was completed safely, on time and on budget. And in Fertilizers, we have already covered Phosphate Hill, which is on track. And also Gibson Island, which has performed very well through its planned closure. And farming conditions remain favorable for a good planting season. As always, we're focused on what we can control, delivering continued strong operational performance to capture the strong pricing environment and to deliver returns to our shareholders. In closing, I'd like to thank all the dedicated and skilled colleagues across the world working for IPL. Their commitment over the past year is what helped us navigate a very disrupted market to continue to safely service our customers and to deliver a record financial result. And with that, I'd now like to hand back to our Chairman.

Thanks, Jeanne. I'll now proceed with the formal business of the meeting. The format of the formal part of today's meeting is as follows: Firstly, the company's financial statements and reports for the year ended 30 September 2022 will be received. Secondly, 2 resolutions relating to the reelection of Xiaoling Liu and Greg Robinson as directors will be put to the meeting. Thirdly, we have an advisory resolution relating to the adoption of the remuneration report. Fourthly, a resolution relating to the grant of performance rights to our Managing Director and CEO under the company's long-term incentive plan. And finally, an advisory resolution will be put to the meeting in relation to the company's climate change transition progress during the year. Before we consider the items of business, there are a number of procedural matters that I wish to explain in relation to the voting process and shareholders asking questions. And while our visitors and guests are most welcome here today, this is a shareholders' meeting and only shareholders, their attorneys, proxies and authorized company representatives are entitled to speak and vote at this meeting. Visitors cannot vote or ask questions. When you arrived today and presented yourself to Link Market Services, you were given an admission card. These are of a particular color depending on your type of participation. This is to make the validation and counting of votes easier. And the cards are as follows: shareholders and proxy holders have a yellow card; non-voting shareholders have a blue card; and visitors have a red card. You are entitled to speak at this meeting if you received a yellow or blue card. If you wish to ask a question in relation to a particular resolution, would you move to one of the microphones we've got on either side of the room, and show your admission card to the microphone attendant who will note your name and introduce you when it's your turn to speak. To ensure that shareholders as a whole have a reasonable opportunity to ask questions or make comments, each speaker will be limited to 2 questions at any 1 time. I'll take questions on the items of business as we deal with each one. And all questions should be directed to me as Chairman of the meeting. We received some written questions from shareholders prior to the meeting. Some of these questions have already been addressed by Jeanne and I. I will answer the remaining written shareholder questions under item 1. You'll find voting instructions printed on the reverse side of your admission card. If you are here as both a shareholder in your own right and as a proxy holder, then you will have received a separate voting card for each shareholding, being your own and the shareholding or shareholdings for which you are a proxy. If you are a proxy holder, you will have attached to your admission card another document marked on the top right-hand corner as nominated person's proxy summary. If your proxy has specified how you are to vote, you do not need to mark your yellow cards in relation to these votes as they've already been captured by the share registry. If you are a shareholder or a proxy holder with open votes, please record your votes by placing a mark in the for, against or abstain box next to each resolution. You don't need to put the percentage or number of votes unless you wish to do so. As a reminder, you can only vote if you hold a yellow admission card. The vote on all resolutions will be conducted by way of a poll. The poll reflects the voting preferences of all shareholders who have lodged a proxy vote and not just those who attend today's AGM in person. Details of the proxy votes received in relation to each item will be displayed as each resolution is presented, and the poll will remain open for 10 minutes after the meeting closes. The final results of the poll will be available later today on the ASX website and on the IPL website. I'm holding open proxies in my capacity as Chairman, and it is my intention to vote all such proxies in favor of the resolutions. Any directed proxies that are not voted at the meeting will automatically default to me as Chairman of the meeting, and I'm required to vote those proxies as directed. At the end of the meeting today, please lodge your voting cards in one of the ballot boxes that you will find near the exit doors. Your Board recommends that you vote in favor of all resolutions, subject to any voting exclusion that may apply to you. Ladies and gentlemen, I now declare the poll open in relation to all items and move to the items of business. The first item of business is to receive and consider the consolidated financial report of the company, as well as the reports of the directors and the auditor for the year ended 30 September 2022. This item does not require a resolution to be put to the meeting but does provide an opportunity for shareholders to ask questions or make comments on the financial report and the management of the company. As I mentioned earlier, the company's auditor is available to answer any questions in relation to the conduct of the audit, the preparation and content of the auditor's report, the accounting policies adopted by the company in relation to the preparation of the financial statements and the independence of the auditor in relation to the conduct of the audit. Any questions to our auditor should be directed to me as Chairman in the first instance.

So I'd now like to invite shareholders to ask questions or make comments on this item. There will be sufficient time for shareholders to ask questions regarding the other items of business later in the meeting. Any questions relating to the remuneration report and the climate change report will be held off until we come to those items. I did mention earlier that we received some written questions from shareholders prior to the meeting, and I'll respond to those questions now. The first question is, what efforts is IPL making to improve female representation at the executive level and across the company? Well, I can confirm that IPL is committed to seeking the best talent and placing the right people in the right roles. With Christine Corbett's appointment to the role of IPF CEO-designate, the percentage of female representation at the senior executive level has increased to 40% since our last reported figures at the 30th of September 2022. Our stretch goal remains to improve female representation across our global workforce by 10% year-on-year. And to foster female talent internally through a range of employee and leadership development programs, supported by a culture that embraces diversity. Female representation increased across senior management, management and professional roles in financial year 2022, which in turn increases our pool of female talent in succession planning. And more information on our efforts to improve diversity can be found in IPL's 2022 annual report and our 2022 sustainability report. The next question from a shareholder asked why there was an increase in the fees for nonaudit-related services from the previous year. We do have a policy setting out when and how IPL's external auditor, Deloitte, may be used for non-audit services. Provision of these services by Deloitte is subject to strict governance procedures, all of which are directed at preserving the independence of the external auditor. The actual increase in nonaudit-related services in financial year 2022 reflects the increase in assurance services from Deloitte, primarily related to corporate activity under consideration during financial year 2022 including the proposed demerger and closure of manufacturing operations at Gibson Island. And the final presubmitted question asked how much has been spent on the proposed demerger and what is the estimated total cost? Our cost estimates for the proposed demerger are still consistent with the information we've previously provided to you. The one-off cost estimate range is $80 million to $105 million pretax or $60 million to $80 million net of tax, of which $9.2 million pretax was spent during financial year 2022. These one-off costs are primarily related to stamp duty for the transfer of assets for the separation of the 2 businesses, IT transition and other corporate costs. There is an opportunity to optimize to the lower end of the range with the extended demerger time line. The estimate for ongoing dis-synergy costs between $25 million to $35 million pretax per annum. Thank you to the shareholders who submitted these questions. And I can say we've got at least 1 question from over microphone number 2, but I'll now ask, are there any questions from shareholders here today on item 1?

I'd like to introduce Mr. Peter Aird, from the Australian Shareholders' Association.

Good afternoon, Peter.

Congratulations on the [indiscernible]. Whilst the AGM is also being webcast, it cannot be attended online. ASA believes the hybrid meeting format is fair to see shareholders maximizing their participation. Would you comment on today's arrangements, and whether your demerger meeting can also be run as a hybrid meeting?

Thanks for the question, Peter. Look, we obviously revisit the structure of the meeting and how we run it before we have the meeting each year. We are, as we noted earlier, we are webcasting today's meeting. So shareholders everywhere have got the opportunity to listen. They can participate and ask questions in advance of the meeting. I'll just run through 3 of the questions that we received. And obviously, we're thrilled to be able to welcome all of the people in the room here today. But we will continue to look at the structure of the meeting. Those things are evolving, obviously, with the pandemic behind us, and we'll continue to look at what we think is the most effective way to run our annual meetings.

Thank you. And the second one. Regarding your current Waggaman strategic review, will any sale of the plant be completed prior to the demerger process, or will it be tied up to the successful demerger process?

Well, we're still in the middle of the strategic review. Our expectation, though, would be that we would have a firm decision on that before the demerger vote is actually bought to shareholders. And that's obviously what we're working through at the moment. And being the reason for the delay in our originally planned demerger timetable. Thanks, Peter.

I'd like to introduce shareholder, Mr. Ron Guy.

I'd like to -- I want to thank the country we stand on the indigenous population past, present and emerging, and also for the West Saharans past, present and emerging. So mine question is a concern over the procurement policy that -- recently there was a ship of phosphate that was brought from Western Sahara, which caused the great concern that you've been doing the right thing for 6 years and now unfortunately you've chosen not to. So I guess the parties with the ethical sustainable governance of how in the future, any monies that might be paid to Moroccan regime is not used against the Sahara as such as Sultana Khaya, who was under house arrest for something like 500 days and was beaten, raped and tortured along with her sister until they were rescued by human rights activists and taken to -- Sultana was taken to Spain. But there's Amnesty International and Human Rights Watch have got plenty of material on that and which is ongoing. And I guess the other part is that, that the flying of drones that have been killing camel drivers and -- a son was killed by drones used in the Western Saharan area. So how can we ensure that any monies that does not go to the Moroccan regime is used in such a way? And I guess, in essence, if phosphates purchased from Morocco, why can't you insist that it is from Morocco [ proper ] and not from the last colony of Africa that's waiting for its self-determination?

Mr. Guy, thank you for the question. I know you've been engaging with our team at IPL, or you and some of your colleagues have been engaging with our team at IPL over recent months, in particular. If I can, we've prepared a few comments just to explain fully to shareholders that may not be as aware of the issue as what you are. So I might just cover those off quickly, and we'll see if I can -- if that responds to your questions. Our plant at Geelong is configured to produce a particular type of product for our agricultural sector using a blend of phosphate rock from a range of sources. The blend requires at least 1 specific grade to ensure full compliance with Victorian state environmental requirements. IPL over the years has sourced phosphate rock from a number of sources, including China, Jordan, Togo, Nauru, Vietnam, Christmas Island as well as from Western Sahara. Since 2016, IPF has relied on phosphate rock secured from Togo and Vietnam. However, following a disruption of phosphate rock exports from Vietnam in early '22, those suppliers were no longer available. And since becoming aware of that disruption, IPF has assessed options to source phosphate rock from alternative markets. However, the only phosphate rock, other than Bou Craa is not commercially available and was not compatible with our current manufacturing process. So to ensure supply continuity of an essential phosphate-based fertilizer relied on by Australia's agricultural industry, IPF has sourced 1 shipment of Bou Craa from the non-self-governing territory of Western Sahara to meet the short-term production requirements at the Geelong facility. IPL is in the process of proving a new source to replace the volumes, which were previously sourced from Vietnam, subject to completion of relevant production trials. In terms of our legal position, IPL does have full regard to its legal and ethical obligations as they may relate to sourcing arrangements for all manufacturing inputs, including phosphate rock. IPL does meet periodically with the Australian Department of Foreign Affairs and Trade and has had discussions with the Office Chérifien des Phosphates, a supplier of phosphate rock from the non-self-governing territory of Western Sahara, along with key organizations, including your own. At IPL, we will continue to monitor what is a very complex situation and keep the dialogue going. I think just in terms of some of the comments you've made around human rights abuses, we obviously do seek confirmation after issues are raised from organizations like yours from our supplier that they are complying with relevant human rights laws in the conduct of their business in the Western Sahara. But we really do welcome the engagement with you. Obviously, our team will continue to try to address all of your concerns as much as we can, but hopefully, we've explained why it was necessary for us to source 1 shipment of Bou Craa over the last 12 months.

So will that be ongoing, or will they get you through the...

As I said, we are trialing other opportunities at the moment, and we'll see how that goes. But our intention, if possible, would be to move away from that source.

I know that you received a letter from the MUA showing their concern that their employees -- or their union members were being requested to handle material that they were -- was causing stress to them because of the human rights abuses and then well knowing the issues around the phosphate. But also, I guess I'd bring it to your attention that their recent ITUC conference, International Trade Union conference in Melbourne that unions from Botswana, Nigeria and South Africa who were very concerned about the issue as well. And the -- I guess, the fact that the agricultural product coming from Victoria now or from the Eastern Board will have [ blood tainted ] phosphate as far as they're concerned and that will be reflected in the agricultural imports into the country. So that issue was raised. So I guess, in some ways, they would probably like to know what grain product does have the phosphate from there so that they can talk to their union members and to the governments to try and persuade maybe getting their agricultural products from areas that haven't got the human rights violations of Western Sahara.

Thank you, and look, we understand. As I said, we firmly understand all of the concerns from various parties, not just your organization, but others that we engage with and continue to take all of those issues on board. And as I say, we're doing our best at the moment to source alternate phosphate rock, but we also have an obligation and a requirement to keep our customers supplied and continue to supply all the food products that we all rely on. Are there any further questions? Thank you. It appears that there are no further questions.

So the next item of business is the reelection of directors. Today, we've got Dr. Xiaoling Liu and Mr. Greg Robinson standing for reelection. Resolution 2 relates to the reelection of Xiaoling Liu as a Nonexecutive Director. The Notice of Meeting includes details of Xiaoling's qualifications and experience, and I'll now ask Xiaoling to give a brief address to the meeting.

Thank you, Brian. Ladies and gentlemen, thank you for the opportunity to address you today as I seek your support for reelection to the Board of your company. Having now served as a non-executive director of your company for more than 3 years, I am proud of what we, as a company, have achieved during my time on the Board and as Chairman of our Health, Safety, Environmental and Community Committee. I am proud of our continued focus and commitment to Zero Harm while delivering a record financial performance. We are committed to exploring opportunities to help create shareholder value in a more sustainable and a decarbonized world, while it's leaving a positive impact on our people, our customers and our community in which we operate. During my initial term, I have worked with my fellow directors to act in the best interest of Incitec Pivot as we seek to grow and further develop our company as an industry leader in the resource and agriculture sectors. With your support today, I look forward to continuing to work with my fellow directors, our executive team and our global workforce as we continue to secure the best outcome for your company now and into the future. As illustrated in the notice of meeting, my career today has provided me with the opportunity to gain international experience in the resources and the mining industry through senior executive roles in leading global mining and processing businesses and managing complex manufacturing operations in metals and industrial chemicals, as well as nonexecutive director roles at South32 and Newcrest Mining. My timing in these organizations, both here and overseas, has served to demonstrate for me the undoubted benefits of diversity, of representation and thought. It is this experience I draw upon in my role as a director. And with your support, I look forward to continuing to provide a valuable contribution to your company. I seek your endorsement for reelection as a Non-Executive Director, and I thank you for your continued support. Thank you. Back to you.

The directors other than Xiaoling, unanimously recommend that shareholders vote in favor of this resolution. Are there any questions on Xiaoling's reelection? I can see 1 over at microphone 2.

I'd like to reintroduce Mr. Peter Aird from the Australian Shareholders Association.

My question is a little bit generic. We're pleased to note that you've added technology and digital innovation to your list of director skills and that you rate directors is either skilled or knowledgeable. How does the Board gain deep insights into the issues that arise in this area?

Yes, it's a good question, Peter, and as you rightly point out, it is a new skill set that we added to our skills matrix this year for obvious reasons. It is becoming much more -- has been prominent but becoming even more prominent. And as you know, out of our directors, there are a number of us that have had experience, and we do have skills in that area. None of us would describe that, I think, as our core area of expertise. So when we have issues at the moment, we're obviously relying on the support of our management team or if we need to third parties to bring in required skill sets to help us make decisions in that area. But clearly, if and when we're looking at new board opportunities, that will be one of the skill sets that we'll be thinking about.

As there are no further questions, I'll now put the resolution displayed on the screen to the meeting. Details of the proxies received on Xiaoling's reelection are shown on the screen. Please now record your vote on Resolution 2 on your voting card if you haven't already done so. I'll now move to resolution 3, which is the reelection of Greg Robinson as a Non-Executive Director. The Notice of Meeting includes details of Greg's qualifications and experience, and I'll now ask Greg to give a brief address to the meeting.

Thanks, Brian. Welcome, everyone. It's a pleasure to be here as I seek support for reelection to our company. It's been an honor being a director of our company. I'm very proud of what we've achieved during my initial 3-year term as a Nonexecutive Director and also as Chairman of the Remuneration Committee. The financial performance of our company is strong, and we continue to focus on opportunities, which create greater shareholder value. My academic background is a mixture of science and commercial qualifications. My career to date has provided me with the opportunity to gain considerable experience in the resources and the finance industries. And the senior executive roles I've had through Merrill Lynch, BHP, Newcrest Mining and Lattice Energy. And I've had nonexecutive roles at Rex Minerals and RACV. It's these experiences that I draw upon in my role as a director to help shape strategy, operating performance and compliance of our business. Throughout my initial term as a director, I've worked with my colleagues to act in the best interests of our company. As a team, we seek to grow and further develop Incitec Pivot's businesses as leading suppliers to the resource and the agricultural sectors. This includes using our technology-based solutions to provide our customers with more efficient and better products, create safer working environments for our people and communities, and importantly, focus on the environmental footprint and decrease our carbon emissions. I look forward to continuing to work with my fellow directors, our executive team and the global workforce to secure the best outcomes for our company. I seek your endorsement for reelection as a Nonexecutive Director, and I thank you for your support. Thank you.

Thanks, Greg. The directors other than Greg unanimously recommend that shareholders vote in favor of this resolution. Are there any questions on Greg's reelection? It appears not. So if there's no questions, I'll now put the resolution displayed on the screen to the meeting. And details of the proxies received on Greg's reelection are now shown on the screen. Please record your vote on Resolution 3 of your voting card if you haven't already done so. Resolution 4 on the agenda today is the nonbinding advisory vote for the adoption of the remuneration report for the financial year ended 30 September 2022. The remuneration report is contained in the annual report, which is available on IPL's website. It includes details of the company's policy on the remuneration of directors and executives, discussion of the relationship between that policy and company performance and details of the performance conditions associated with the remuneration of the Managing Director and CEO and executives. The vote on this resolution is advisory only and does not bind the directors or the company. Although the Board will take discussion on this resolution into account when they're considering the future remuneration arrangements of the company. The directors unanimously recommend that shareholders vote in favor of this resolution. Before taking questions, I'd now like to invite Greg back to the podium as Chairman of the Remuneration Committee to give a brief address.

Thanks, Brian. I appreciate the opportunity to share the key features of the remuneration framework and this year's remuneration outcomes, asked to do it in a very good year, too, just quietly. I'd also note that this report continues to evolve. And this year, the major change has been to improve the clarity with increased disclosure on management's performance against set incentive metrics. And I think anyone looking at the report will see it's -- the disclosures improved significantly there. The Remuneration Committee aims to ensure our remuneration framework aligns outcomes between our company values, strategy and performance with our employees' individual contributions. The 2022 financial year has delivered a record financial result for Incitec Pivot. This result, combined with safety, environmental performance, manufacturing reliability, strategic initiatives and sustainability actions resulted in around target or above for STI performance for executives. Firstly, a brief summary of short-term incentive outcomes for our executive key management personnel. The Managing Director and CEO achieved an STI outcome of 64% of maximum, and around target performance. The average executive KMP STI outcome was 59.3% of maximum, and again, around or above target performance. These outcomes as a result of record headline group net profit after tax and strong performance by executives against health safety and environment, sustainability and their individual strategic measures. Strategic objectives that have progressed well during the 2020 financial year, and I'm probably repeating what Brian has already said of this, but include the progress on corporate initiatives, the acquisition of Titanobel, the progress on IPL's decarbonization initiatives, which have been quite substantial. Secondly, in relation to the long-term incentive program for the 3-year period from 2019 to 2022, performance across the 3 performance conditions being relative total shareholder return, return on invested capital and long-term value metrics resulted in around 78% conversion of total LTI opportunity vesting, which is the best result we've had for our senior execs for quite a while. This follows solid delivery of the long-term value metrics, relatively higher return on invested capital and strong total shareholder TSR performance, which positioned IPL at around the 67th percentile against the ASX 100 comparator group over the 3-year testing period. Turning to fixed remuneration for 2023. Following a review of market benchmarks, the Managing Director and CEO has received a 3.9% fixed remuneration increase. This is Jeanne's first increase since 2019. A review of fixed remuneration for the other executive KMP was undertaken earlier in the 2022 financial year, which resulted in some increases for those executives who took on increased responsibility, following the company's move to a new regional manufacturing model. I'll now turn to short and long-term incentive programs for 2023. The STI performance conditions are determined each year by the Board. In light of the strategic review of Waggaman and the proposed demerger of the fertilizer and explosives businesses, weightings of executive STI performance measures have been updated to ensure focus on both important projects in 2023. The LTI performance conditions and weightings for the upcoming 2022 to 2025, I hope you're keeping up with all those years, LTI grant are the same roughly as the 2021 through '24 grant. There are a couple of key changes being introduced for the 2022-'25 LTI grant. And I'd like to just bring those to your attention. The return on invested capital component of the LTI is changing from being determined by the absolute return on invested capital percentage in the final year of the performance period to being measured using a 3-year average. The move to an average calculation should better account for intra-year movements in the forward budgeting of the return on invested capital and the impacts of commodity price volatility. The sustainability condition will also continue to target IPL's progress towards achieving its 2030 targets. On climate change and focus on investing in new technologies and products to create other meaningful opportunities for IPL to decrease greenhouse gas emissions in the longer term. In addition to the Moranbah nitrous oxide tertiary abatement project and the Waggaman sequestration carbon capture storage project, which are also part of the LTI program on 2021 through '24, the Louisiana Missouri nitrous oxide abatement project and the Gibson Island FFI green ammonia project are to be added to the LTI 2022 through '25 LTI program. Turning briefly to our directors, there has been a small increase to the remuneration committee fees reflecting the increased workload. This is the first change to directors' fees since 2014. The Nonexecutive Director minimum shareholding requirement of 100% of base fees is in its third year of operation and is designed to better align directors and shareholder interests. As of the 30th of September 2022, I'm pleased to report all directors are in compliance with their shareholding requirements. Thank you for your time and attention, and I'll now pass it back to Brian.

Thanks, Greg. And I'll now ask if there are any questions on the remuneration report on microphone 2.

Thank you, Chairman. I'd like to reintroduce Mr. Peter Aird from the Australian Shareholders Association.

I note that both Ms. Johns and perhaps Mr. Hayne have received most of their STI this year as cash as they meet the minimum shareholdings that they need. You've indicated that the minimum shareholdings for executives will be reviewed in financial year '23. Will you also consider awarding 50% of the STI shares regardless of current shareholdings with a 12-month hold as is the practice in many Australian companies?

Yes, thanks for the question, Peter. As you know, it is one of the areas that we will be reviewing is that minimum shareholding requirement and how STIs are paid. As you observed at the moment, Jeanne's requirement is to hold an amount of shares equal to 100% of her salary, other execs are at 50% of their salary. Once they meet those at the moment, their STIs are paid in cash. We understand the concern you raised and some other shareholders have raised it as well. So Greg and other members of the Board have undertaken to review that, and we'll be able to let you know whether or not we've changed that arrangement over the coming 12 months.

Thank you, and just 1 other, if you wouldn't mind. The result of the TSR condition in the 2019-'22 LTI was not published in the Annual Report as it has been decided that the final share price used to reflect market's response to the outcome of the final year, and so is assessed sometime in November. This is not flagged in the LTI TSR description in the notice of meeting in 2019 or since as far as I can see. I note the share price rose quite significantly on the release of your financial 2022 results in November. So how did the change arise? When is the share price in November '22 actually determined? And will this change continue to be applied?

Yes, so perhaps for the rest of the meeting, I'll talk about the policy and then talk about what communications we had. So prior to the change that you're talking about, which is where we are now measuring for calculation of movements in share price. The period after we actually announced our results in year 1 through to when we actually announce our results in year 3. Previously, we were using a measurement period, which was immediately after the financial year-end. So we didn't believe the market was as well informed as it could be, clearly, because we hadn't announced our full year results. So we think that change in policy makes a lot of sense. We've had support for it from shareholders. It's a better reflection of, I guess, the share price movement and performance over that 3-year period if we measure it once the market has been fully informed on the results in the final year. So that's the reason for the policy change. There was actually a notification in the 2019 remuneration report of that change in policy. So that's when it was decided. The fact that this year, which is the first year that we've actually measured the end period using that new period resulted in an increase in share price. It's a good thing, but it certainly wasn't known that, that was going to be the outcome when we made the change in policy back 3 years ago. So it was actually notified to shareholders in the remuneration report in that year.

Okay, thank you. As there are no further questions, I'll now put the resolution displayed on the screen to the meeting. Details of the proxies received on this resolution are shown on the screen. Please record your vote on Resolution 4 on your voting card if you have not done so already. Resolution 5 is the grant of performance rights under the company's long-term incentive plan to the Managing Director and CEO. A summary of the proposed grant, including the performance criteria and measures for each performance condition, are set out in the Notice of Meeting. The number of rights proposed to be granted is 649,736. That's based on the calculation provided in the Notice of Meeting. Jeanne Johns, who has a personal interest in the subject of this resolution, has abstained from making a recommendation to shareholders on this resolution. The other directors unanimously recommend shareholders vote in favor of this resolution. Are there any questions on this item? Thank you. Is there are no questions, I'll now put the resolution that is displayed on the screen to the meeting. And details of the proxies received for this resolution are now shown on the screen. And please record your vote on Resolution 5 on your voting card if you've not already done so. I'll now move to Resolution 6, which is a nonbinding advisory vote on the company's climate change transition progress. I note that both Jeanne and I have provided updates on issues covered in our climate change report during our earlier addresses, and therefore, I won't be repeating those comments here. IPL's 2022 Climate Change Report was released on the 28th of November and is available on IPL's website. The report sets out our position on climate change and provides information on what we have achieved to date as well as our future strategy to manage climate change. The vote on this resolution is advisory only and does not bind the directors or the company. The Board will, however, take the outcome of the vote into consideration when reviewing the company's approach to climate change. The directors unanimously recommend that shareholders vote in favor of this resolution. And it looks like we have at least 1 question from the floor, from microphone 2.

Chairman, I'd like to introduce shareholder, [ Mr. Kyle Eaton ].

Good afternoon, Kyle.

Good afternoon, Brian. I just got a question about your climate change reports. On Page 26, Scenario D, it says with business as usual with limited climate regulation and a growing global population leads to devastating physical impacts and a decline in economic growth. So my question for you is, does the company and board support a decline in the global population?

Do we support a decline in global population? I must admit it's not a debate that we've had around the Board table. I think we've outlined pretty clearly what our approach is to climate. And obviously, if there are links to global population that will be reflected in our discussions on climate.

So is that a yes or no?

As I said, it's not -- the actual impact on global population or global population decline is not a discussion the Board's had.

Just because it says in your report that a growing global population is going to lead to devastating physical impacts.

I think it would probably depend on what's associated with it. That particular scenario that you're talking about is obviously the 3 degrees scenario. Yes, I'm not sure how to further answer your question. I don't know, Jeanne, whether you want to add any comments to that.

Yes, I think what I would say is that we clearly identify a number of different scenarios in our broad range in order test both the physical resilience of our current business as well as potential outcomes that the business would need to do. And so obviously, that last scenario is an extreme case and clearly one that we would not want to happen, but we look at all 4 scenarios as a potential. And a growing population puts more stress on the Earth's resources. And again, that scenario assumes there's no policy impact. So if the world keeps growing population and doesn't respond to climate change, that would be the outcome. So that's really a test case. We spend most of our time on the 1.5% and 2%, 2-degree cases because we think those are the more likely ones.

Thank you. Much more articulate answer than mine. So well done. Thank you. Microphone 2.

Chairman, I'd like to introduce shareholder, Cate Lewis.

I'd like to ask a question on behalf of the Western Sahara Resource Watch, who wrote a letter, which I believe is still unanswered with a very crucial question about the procurement of phosphate from Western Sahara. And the main -- this crucial question is, what measures have been taken to securely consent of the Saharawi people to the purchase of their own resources. And I've got a second question about the -- it's more related to the sustainability report.

Jeanne, is that question on the...

Yes. I mean, I think that the sourcing, we have a policy to look at the sourcing of all of our materials, and it goes through a check as part of the procurement process. We, likewise, when we receive and engage with concerned people like yourself about things that are happening in Western Sahara, we seek to understand those better and to address our supplier on that. So like I said, it does pass our procurement due diligence as we look at how we source the rock and a lot of our efforts today, though, are looking on alternative sources of rock that are compatible with both the manufacturing facility that we have and the very stringent environmental regulations that are in place here in Victoria.

That really connects with my next question, which is that I would be very interested to hear further information about your research into the sources close at hand in Australia that's been a new source or yes -- source, I don't know if it's a mine yet, that's been found near [ Phosphate Hill ], I believe. And no doubt other parts of Australia as well as in the near region because this is not just a cost question for you, which is what was put to us initially about the decision or the desire to find other sources because procuring from Western Sahara is bringing it from a long way away. And so it's got a lot more transport miles and this connects with the like food miles as well connects with the sustainability issue. So yes, what do we know about the Australian sources?

So thank you again for the question, Cate. And I know, again, you and your organization have had some interaction with our teams as well to explain what's happening. But as I think I mentioned during the initial response, we are running trials currently on alternative sources of phosphate rock, including from Queensland. The point you make about transport arrangements is clearly a very important one when we're thinking about economics, but we're obviously -- as I said, we've got to get through these trials, make sure it can go through our manufacturing process, meet our environmental obligations, but we're committed to doing those trials, and hopefully, we get the right outcome. And we'll obviously keep -- please keep engaging, we'll keep you informed on how those trials are going.

Still no answer on the consent though, but anyway.

Microphone 2.

Chairman, I'd like to reintroduce Mr. Peter Aird from the Australian Shareholders Association.

You noted in your climate change report, the 3 of your manufacturing sites are captured under the Australian Direct Action Plan Safeguard Mechanism. Are they all covered by your current 2030 projects, which only mentioned Moranbah and Gibson Island.

Yes, the other plant would be Phosphate Hill. So they're the 3 major manufacturing plants. Obviously, things are changing at Gibson Island, and Jeanne talked at some length about the conversion of that operation from its current process to one where we're importing product, but also looking at producing green ammonia, but they are -- those 3 plants are covered. And certainly part of our plans for reducing the emissions that we talked about earlier. Did that answer your question, Peter? Looks like it did.

Yes.

Okay. As there are no further questions, I'll now put the resolution that is displayed on the screen to the meeting. And details of the proxies received on Resolution 6 are now shown on the screen. Please record your vote on Resolution 6 on your voting card if you've not already done so. Ladies and gentlemen, that now covers all of the business for the Annual General Meeting. I'd again like to thank our Board, the executive leadership team and all of our employees for their ongoing commitment to Incitec Pivot. I also thank all of you for your attendance and participation today. I hope this has been a good opportunity for you to learn more about your company and its exciting future. Once you finished marking the voting section of your yellow card, as I said earlier, please place the card in one of the ballot boxes made available at the exit doors. If you need help or there are any aspects regarding the voting that you're uncertain about, please ask one of the staff from Link Market Services. As I mentioned earlier, the voting will close 10 minutes after the closure of this meeting. The returning officer will count the votes and advise the Company Secretary of the poll results. The results of the poll will be notified to the market via the ASX and will be available on the company's website as soon as they're finalized. So with that, I now declare this Annual General Meeting closed subject to the finalization of the poll. We'd love you to join us for refreshments in the foyer outside the room where the directors and our executive team will be available to speak to you. Thank you, everyone.