The economics of Strandline Resources' Coburn mineral sands project are improved by a positive 3Q operating cash performance, according to Morgans.

The broker feels management is on-track to approach wet concentrator plant (WCP) design capacity and potentially achieve first end-product sales in the June quarter.

A full ramp-up supports an acceleration in cash flows/de-gearing from early FY24, points out the analyst.

The Add rating is unchanged and the target falls to 70c from 75c.

Sector: Materials.

Target price is $0.70.Current Price is $0.36. Difference: $0.35 - (brackets indicate current price is over target). If STA meets the Morgans target it will return approximately 49% (excluding dividends, fees and charges - negative figures indicate an expected loss).

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