Sign In or Create an Account.

By continuing, you agree to the Terms of Service and acknowledge our Privacy Policy

Technology

This Startup Finds Critical Minerals in the Unlikeliest of Places

And it just raised a $20 million round of Series B funding.

Minerals and a magnifying glass.
Heatmap Illustration/Getty Images

A century ago, prospectors tromped through remote areas, hoping to spot valuable, mineralized rocks simply poking out of the ground. Eventually, after they found all of the obvious stuff, they progressed to doing airborne geophysical surveys that used tools such as electromagnetic sensing to identify minerals that were just below the surface or highly concentrated. But there’s always been a lot more out there than we had the mechanisms to find. So now, companies are training artificial intelligence models on heaps of historical data to help locate untouched reserves of minerals that are key to clean energy technologies such as electric vehicle batteries and wind turbines.

One of the biggest players in this space is Earth AI, a Sydney-based startup that today announced a $20 million Series B round, bringing the company’s total investment to over $38 million since its founding in 2017. While the company had initially sought to raise $15 million in this round, investor interest was so strong that it exceeded its target by $5 million. Lead investors were Tamarack Global and Cantos Ventures.

Earth AI has a two-stage business model. First, it uses its proprietary software to locate likely deposits and purchases the mineral rights to the land. Then, it sends in its drilling rig and in-house team of geologists to produce mineral samples. The team then shows these samples to mining companies to prove that the area warrants further development and — assuming the miners are interested — sells them the mineral rights. “Because of the scarcity of this, because of the deficit of where we are and where we’re going, these price tags are $500 million to $2.5 billion,” Monte Hackett, Earth AI’s chief financial officer, told me. Huge as that may sound, it’s much less than what a mining company would typically spend doing traditional exploration themselves. This latest funding will allow the startup to purchase additional drill rigs and increase its project pipeline to over 50 sites.

“The problem is obvious,” Hackett told me. “We need $10 trillion of critical metal production by 2050. We’re producing $320 billion, a $9.7 trillion shortfall.” To better locate the trillions of dollars worth of minerals necessary for the energy transition, the startup’s CEO, geoscientist Roman Teslyuk, digitized decades of old Australian geophysical survey data, then overlaid that with remote sensing data such as satellite imagery to train a model to recognize the Earth systems and geological processes that created minerals deposits millennia ago. “Another way I like to think about it is that our algorithm looks for the geological shadow that is cast by a dense mineral body,” Hackett explained in a follow-up email.

Hackett told me that Earth AI focuses specifically on “greenfield” applications — that is, areas where no mining activity or substantial minerals exploration has previously occurred. So far, the company’s discoveries include a significant deposit of palladium, which also contains platinum and nickel, as well as a gold deposit and a molybdenum deposit. “We’re finding things that go against what has been the common sense of the industry so far,” Hackett told me, referencing the company’s palladium discovery. “There was geological consensus that there was no platinum palladium on the East Coast of Australia, and our algorithm learned what it looked like on the West Coast and then identified it on the East Coast.”

While Hackett said Earth AI is open for business anywhere, right now all of its projects are in Australia, where the company has “600 ‘x’s on our treasure map” — that is, likely areas for deposits, Hackett wrote in a follow-up email. Outlining the advantages of doing business there, he explained, “We don’t have to go somewhere where there’s unsavory working conditions or there are issues where we have to put our principles into balance. Here, everything is very regulated and above board.” Plus, mining has long been an important component of the Australian economy. “They’re incredibly efficient at doing this well. So the timeline for development is the shortest compared to other places,” Hackett told me.

This tech could have important domestic implications too, though. As the newly-inaugurated President Trump prioritizes ramping up U.S. production of critical minerals, Earth AI could one day help locate deposits here, as well. And since Australia is a close American ally, the nation could play a key role in helping wean the U.S. off of Chinese imports, providing the U.S. with critical minerals that it can’t now, or perhaps ever, produce in sufficient quantities itself.

Green

You’re out of free articles.

Use code: LABORDAY to save 20%.
Subscribe to access Heatmap’s exclusive polling and expert analysis of energy, climate change, and sustainability, now just $99/year $79.20/year.
To continue reading
Create a free account or sign in to unlock more free articles.
or
Please enter an email address
By continuing, you agree to the Terms of Service and acknowledge our Privacy Policy
Daily Briefing

How to Get Data Centers to Fund the Grid of the Future

A new policy proposal argues that large load tariffs on their own aren’t enough.

A data center.
Heatmap Illustration/Getty Images

Earlier this year, I attempted to draw up a web diagram about energy affordability. My head was spinning from reading social media threads of experts arguing over the reasons electricity rates were so high, the best strategies to lower them, and how the data center explosion fit into the picture. I wanted to see all of the ideas laid out in one place. Here’s what I sketched out at the time:

Chart of large load ideas Please forgive the shadow — this wasn’t taken for posterity.Emily Pontecorvo

Keep reading...Show less
Blue
Electric Vehicles

Is the Subaru Trailseeker Subaru Enough?

Under the sheet metal it’s basically a Toyota — but maybe that’s okay.

Subarus and Toyotas.
Heatmap Illustration/Getty Images

I’ve seen these cupholders before. The same goes for the pair of wireless phone charging mats in this Subaru EV, the wheel that spins to select drive or reverse, and the storage cubby between the driver and shotgun seat with its awkwardly positioned “open” button. Even the big central touchscreen and its software are fundamentally identical to the ones I remember — right down to the navigation system’s voice-activated assistant represented by a weird on-screen bubble.

It’s no coincidence the interior of the new Subaru Trailseeker feels so familiar: I just saw it a couple of months ago while test-driving the Toyota CH-R. The two Japanese carmakers have been co-developing the bones of their electric cars together for several years now. Their dueling lineups of new models are, to a large degree, the same vehicles under the sheet metal: The Toyota CH-R and Subaru Uncharted small crossovers are effectively twins. So, too, are the Subaru Trailseeker I drove this week and the Toyota Bz Woodland, the stretched, outdoorsy version of Toyota’s EV.

Keep reading...Show less
Green
AM Briefing

The Scramble for Venezuela

On the LNG boom, fashion’s footprint, and nuke maxing

Venezuelan oil.
Heatmap Illustration/Getty Images

Current conditions: The Pacific is facing a traffic jam of storms, with Hurricane Karina, Tropical Storm Lowell, and Tropical Storm Marie all raging at once • Temperatures in Charlotte, North Carolina, America’s secondary banking capital after New York, are nearing 100 degrees Fahrenheit amid a regionwide heatwave • Tropical Storm Edouard knocked out power from more than 81,000 households in Texas and Louisiana.


THE TOP FIVE

1. American energy companies scamper into Venezuela

Call it the scramble for Caracas. For the first time since the dawn of the 21st century, the South American nation with the world’s largest known oil reserves is open for business to Americans. Eight months after U.S. forces arrested former dictator Nicolás Maduro in his home and Washington backed his vice president, Delcy Rodriguez, as the new leader, Venezuela is becoming a hotbed for American energy companies. On Wednesday, Chevron announced plans to double its production in Venezuela with a $7 billion investment. “We were trying to work at what I call Trump speed,” Secretary of Energy Chris Wright said at a signing ceremony at the Miraflores Palace, according to The Wall Street Journal. “President Trump didn’t want a nudge or a slow drift in a positive direction. He wanted to see as fast as possible a transformation in Venezuela.”

Keep reading...Show less
Blue