Todays ann was very disappointing but it would have been very bad if they did not have a detailed action plan to replace the underperforming barge contractor.
There were a few positives in the ann including that production continues apace to nameplate level and we know that replacement barges will progressively be put in place to ensure that shipments are made more efficiently. THIS SHOULD FIX THE PROBLEM!!
Lets face it loading ships from barges is not the regular method of shipping iron ore and may I add in a very remote part of Australia's coast. Learning curves are difficult to negotiate and this learning has been very costly.
Loading barges 24/7 will also make a significant difference to the viability of the project.
Lastly whilst shareholders are not in a good place the banks and creditors are the ones also greatly affected. Whether they like it or not it is now the banks and the creditors that have the real problem! I hope that will ensure that they work closely with the management team to get through this current difficult period. GLTA W2
WDR Price at posting:
26.5¢ Sentiment: Hold Disclosure: Held
