SensOre said the deal to acquire the geophysics software and services firm should generate an annual $2 million in recurring revenue from clients around the globe.
It will add advanced automated geophysical software and geoscience expertise to SensOre's existing suite of machine learning and artificial intelligence-driven mineral exploration software products and technology offerings.
SensOre CEO Richard Taylor said the acquisition was an opportunity to add complementary technologies at a time when demand for geophysics software was strong.
Dr Des FitzGerald, who founded Intrepid in 1978, said the merger of the two companies should unlock growth opportunities in a strong market, with the addition of decades of integrated geology and geophysics data with SensOre's proprietary data cube technology.
Intrepid's technologies should "fill a gap" in SensOre's product suite by incorporating geophysics products that take exploration targeting from the macro targeting level to the drill targeting delineation, Taylor said.
The pair has recently collaborated on a pilot project targeting the prospective Stawell and Ballarat gold corridors in, which SensOre hopes to make available in the coming months.
Taylor said SensOre was not only acquiring a second team of dedicated geoscience professionals based on Australia's east coast, but it also expertise in the oil and gas, groundwater, geothermal and the emerging hydrogen storage sectors.
SensOre will pay $1 million cash and issue stock to Intrepid's vendors equivalent to 6.2% of the company, based on 70c per share, plus a deferred cash payment of $1 million can become due after 12 months contingent on several performance milestones.
SensOre recently added some 60 years of geochemical data across Western Australia, said to be worth $10 billion in replacement value, and used its machine learning tools to extract valuable insights and developing more than 12,500 geochemical maps across the state.
Separately, it has completed initial prospectivity mapping over the central Gawler Craton in South Australia for Barton Gold.
Last month it also revealed its aircore drilling had confirmed its predictions of two new gold corridors at North Darlot, WA, with 40% partner DGO Gold (now part of Gold Road Resources).
It will next test targets generated by its tech at Maynards Dam and Marloo with its partners Torque Metals, Jindalee Resources and Lefroy Exploration.
SensOre shares have traded at 35-93c over the past 12 months, and were untraded at 39c today, valuing it at $25 million.
If SensOre continues to trade below 70c, additional shares will be issued to ensure Intrepid's vendors maintain a 6% holding.
