Strategic Elements will deploy AI software in the mining industry
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Special Report: The momentum continues at pooled development fund company Strategic Elements, with one of its subsidiaries striking a deal to provide AI software for mines.
Strategic Elements (ASX:SOR) today told investors it had signed an agreement with mining augmenting company Global io to apply artificial intelligence to fixed plant operations in mining and deliver a software-as-a-service (SaaS) solution.
Stealth Technologies, Strategic’s AI and robotics company, will develop an AI solution with Global io that would make the identification and implementation of control room variability reduction opportunities much more cost effective and sustainable.
Global io’s MO is to assist world-leading mining companies to transform the way they manage their production value chains through. It has worked with large global mining companies including BHP (ASX:BHP), Barrick, Teck Resources and Goldcorp.
Stealth Tech and Global io will aim to create a joint venture by January 2020, completing a proof of concept applying AI to fixed plant operations, as well as an accompanying SaaS solution. Stealth will own 60 per cent of the proposed JV, Global io 40pc.
Charles Murphy, Strategic Elements managing director, said the solution, if successful, had the opportunity to deliver substantial cost savings across an industry that generates US$680 billion ($996.1 billion) annually.
“Data analytics, automation and robotics technologies continue to transform the resources sector,” he said.
“We look forward to working with an end-user and customer to develop the proof of concept and demonstrate the functionality and feasibility of applying artificial intelligence to fixed plant processing in mining.
“Global io is a trusted company and there is a great strategic fit between the skills and experiences of the teams.”
Strategic Elements, established under an Australian government program with a mandate to back home-grown innovation, also has the advantage of being based in Western Australia, which is home to the majority of the country’s mining companies.
The Australian Federal government has registered Strategic Elements as a Pooled Development Fund with a mandate to back Australian innovation.
Strategic Elements operates as a ‘venture builder’ where it generates ventures and projects from combining teams of leading scientists or innovators in the technology or resources sectors. Due to the Pooled Development Fund program that Strategic Elements operates under, most shareholders have the potential to receive certain tax benefits.