Property profile: Baamba Plains

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Baamba Plains is a 4,130 ha irrigated cropping property situated approximately 40 km east of Springsure, in central Queensland. Acquired by Rural Funds Group (ASX: RFF) in November 2021, the property is an example of Rural Funds Management’s (RFM) productivity improvement strategy to enhance a farm’s ability to produce a given commodity.

Acquisition and Lease

RFF’s acquisition of Baamba Plains was motivated by its fertile soils and particularly, largely underutilised secure water entitlements complemented by an overland flow catchment from Orien Creek. One of the property’s features is its elevation above the 1-in-100-year flood plain, offering protection from severe weather events, while retaining highly productive alluvial soils.

In FY25, Baamba Plains and the nearby RFF owned cropping property Mayneland, were leased to TRG JV, a joint venture between The Rohatyn Group (TRG) and a global institutional investor, for 10 years. The transaction included the sale of 50% of both properties. The transaction provided RFF with reduced exposure to operational earnings through the lease of the farms and capital for reinvestment through the partial sale.

Developments

Since acquisition, RFM invested in developing Baamba Plains’ irrigation and farming infrastructure. At the time of purchase, the property had two large-scale lateral irrigators, but it now operates five, each covering fields up to 1 km wide and 2 km long, servicing a combined area of over 900 ha. This upgrade improved operational efficiencies providing scale benefits compared to smaller, or less consolidated farms.

The lateral irrigation system delivers precise, automated watering that uses up to 30% less water per hectare compared to traditional flood irrigation. This means lower input costs, more efficient water usage, and support for flexible crop rotations. Baamba Plains ‘rotates’ cotton with green manure crops — a legume crop which is grown and then cultivated back into the soil to produce nitrogen fertiliser and other soil amelioration benefits.

A telemetry-enabled pumping network now supports these irrigation systems. The system includes three river pumps drawing directly from the Comet River and three lift pumps moving water into on-farm storage. The pumps have a daily capacity of 440 ML, in-line with the property’s irrigation entitlements. Water storage was also expanded: the original 5,600 ML dam was supplemented by two storages totalling approximately 7,900ML covering 120 ha.

The water storages were constructed using heavy-duty machinery, such as scrapers and graders. The construction included the removal of approximately 2.8 million cubic metres of soil. Soil was then used to construct the storage walls up to approximately eight metres high. Higher walls allow more water to be stored on a smaller footprint, significantly reducing evaporation and increasing water security year-round.

The developments completed by RFM have improved productivity by significantly increasing the annual average planted area.

Historical significance: Brigalow Development Scheme (1959)

RFM’s implementation of productivity improvements on Baamba Plains was not first time the property has undergone transformative development. The property was part of Queensland’s Brigalow Development Scheme. Launched in 1959, the scheme aimed to increase the area available for agriculture, by removing thick, woody brigalow vegetation that dominated the region. The Brigalow Development Scheme remains one of the largest primary production development schemes in Queensland Government history.

Landholders were offered favourable acquisition terms and government loans for land developments, in exchange for their labour. The developments made fertile soils available for cattle grazing and high-yield cropping, a hallmark of the region.

Conclusion

Baamba Plains is an example RFM’s strategy of acquiring farms which provide opportunities for productivity gains, undertaking targeted developments, and introducing operational efficiencies to improve farms for leasing.

The property is now leased to a joint venture which includes a global institutional investor for 10-years.

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