Western Desert Resources (WDR) have posted their first production report for the Roper Bar iron-ore project in the NT and Macquarie maintain an outperform...

Western Desert Resources (WDR) have posted their first production report for the Roper Bar iron-ore project in the NT and Macquarie maintain an outperform target on the stock. While the performance at the mine was solid ore trucked to port and ore shipped were well below the brokers expectations. Commentary arising from the quarterly release highlights two key points. Firstly, grade control drilling continues to demonstrate that the quality and quantity of the resource is holding up. A key risk for early stage producers is that the ore bodies under deliver on expectations thus pushing up costs and reducing revenue. Secondly, and importantly for shareholders, was a comment from the directors saying they do not expect any further capital raisings and hence dilution to the share register. It is now a case of the mine hitting its straps and delivering cash flow. Qtly here (VIEW LINK)