SensOre Ltd (ASX:S3N) has entered into an agreement with LithGold Minerals to advance the non-precious mineral rights over the Gecko North Project in Western Australia.
Encouragingly, the geoscience technology disruptor company’s DPT® technology has generated a lithium target at Gecko North near LithGold’s conventionally identified lithium surface geochemistry anomaly.
An agreement has been reached for SensOre to spend a total of $2.5 million over four years for a 51% interest in the non-precious mineral rights and the opportunity to earn another 29% by completing a bankable feasibility study.
Furthermore, the company will also issue $50,000 in equity to LithGold on successful completion of conditions precedent and due diligence.
SensOre aims to become the top-performing global minerals targeting company through the deployment of big data, artificial intelligence (AI)/machine learning technologies and geoscience expertise.
“Fast-track target development”
SensOre CEO Richard Taylor said “The Gecko North Project demonstrates the combination of AI target generation and conventional exploration techniques coming together to fast-track target development.
“It demonstrates our novel approach to project generation bringing together international funding for battery minerals with world-class exploration expertise with our partners in LithGold.
“Importantly, this approach gives SensOre shareholders the opportunity to benefit from the technology with exposure to any major discovery.”
About Gecko North
Gecko North is part of the lithium target funding initiative between Deutsche Rohstoff AG and SensOre with lithium exploration funded 70/30.
LithGold had bought the Gecko North acreage from Meeka Metals for $230,000 in August this year. Meeka retains a legacy 1.5% smelter royalty over the project if LithGold begins production.
LithGold executive chairman Kevin Schultz said: “The agreement allows LithGold to partner with an exciting mining technology group and to focus on our portfolio of projects while retaining the precious metal rights over the Gecko North Project which first attracted us to the area.
“We look forward to seeing the lithium potential of the area developed further.”