Monday, 23 July, 2007

The Age

Uranium and metals hopeful Western Desert Resources Ltd will waste no time focussing on exploration, after bucking a lower day on the market to put in a positive first day's trade.

Western Desert plans to spend $4.7 million on drill-ready targets over the next two years.

Its listing followed an initial public offer of 37.5 million shares at 20 cents each - to raise $7.5 million - that was 50 per cent oversubscribed.

Western Desert plans to concentrate on uranium prospects with the potential for early profitable development, including the five kilometre long Burt Plain project, north of Alice Springs.

"It boasts the highest magnetic intensity reading of anywhere in the Northern Territory and has never been drilled," the company said in a statement.

"Western Desert will focus initially on the block's potential for base metals and uranium."

The explorer is also eyeing its Spring Hill gold project at Pine Creek in the Northern Territory as a potential cash flow contributor.

It already has an indicated resource of 274,000 contained ounces.

Western Desert's shares opened eight cents, or 40 per cent, higher than its 20 cent offer price at 28 cents a share, but eased to end up four cents, or 20 per cent, at 24 cents, with a total of 1.61 million shares traded.