The 2017
Annual Water Auction
Results are in!

The Wilks Water Annual Water Auction was well attended at the Riverina Field Days in Griffith on Friday 12th May. Field Day attendees flocked to the Davidge Pavilion from lunch time to register their interest to bid and to have a chat with the team about water, the current season coming to a close and where the market may be headed into the next 2017/18 season.

2017 Annual Water Auction Results

Permanent Supplementary
943ML SOLD @ $600 to $620 /ML
More wanted!

Forward Supplementary
2000ML SOLD @ $25 /ML
Interested in buying or selling? Please call the team on 0269 318 522

Permanent Groundwater
384ML SOLD @ $1615 to $1650 /ML
More wanted!

Temporary NSW Surface Water
5493ML SOLD @ V.W.A $5.16 /ML (Volume Weighted Average)
2016/17 Season closing soon - More wanted!

Forward Water (NSW & VIC - 2017/18 Season)
3250ML SOLD @ $90 to $98 /ML
More available!

Forward Zone 3 Groundwater
450ML SOLD @ $20 /ML
More available!

Temporary Groundwater (Zones 2 & 3)
1615ML SOLD @ $6 /ML
More wanted

NSW Permanent General Security Surface Water
56ML Murray Irrigation SOLD @ $1280 /ML

40ML Muurrumbidgee SOLD @ $1605 /ML
More wanted

NSW Permanent High Security Surface Water
SOLD @ $3500 /ML
More wanted

For detailed listing results, click here.

We would like to take this opportunity to thank our Riverina Water Partners, who without, the Annual Water Auction would not happen.

We look forward to seeing you at the 2018 Annual Water Auction!

It's on today, the Wilks Water

ANNUAL WATER AUCTION

2:30pm - Davidge Pavilion - Riverina Field Days

To download the catalogue, click here.

Come down to the Davidge Pavilion at the Riverina Field Days and meet Tom, Heather, Tim and the Wilks Water team to discuss your water needs!

Wilks Water would like to welcome

Heather Hatch

Griffith's leading water broker.

Heather joins the team as our local lady on the ground for all Griffith water needs and brings over 12 years experience in the water industry. 

You can contact Heather on 0447 473 755, email heather@wilkswater.com.au or meet with her in the Ray White Griffith office, located at 139 Yambil Street, Griffith, NSW.

Temporary Surface Water – 2017 Auction Format

No Commission, No Reserve Price!

The 2016/17 water year has been a complete contrast from last season. Who could have predicted such a wet spring? The impact of this has seen temporary water prices on a steady decline throughout the year. The big wet has also resulted in a huge volume of unused allocation still in the system, which at this time of year means there is going to be an oversupply of sellers looking for a return or risk forfeiture come the end of the season.

Given the conditions, Wilks Water has altered their fee structure for the 2017 Water Auction, seeking to find a win-win structure for both sellers and buyers.

NO RESERVE PRICE for Temporary Surface Water listed at the Water Auction.

The ‘no reserve’ format will attract any buyers keen to secure water before end of season.

NO VENDORS COMMISSION* for Temporary Surface Water listed at the Water Auction.

It’s getting late in the season. Any water that cannot be carried over will be lost. This format is designed to allow for sellers to get something for their water rather than forfeit it at the end of the season. With no commission to pay something is better than nothing.

To further promote fairness for sellers of temporary surface water, a ‘volume-weighted average price’ return will be implemented. The gross proceeds of temporary surface water sold will be divided by the number of megalitres offered for sale at auction (whether sold or not). Each water source will be calculated separately.

This will also reduce the inequity between the order of lots for sale where there is a price differential between early lots and late lots sold under the hammer.

Under this system, all sellers of temporary surface water listed will receive a return. The volume-weighted average or pool price will be shared amongst all sellers*.

A payment will be returned to all sellers after the completion of the auction. If further listed water is sold post-auction, a new volume-weighted average price will be calculated and a second payment will be made.

For more information on the Wilks Water Annual Water Auction, download a Vendor Listing form or a Bidder Registration, click here to head to our Auction page

*Temporary surface water buyers will be charged an auction fee of $1.50/ML + GST
*Temporary Surface Water will be transferred to a pool account prior to the auction

PRELIMINARY NOTICE ANNUAL WATER AUCTION 12th May 2017 @ 2:30pm Davidge Pavilion - Riverina Field Days, Griffith Entries invited for Temporary and Permanent Surface and Groundwater Very strong buyer enquiry in the Murrumbidgee Valley for: Permanent High and General Security Water Permanent Supplementary incl. MIA and CICL Lower Murrumbidgee Groundwater Carryover Capacity Forward Water "Currently there is very strong demand for Permanent Water, with low supply available. I believe that at the Annual Water Auction, we could see sellers achieve record prices"  - Tom Wilks, 13/4/17 Market Snapshot Temporary Offers to Buy Offers to Sell Last Sale Murrumbidgee $5/ML $10/ML $8/ML NSW Murray $30/ML $39/ML $32/ML Permanent Offers to Buy Offers to Sell Last Sale General Security $1500/ML $1550/ML $1500/ML High Security $3480/ML $3600/ML $3480/ML For further information, or to list you water call us on 0269 318 522 or 0428 694 608

Our contact details are: Wilks Water P.O. Box 5633, Wagga Wagga, NSW 2650 Phone: 02 6931 8522 | Mobile: 0428 694 608 | Fax: 02 6931 9897 Email: water@wilkswater.com.au | Website: www.wilkswater.com.au

Water Outlook 2017-18 Comment from Tom... "The main message I have is don't panic!! The outlook below from DPI for allocations in the new water season is an estimate only. It is a worse-case scenario. DPI Water has been notoriously conservative with indicative and actual allocations announcements since the '06-'07? season when they suspended 25% of water in people's accounts causing temp prices to jump from $50 to $200. I am sure they would like to avoid repeating such a controversial decision. The actual factors taken into account and the basis of assumptions used are largely unknown to us. This makes it extremely difficult to make a decision as to the validity and hence usefulness of the information provided".  Something to note; In February 2016 DPI Water predicted that Murrumbidgee General Security allocations would be zero (0) at the commencement of this season (July 1, 2016). At that time Blowering was 29% and falling. Burrinjuck was 52% and falling. The season actually began with 20% allocation.  NSW Murray This preliminary outlook for the likely 1 July 2017 water allocation is based on assumed dry (75th percentile) inflow conditions for the remainder of the current (2016-17) water year Conditions this year are indicating potentially much higher carryover volumes in the NSW Murray than in recent years. Indications are that private carryover could be up to 45 per cent of entitlement, some 750,000 ML. Maximum carryover in the valley is 50 per cent. Indicative allocations on 1 July 2017 - NSW Murray. Full allocations will be made for supplementary access licence holders. However, use of this entitlement is only available subject to announced periods of supplementary flow. Preliminary estimates indicate that 70 per cent of water users may have at least 45 per cent carryover, with 80 per cent of water users having at least 25 per cent of carryover. NSW Murray high security access licences will receive an allocation of 97 per cent of entitlement in accordance with the water sharing plan. General security allocation is expected to commence with at least 3 per cent of entitlement under dry conditions. This means that, when added to carryover, water availability for general security users could be on average close to 50 per cent of entitlement. Murrumbidgee This preliminary outlook for the likely 1 July 2017 water allocation conservatively assumes extreme dry conditions (99th percentile) for the remainder of the current (2016-17) water year. It also looks at possible wetter scenarios extending into 2017-18. With the arrival of wet conditions late last year and full allocations, carryover is estimated to be close to the maximum allowable 30 per cent of entitlement, namely over 650,000 megalitres (ML). Indicative allocations on 1 July 2017 Private carryover will be fully deliverable. At this early stage, it is estimated that the average carryover across the valley will be close to the maximum 30 per cent of entitlement. Murrumbidgee High Security access licences will receive an initial allocation of 95 per cent of entitlement, consistent with the Murrumbidgee regulated river water sharing plan. Under ‘extreme dry’ inflow conditions (99th percentile) through to the end of this (2016-17) water year, there will be 9 per cent commencing general security allocation on 1 July. The next forecast of water availability for 2017-18 will be 15th May 2017. See the full Preliminary Water Availability outlooks for 2017/18 season along with all past Allocation Announcements on the NSW Office of Water website by clicking here.

IVT UPDATE As at 12/01/17 the IVT balance was still 100,000ML meaning intervalley trade from the Murrumbidgee to the Murray is still closed. (Click here to view IVT balance online) The MDBA in their River Murray System Annual Operating Plan End October 2016 Update published 18th November 2016, on page 8, spoke of current planning calling on 100GL from the Murrumbidgee between January and May 2017, which would cause the IVT balance to be lowered, possibly to zero and open trade from the Murrumbidgee to the Murray. (Click here to view the River Murray system annual operating plan End October 2016 update). TEMPORARY WATER VALUES – CURRENT SALES Murrumbidgee: $35 to $39/ML. NSW Murray: $70 to $77/ML. Victorian Murray: $70 to $78/ML. Temporary prices in the Murrumbidgee are back to levels seen in the spring when the rain appeared unlikely to stop long enough for rice and cotton planting to occur. With a $30/ML price difference when intervalley trade opens Murrumbidgee values will rise and Murray values fall to find a middle ground assuming trade stays open for any length of time. I feel trade will be opened and shut before most people hear about it. The MDBA report also mentioned drawing on the Menindee Lakes storages to run the Darling River and the Murray River below Wentworth (Page 7). This has been recently announced. (Click here to view the MDBA Media Release). WHEN WILL IVT OPEN? The MDBA report has outlined their intentions regarding IVT opening. We will only know the exact date after it has happened. Further information may be made available in the MDBA weekly update published on Fridays (To subscribe to weekly update, click here). All the above information points to intervalley trade opening at some stage this season, however there are no guarantees. If trade does open, there will be a stampede to take advantage of higher temporary prices on the Murray and intervalley trade will close very quickly. If you wish to participate in intervalley trade, please contact me to make arrangements now so we can lodge a trade form immediately when trade opens.  NOTE TO TEMPORARY BUYERS There are currently sellers in the Murrumbidgee Valley at $35 - $40 /ML. The lowest prices seen for quite a while. Prices will only stay low while intervalley trade is closed. It may be worth considering purchasing water now for pre-watering or to fill storages later on.  CARRYOVER SPACE Buyers are currently offering $60 /ML for carryover capacity in the Murrumbidgee Valley - including MIA and CICL. PERMANENT WATER - MURRUMBIDGEE VALLEY High Security Buyers @ $3500 /ML - few sellers General Security Buyers @ $1400 /ML Sellers @ $1500 /ML To discuss these or any other water matter please do not hesitate to contact me at any time. Tom Wilks - 0428 694 608 or business hours - 0269 318 522.

15-Nov-2016 Allocation Announcement NSW Murray NSW Murray General Security increases to 100% of entitlement NSW Murray High Security increases to 100% of entitlement Murrumbidgee Murrumbidgee General Security increases to 100% of entitlement Murrumbidgee High Security increases to 100% of entitlement Allocations for Murrumbidgee General Security licence holders has increased by 24%, while High Security licence holders are to receive an increase of 5%. This means that both licence categories have reached full entitlement. The increase has been assisted by unregulated flows meeting operational losses, plus continuing inflows to storages keeping them near full for the commencement of irrigation demand. Supplementary access continues to be available in the lower river sections (below Redbank Weir), however; the river has begun to transition to regulated conditions as warmer weather arrives.  Allocations for NSW Murray General Security licence holders has increased by 28%, while High Security licence holders are to receive an increase of 3%. This means that both licence categories have reached full entitlement. With the Darling River flow peak now below Bourke and providing continued strong improvement at Menindee Lakes, together with a moderate increase in storage at Dartmouth Dam, there is now sufficient assured resource available for full allocations. With full allocations announced from this assessment, fortnightly water allocation announcements will now cease for the remainder of this water year. See past and present Allocation Announcements on the NSW Dept. of Primary Industries website by clicking here.

01-Nov-2016 Allocation Announcement NSW Murray NSW Murray General Security increases to 72% of entitlement NSW Murray High Security remains at 97% of entitlement Murrumbidgee Murrumbidgee General Security increases to 76% of entitlement Murrumbidgee High Security remains at 95% of entitlement Murrumbidgee General Security allocation increases by 5% to 76% of entitlement. Continuing rainfall has seen storages remain effectively full and irrigation demand is minimal. Supplementary access has been continuous since the start of the water year; however regulated water delivery conditions will return as flood waters continue to recede. NSW Murray General Security allocation has increased by 9% to 72% of entitlement. The increase is underpinned by improvement in storage at Menindee Lakes and Dartmouth Dam.  The next allocation announcement will be 15th November 2016. See past and present Allocation Announcements on the NSW Office of Water website by clicking here.