SensOre hits evidence of gold on-site WA Balagundi project; target detected by AI

Thu 25 Aug 22, 10:35am (AEST)
Field worker holds a gold nugget close to the camera for a better look
Source: iStock

Key Points

  • SenSore has found early stage evidence supporting the efficacy of its AI powered geological interpretation tech with fresh gold hit
  • Aircore drilling at Balagundi near Kalgoorlie has detected trace amounts of gold where automated software said it would be
  • JV with private Golden Road Resources sees company active in the Yilgarn Craton

SensOre (ASX:S3N), both a mineral explorer and a developer of artificial intelligence-powered geological interpretation software, has found early stage evidence of gold mineralisation at a target it was led to by its software algorithms. 

The company let loose its proprietary machine learning program on a range of local data for the Yilgarn Craton area in which the Balagundi project is placed. SensOre teams up with privately held Gold Road Resources on-site. 

The big takeaway?: SensOre has found gold mineralisation in aircore drilling exactly where its AI software thought gold would be located. 

While the software has not led to a fresh discovery of bonanza grade gold, the successful discovery of shallow trace gold does support SesOre’s overall thesis on its own technology. 

What did SensOre find at Balagundi? 

Investor information provider Undervalued Equity calls high-grade gold projects anything with over five grams of gold per tonne in ore (5g/t). Many Australian projects boasting grades of 4g/t are also widely accepted as high grade. 

Low-mid grades typically capture concentrations of around 2g/t. 

With that in mind, SensOre reports: 

  • 09m @ 0.81g/t gold from surface, including: 

    • 04m @ 1.19g/t gold from 2m

  • 24m @ 0.48g/t gold from 13m, including: 

    • 04m @ 2.03g/t gold from 13m

The drillhole turning up today’s results was sunk near a previous strike target which reported the below results. It is undisclosed to what extent SensOre’s AI software hinged on that previous drillhole in targeting a fresh area.

Past readings

Previous results include: 

  • 34m @ 0.54g/t gold from 96m, including: 

    • 01m @ 05.4g/t gold from 96m 

  • 16m @ 0.80g/t gold from 114m, including:

    • 02m @ 03.6g/t gold from 114m 

While these grades may not inspire the imagination, it’s worth noting Balagundi has historically pushed out some 4,000oz of gold. 

The bigger thing to note here could very well be the evolving fortitude of SensOre’s AI tech development capacity, as opposed to the gold hits in question. 

Shareholders are also still waiting for over 15km of assay results to come back from SensOre across various projects. Sector-wide delays in assay laboratories continue to taunt Australian investors. 

Data supports efficacy: Management 

“The results in the central corridor, where the AI target was identified, supports deeper targets predicted from the modelling,” SensOre CEO Richard Taylor said. 

“Conventional target testing using gravity, geochemistry, drilling, and mapping has been augmented with machine learning, including the application of SensOre’s new SimClust workflow.” 

SensOre's three month charts show the company quickly recovered the bulk of its June-July losses
SensOre's three month charts show the company quickly recovered the bulk of its June-July losses
Disclaimer: Market Index helps small-cap ASX listed companies connect with Australian investors through clear and concise articles on key developments. SensOre was a client at the time of publishing. All coverage contains factual information only and should not be interpreted as an opinion or financial advice.


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Written By

Jonathon Davidson

Finance Writer

Jonathon is a journalism graduate and avid market watcher with exposure to governance, NGO and mining environments. He was most recently hired as an oil and gas specialist for a trade publication.

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