Windfall Geotek (TSXV: WIN, OTC: WINKF) uses AI for mining explorations. Doing this has several advantages, as it notably reduces costs and increases the efficiency and success rate of the exploration. Windfall also improved its financial statements by reducing expenses and augmenting its revenue. 

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Why Use AI? 

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Artificial intelligence is pervasive and will unavoidably significantly influence the mining industry. The mining sector generates everything from platinum to coal and indirectly influences a nation's economy. Machine learning and artificial intelligence are having a big impact on the mineral exploration business. Businesses are utilizing artificial intelligence and implementing this technology to boost exploration's effectiveness and success rate.
AI is being used by businesses in the mining and exploration sector to increase productivity and operational effectiveness. These innovative technologies are assisting in increasing investment returns.

In addition to assisting in the prospecting for minerals such as industrial raw materials, jewels, or fertilizer minerals, artificial intelligence can map geographic areas from various inputs. Geologists also use machine learning techniques to find ore. AI can analyze millions of data points and learn from previous experiences. It assists in identifying exploration locations and making more accurate predictions about potential mineral beds over the whole Earth's crust. It can offer in-the-moment information for streamlining procedures in the mining industry. To improve site predictions, AI is also capable of studying terrains and environments. Data collecting and pattern recognition are made feasible by artificial intelligence. Machine learning connects the reason why mineral deposits arise.

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Company Overview

Windfall Geotek AI targeting technology analyzes geological data from various sources to generate the highest probable drill targets. Its technology works for all metals including copper, nickel, lithium, gold, silver, cobalt, platinum and uranium among others. The company takes geological data from various sources including drill holes and rock samples, publicly available sources and others to build models that can predict with high accuracy where a particular metal or group of metals are likely to be found, greatly improving the success of exploration programs.

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“Windfall Geotek brings both technology and exploration together, making the CARDS analysis one of the top tools that everyone should have in their toolbox when considering next steps in any stage of exploration. Geologists have had to physically walk unknown parts of the field to achieve first phase results where Windfall can provide highly probable targets and help reduce both cost and time on initial exploration programs. This, in turn with large datasets that Windfall can compute faster than the human brain can, helps further the knowledge of projects and accelerate programs in a sustainable manner".

Nathan Tribble, Geologist & Director

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The exploration process is more effective, less expensive, and more successful thanks to the Windfall platform. Our system use machine learning to analyze massive amounts of data and forecast mineralization-rich zones. Clients may drill with a better likelihood of discovering what they're looking for and lower danger of drilling missed holes by using the information at their disposal. With Windfall Geotek AI, their partners can greatly increase the success rate of their greenfield and brownfield exploration programs and have a higher chance of extending mine life or making discoveries that lead to new mines.

Here are few highlights the company already has: 

• Before to beginning their drilling campaign in 2019 and 2020, Canada Nickel Corporation used data analysis to assist them locate zones of mineralization. These zones were later validated by drilling, and the drilling resulted in a large nickel find close to Timmins, Ontario.
• For the Bachelor Lake Mine, AI detected zones of gold mineralization in 2010, resulting in 25m of 10.2g/t gold that are now being exploited.
• Typhoon Exploration found new mineralized zones in previously undiscovered locations thanks to Windfall's AI technology.

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Share Structure / Financials 

Windfall’s last earnings were pretty solid and got better versus YoY. The company generated $70.8k over the last quarter for a $340k loss. The biggest expenses were accounted for general and administration costs, representing $310k.  In 2021, Windfall Geotek had $195k in revenue but realized a $954k loss. Over the 9 months, the company improved its revenue and costs. It generated $588k versus $552k and lowered its costs from $4.4M to $992k. It will be interesting to see what the next earnings will look like as Windfall’s earnings keep getting better. 

Regarding the balance sheet, the company has $1.2M in cash, and $2.47M in total assets for no debt. Windfall detains several marketable securities worth $871k. Its biggest ownership results in Puma Exploration, worth $228k for a total of 1.2M shares, and Power Nickel representing $210k for 1.4M shares. 

The company issued 133.6M shares, 8.26M options (avg. price: $0.10) and 19.6M warrants (avg. price: $0.25). The company can exercise neither options nor warrants because the stock price is too low. 

Over the last year, the stock price remained relatively steady. It had a 52-week low of $0.04, a 52-week high of $0.10, and now trades around $0.07 (March 28). 

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Bottom Line

Windfall Geotek (TSXV: WIN, OTC: WINKF)’s technology could be increasingly requested over time. The opportunity for mining companies to reduce costs while exploring is a serious chance for them. The company augments its revenue and lowers expenses and doesn’t dilute much its share structure. Windfall’s stock appears to be a solid long-term investment.

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