Following the death of her father, Jack McLeod, Tess Silverman leaves her home in the city for Drovers Run, to claim her share of the property which she plans to sell off. She receives a frosty reception from her half-sister Claire McLeod, who has her own plans for the property that she has lived on all her life, which don't include Tess.
Claire buys a herd of thin sheep at auction to fatten up and resell. Jodie finds she did badly on her examination. Tess applies her therapist mother's techniques to encourage the women at Drovers Run to open up emotionally.
Claire starts to gentle Blaze. Tess' espresso maker arrives but is not a hit with the Drovers Run women. Becki's mother wants her to come back home. Tess visits Killarney and is floored by its luxury, then appalled when everyone except her knows about the Drovers Run overdraft.
An un-neutered bull is roaming Drovers Run. Tess traded her cappuccino machine for a milk cow, but doesn't know how to take care of her. Harry Ryan replaces a boundary fence that Claire had planned on just fixing, and Claire insists on paying half but doesn't have the cash.
Tess sorts through her mother's belongings. An orphaned lamb thinks a possibly pregnant Becky is its mother. Encountering a fatal car accident leaves Claire and Tess distracted but desperately trying to act normal. Brian confronts Becky and demands his new wheels back.
Claire and Harry Ryan make a bet as to whether Claire can gentle his new prize stallion. Tess keeps asking about Nick's injured leg and not getting answers. The herd Bill is paying Claire to run develops lepto and Bill blames Claire, but Claire and Tess discover his herd on his own land also has it.
Bill is selling his land and moving to the city, but tries to kill himself. Tess blames him for not living for his family, while Claire keeps remembering that his family has lived on that land for a long time. Tess invites Bill to stay at Drovers Run until his family gets back - but are they coming? Claire breaks a rib trying to clear some land to grow crops.
Rustlers have hit Killarney and Claire is worried about Drovers Run being hit. Tess finds an old man who worked under her father who may be rather balmy. Meg, disgusted with being taken for granted, moves to the hotel in town. Brian threatens Becky and puts the moves on Meg.
Claire and Alex go off to a horse-insemination seminar. Tess, left in charge and delightedly wearing her new work boots, decides to round up and treat some fly-blown sheep. Becky's brother is out of jail and dumping pesticides into the creek, killing stock. Tess has to get the cattle away from the creek single-handed.
Deceased farmer Max leaves Meg his prize Brown Leghorn rooster, and rumor says it was because Meg slept with him. Claire enters the annual hay bale race. Harry is badly injured in a bulldozer accident and promises Nick half of Killarney while waiting for the ambulance. Terry demands Meg tell him about her relationship with Max, and when the rooster is found dead, Meg blames Terry. A distraught Liz tells Tess that Max could have prevented Nick's accident, and Tess tells Claire. Harry, now recovering, tells Claire he's not changing his will to leave anything to Nick, ...
Becky and Jodi see Brian grabbing his new bar girl Kimmy. Nick buys Bill's ranch. Brian threatens Becky's family if she reports his rape, but Tess says they need to catch him in the act and Meg volunteers to seduce him, but can't seem to catch his interest -- until she's alone in her hotel room and her witnesses are back in the pub. Brian announces he and his wife are leaving Gungellan to care for an aged mother. Becky convinces Kimmy that they should report Brian together.
Claire is annoyed at Tess' and Alex' bedroom antics at Drovers Run and doesn't understand why she hasn't gone back to the city to buy her dream café. Jodi decides to enter the Miss Gungellan quest, but Liz Ryan is her interviewer. Claire falls and injures her knee just before she has to demonstrate her horse-training skills to the expert from Australian Bloodlines. Jodi rides Blaze but is unable to control her.
A gorgeous young Italian, Alberto, travelling through Australia has Jodi smitten. After he is bitten by a brown snake he pulled Jodi away from, he winds up staying at Drovers Run even though Meg wants him gone. Peter is also staying at Drovers Run to help Wildfire cover Blaze. Jodi thinks Alberto betrayed her with Becky so she turns him in to Immigration for overstaying his visa, but he promises to come back after he has done his military service in Italy.
Claire sells Loverboy to Nick. Tess is tired of Alex' lack of romance. Jodi is so obsessed with the memory of Alberto that she is shirking her work, and when Becky reproaches her, Meg threatens that she and Jodi will leave if Claire doesn't fire Becky.
Some old friends of Tess' show up with a lease on a café and plan to take Tess with them. Jody sneaks some of the drugs one of the visitors brought. Tess longs for someone to ask her to stay, but Claire is afraid that Tess will hate her if she interferes with Tess' dream.
The charges against Brian are dropped when Kimmy changes her story. Jodi gets ready for a bush polo game that is part of her Miss Gungellan quest. When Meg finds Brian dead, she and Claire are sure Becky killed him and try to protect her.