Ellipsis Mining
At Ellipsis Mining, our foundation is built upon a unique combination of mathematical precision, geological expertise, and advanced technology.
Recognising the inherent risks within the junior exploration sector—where the majority of companies fail to identify commercially viable deposits—we have developed a data-driven and objective approach to mineral exploration.
At Ellipsis Mining, our exploration strategy is founded on a mathematical, data-driven process designed to maximise success. Before committing to tenement acquisition, we developed a refined process by analysing 48 junior exploration companies, studying their approaches to identify common mistakes and successful practices. Our team of seasoned geologists thoroughly examined all relevant public data, including announcements, reports, satellite imagery, and external resources, to assess the viability of these projects. From this analysis, we found that 32 to 41 of these companies under our refined model were built on geological foundations too weak to support further development or investment. Already two are de-listed. Additionally, we studied Newmont’s extensive gold exploration efforts in Western Australia, which involved soil sampling over a vast area of 3,000 to 4,000 square kilometres. This sampling revealed over 20 gold anomalies that initially warranted further investigation. However, after significant expenditure and several years of effort, it was determined that none of these anomalies were commercially viable. These rich learnings underscored to us the importance of adopting the latest technology for the purpose and a more refined and evidence-based approach to exploration.
Armed with our learnings this allowed us to refine and define a methodology that increases the probability of success for Ellipsis Mining.
Geological analogies to world class Australian deposits. West Africa, particulary Mauritania and Moroccan Sahara, shares geological features with Australia’s renowned Kalgoolie region including Archaean and Proterozoic terranes and significant greenstone belts.
A key factor for success is the identification of a commercially viable mineralisation grade deposit with sufficient surface expression. Our approach removes any subjectivity from the evaluation process. Each tenement or prospect is continually reviewed as new data is collected, with both favourable and unfavourable results objectively analysed. This ensures that decisions are made based on the best available information, reducing the risk of pursuing non-viable targets.
In line with our commitment to objectivity, we have integrated AI into our analysis process to ensure unbiased decision-making. Furthermore, we have adopted world-class sampling techniques that are currently limited to analysis in Australia, applying these advanced methods to our overseas prospects. By employing these cutting-edge techniques, we ensure that our exploration efforts are underpinned by the most accurate and reliable data available.
This meticulous, objective-driven process allows us to consistently make informed decisions, ultimately maximising our chances of exploration success while avoiding costly mistakes.
In addition to geological risk, another key reason mining projects fail is due to geopolitical or regulatory risks. While these risks differ in nature, both can be significant enough to halt the development of a promising mineral deposit. In Africa, for example, political instability has derailed projects, while in western countries like Australia, strict regulations can be equally obstructive. We recognise that both types of risk can be showstoppers in exploration. They need to be factored in mathematically.
To mitigate these risks, Ellipsis Mining focuses on two politically stable jurisdictions: Morocco and Mauritania. While these regions still require careful risk assessment, they offer a more balanced risk profile. The geological continuity between these two countries provides an additional advantage. The mineral structures present in Mauritania extend into Morocco, allowing us to apply valuable geological insights from one region to the other. By investing into two sovereign and separate countries we have offset some geopolitical risk and overall decreased geological risk by comparable geology.
Moreover, the proximity of International world-class mines, such as the Tasiast gold mine and the SNIM iron ore deposits at the borders of Morocco and Mauritania, adds further consideration to our exploration efforts. This regional proximity to successful mining operations is another factor in part of our strategy and helps us isolate commercial mineralisation deposits with greater confidence.
We also discovered that some junior exploration companies acquire tenements for reasons unrelated to an objective review of their geological potential, anomalous geo chemistry but lacking the structural controls to support a mine. This lack of focus hinders a company’s ability to develop a world-class, scalable mining operation. To avoid this pitfall, we took a different approach by conducting a global survey of available opportunities in politically stable regions with promising geological formations.
Our criteria led us to Moroccan Sahara and Mauritania—countries with significant untapped mineral potential and favourable political climates. Even artisanal mining is relatively new in Moroccan Sahara and Mauritania. In 2021, Morocco was ranked the number one mining jurisdiction in Africa by the Fraser Institute, and Mauritania is emerging as a stable democracy with vast exploration potential. Together, these regions which we review span over 1.25 million square kilometres of available land for exploration, allowing us to focus on tenements that meet our strict geological criteria.
To date, Ellipsis Mining has secured over 2,500 square kilometres of prime tenements across these regions, carefully selecting areas that offer high geological interest with supporting geo-chemistry. In fact, we have reviewed and rejected over 30,000 square kilometres of tenements, ensuring that only the most promising prospects make it into our portfolio. Our focus is on regions with complex geological deformations, such as archaean cratons, greenstone belts, thrust faults, layered mafic intrusions, and shear zones, which present opportunities for rich mineralisation. We need the structural controls to support a mineralisation system.
Maintaining objectivity doesn’t stop with tenement selection. Once exploration begins, our commitment to transparency continues through the integration of artificial intelligence (AI) into our business model. At Ellipsis Mining, we leverage AI to analyse over 20,000 geochemistry sets, combining this data with geophysical information to create a comprehensive understanding of each prospect. The sheer volume of data involved in these analyses can be overwhelming for traditional methods, but AI helps us efficiently isolate meaningful anomalies and discard irrelevant ones. By reviewing vast datasets, AI enhances our ability to pinpoint promising mineralisation targets with a level of objectivity that was previously unattainable.
Ellipsis Mining has developed a secure AI portal on the Microsoft Azure platform, allowing us to upload and analyse our geological data with unparalleled precision. Our advanced machine learning models interrogate this data objectively, and we have implemented a system of ‘guardrails’—cross-referencing answers from multiple large language models (LLMs) to ensure the accuracy and validity of our findings. AI is not perfect, but it narrows the paths forward.
Our strategy is based on the combination of highly skilled geologists and a rigorous mathematical approach to objectively review all data. We rely on this framework to ensure that each prospect we pursue stands a strong chance of commercial success.
Our approach focuses on identifying four high-potential prospects to drill, each of which must meet our 60% to 70% probability threshold for discovering commercially viable mineral systems.
Once these four distinct and independent prospects are identified, we drill the prospects, which commences in 2025. Mathematically when we drill 4 prospects @ 60-70% potential this equates or raises our overall probability of success to 97% to 99%. Success is a resource of no less than equivalent of 750,000 ounces of gold, ie a 1.8 Billion dollar resource. This is not just a numbers game—it’s rooted in the geological foundations of each prospect. For example, our threshold iron ore prospect is characterised by visible surface expression over 20 km at 275m wide and an average dip of 26% supported by geophysical data. With a 40% discount on total volume it is a 2.92B tonne resource. The iron ore grade average at surface of 61.42% Fe2O3 is DSO quality. This iron ore deposit does not include an adjacent nearby formation. When we combine these elements with the field work, dip and strike, continuity of mineralisation, grade distribution, underlying lithology and other geological factors, this iron project meets our 60% – 70% target threshold. Mine viability metrics are fundamental and the 2.92B tonne has access to nearby aquifer water, and is 90km from port making the opportunity a close pit to port iron ore mine globally. Haulage by Kenworth C509 prime movers on MinRes Onslow mine metrics should be circa $6 per tonne. Road train and transhipping. Given proximity to port, uninhabited, desolate low flat terrain between pit and port an FOB price ex royalties between USD$26-29 is feasible.
Similarly, we have identified a orogenic gold stockwork mineralisation system that spans 500 meters by 1,800 meters. This prospect also displays strong surface expression, with gold averaging slightly over one gram per tonne. Gold tends to oxidise at surface, we should obtain higher bands of grades at depth. More critically this system is located in a structurally controlled environment, which is a significant indicator of controlled mineralisation. While much more detailed data supports these prospects, both meet our stringent criteria of 60-70% for moving forward.
Our copper-gold-silver porphyry prospect is showing promising initial results, with average grades of 3.01% copper, 3.1 grams per tonne of gold, and 6.92 grams per tonne of silver. These figures suggest a potentially valuable deposit, as the concentrations of these metals are significant for porphyry systems.
Additional field trips and studies are necessary to better understand the surface expression of the mineralization and to evaluate the overall viability of the project. These upcoming field activities will focus on detailed mapping, sampling, and possibly geophysical surveys to delineate the extent of the mineralized zone and to gather more data on the geological setting.
The information gathered from these efforts will determine if it meets our threshold.
One of the most critical aspects of our approach is not just what we pursue, but what we reject. We assess properly and be decisive. Maintaining objectivity throughout the process ensures that we focus only on projects with the highest potential.
For instance, we have evaluated and subsequently rejected several gold, vanadium, chome, copper and nickel opportunities. For example on the nickel and cobalt despite strong surface expression, both of these prospects had a capstone layer, and the only way to raise the probability of success to our required threshold would be through drilling—a risk and cost we deemed unnecessary given our focus on targets that meet our 60-70% threshold. With the chomite Cr2O3 grade at 41-43% and vanadium at V2O3 1.31% both displaying world class characteristics, the surface expression was not strong enough to confirm a commercial mineralisation system. We hold a subjective view of both that 100’s of millions of tonnes are stacked in proximate lens comparable to the Bushveld complex. That said neither meet our threshold.
Again we have rejected multiple gold, copper pathfinders, as they can not meet the required benchmarks. One area produced over 100kg’s of gold by local operators with mineral detectors in a two week period with many nuggets around 20 grams suggesting a nearby considerable gold mineralisation system but again rejected. By adhering to this disciplined approach, we ensure that our exploration efforts are concentrated on projects that stand a strong chance of commercial success based on comprehensive geological and mathematical analysis.
Before Ellipsis Mining commits to applying for or acquiring any tenements, we conduct rigorous reviews of all available opportunities. To qualify our process and prior to securing tenements, we analysed 48 listed junior exploration companies. Our team of seasoned geologists thoroughly examined all relevant public data, including announcements, reports, satellite imagery, and external resources, to assess the viability of these projects. From this analysis, we found that 32 to 41 of these companies under our model were built on geological foundations too weak to support further development. Already two are de-listed.
Additionally, we studied Newmont’s extensive gold exploration efforts in Western Australia, which involved soil sampling over a vast area of 3,000 to 4,000 square kilometres. This sampling revealed over 20 gold anomalies that initially warranted further investigation. However, after significant expenditure and several years of effort, it was determined that none of these anomalies were commercially viable. The best learning’s are from failings ideally no your own.
To avoid such outcomes, we have adopted world-class sampling techniques that are currently limited to analysis in Australia, and we have applied these methods to our overseas prospects. By using these advanced techniques, we ensure that our exploration efforts are supported by the best possible data, reducing the likelihood of pursuing non-prospective targets and maximising our chances of success.
In addition to geological risk, another key reason mining projects fail is due to geopolitical or regulatory risks. While these risks differ in nature, both can be significant enough to halt the development of a promising mineral deposit. In Africa, for example, political instability can derail projects, while in Western countries like Australia, strict regulations can be equally obstructive. We recognise that both types of risk can be showstoppers in exploration. They need to be factored in mathematically.
To mitigate these risks, Ellipsis Mining focuses on two politically stable jurisdictions: Morocco and Mauritania. While these regions still require careful risk assessment, they offer a more balanced risk profile. The geological continuity between these two countries provides an additional advantage. The mineral structures present in Mauritania extend into Morocco, allowing us to apply valuable geological insights from one region to the other. By investing into two sovereign and separate countries we have offset some geopolitical risk and overall decreased geological risk by comparable geology.
Moreover, the proximity of world-class mines, such as the Tasiast gold mine and the SNIM iron ore deposits near the borders of Morocco and Mauritania, adds further consideration to our exploration efforts. This regional proximity to successful International mining operations is another factor in part of our strategy and helps us isolate commercial mineralisation deposits with greater confidence.
We also discovered that many junior exploration companies acquire tenements for reasons unrelated to an objective review of their geological potential. This lack of focus often hinders a company’s ability to develop a world-class, scalable mining operation. To avoid this pitfall, we took a different approach by conducting a global survey of available opportunities in politically stable regions with promising geological formations.
Our criteria led us to Moroccan Sahara and Mauritania—countries with significant untapped mineral potential and favourable political climates. Even artisanal mining is relatively new in Moroccan Sahara and Mauritania. In 2021, Morocco was ranked the number one mining jurisdiction in Africa by the Fraser Institute, and Mauritania is emerging as a stable democracy with vast exploration potential. Together, these regions which we review span over 1.25 million square kilometres of available land for exploration, allowing us to focus on tenements that meet our strict geological criteria.
To date, Ellipsis Mining has secured over 3,000 square kilometres of prime tenements across these regions, carefully selecting areas that offer high geological interest. In fact, we have reviewed and rejected over 30,000 square kilometres of tenements, ensuring that only the most promising prospects make it into our portfolio. Our focus is on regions with complex geological deformations in our area, such as archaean cratons, greenstone belts, thrust faults, layered mafic intrusions, and shear zones, which present opportunities for rich mineralisation. We need the structural controls.
At Ellipsis Mining, our goal is to ensure that every step of our mineral exploration process is grounded in objectivity and supported by rigorous statistical analysis. We actively eliminate subjectivity where necessary, ensuring that every decision we make is backed by data and meets our high standards. Everything has to stack up, from the initial geological assessments to the final drilling phase.
We leverage the latest technology and innovations, including high-end satellite imagery and world-leading geochemical analysis with samples as fine as less than two microns. This precision enables us to conduct thorough reviews of the geology and mineral potential of our tenements. By combining this cutting-edge technology with the deep expertise of our geologists, we provide ourselves with the best possible chance to uncover commercially viable mineral deposits.
Our commitment to objectivity, the advanced technology we use, and the experience we bring to every project position us to deliver a world-class commercial mineral deposit. With a focus on accuracy and precision, Ellipsis Mining is driving forward with confidence and the determination to succeed in the very harsh junior exploration industry.
John is an exploration geologist and mining executive with more than 30 years’ experience in the Australian resource industry. He holds a Bachelor of Science Degree in Geology with Honours in Geomorphology from the University of Adelaide. His wide-ranging technical capabilities encompass both minerals and hydrocarbon exploration in Australia and overseas, and all aspects and techniques in airborne survey and remote mapping. In addition, John has also successfully founded a major industrial mineral opportunity in the Pilbara; Leichhardt Industrials will be Australia’s lowest cost, highest purity industrial salt operation. The Company was recently awarded Lead Agency status by the WA government.
Clayton is an experienced mining executive with a background in corporate and mining law. He holds a Bachelor of Economics and Bachelor of Laws, is the principal of corporate advisory and administration at Cross Consult Corporate, and has extensive experience in equity capital, corporate finance, structuring, asset acquisition, corporate governance, and external stakeholder relations.
Join us at Ellipsis Mining as we continue our journey into the unexplored, driven by our passion for discovery, commitment to sustainability, and the pursuit of excellence. Together, we are shaping the future of the mining industry, one mineral deposit at a time.
