NYSE American- and TSX-listed Ivanhoe Electric on Monday finalised the terms with Saudi Arabian mining group Ma’aden, paving the way for a major exploration programme to get under way in the kingdom.
“The potential for future discoveries is extraordinary,” Ivanhoe Electric executive chairperson Robert Friedland said.
The Ivanhoe Electric and Ma’aden joint venture (JV) will embark on the biggest exploration programme ever conducted using the Thyphoon geophysical surveying system.
Typhoo is the brand name for Ivanhoe Electric’s proprietary electrical geophysical surveying transmitter, which can detect the presence of sulphide minerals containing copper, nickel, gold and silver, as well as water and oil.
The technology was developed by Ivanhoe Electric’s former parent, I-Pulse of Toulouse, France, to unlock exploration in areas where potential deposits are hidden by cover, where target depths exceed the range of conventional geophysical surveying systems, or where the scale and topography of an exploration target area prevents efficient and cost-effective conventional surveying.
“With our Typhoon technology, our computational geosciences’ machine-based learning software, and the combined talents of our highly experienced team of women and men, we believe that we have all the tools necessary to conduct a transformational exploration programme for electric and precious metals in the Kingdom of Saudi Arabia,” said Friedland.
The JV will search for new discoveries over a vast area of 48 500 km2 of underexplored land. Its focus will be on copper, nickel, gold, silver and other electric metals.
At closing, Ma’aden and Ivanhoe Electric will form a 50:50 JV. Ivanhoe Electric is the operator of the JV during the exploration phase and Ma’aden will become the operator for the development of any economically viable deposits found and specifically designated by the JV.