High Power Exploration (HPX) has entered an agreement to deploy its Typhoon survey technology at a gold mine operated by Shandong Yantai Xintai Gold Mining (Xintai).
Under the terms of the lease and technical assistance agreements signed with China National Gold Group’s subsidiary Xintai, HPX will deploy the technology at the gold mine for three months, starting early this year.
The high-power, induced polarisation and electromagnetic geophysical survey technology Typhoon is capable of injecting large amounts of energy much deeper underground.
High Power Exploration chairman and CEO Robert Friedland said: “We are pleased to be partnered with Shandong Yantai Xintai Gold Mining and China National Gold to explore for gold using our unique and proven Typhoon technology.
“These agreements represent an opportunity for China’s leading gold companies to leverage cutting-edge technology to maximise the chances of discovery, and for HPX to create value for our stakeholders with a royalty-based business model for Typhoon.”
The technology, which can acquire survey data by penetrating through otherwise-opaque conductive or resistive cover, is used in conjunction with survey forward-modelling, QA/QC and data inversion software from Computational Geosciences, HPX’s 94%-owned subsidiary.
For operating Typhoon at the gold mine, HPX will receive lease and technical service fee payments.
Payments will also be made to HPX after completion of a survey report based on acquired data, as well for providing assistance with exploration planning and drill-hole targeting.
In case a gold resource discovery is made, HPX will additionally receive royalty payments as a portion of net profits generated from the discovered resource, throughout the entire life of the mine.
In May last year, Sama Resources launched the phase 1 Typhoon electromagnetic geophysical survey at the Yepleu areas at its Côte d’Ivoire Nickel-Copper-Cobalt-Palladium Project.