EdgeiQ Portable pilot program launched as Strategic Elements hits Physical AI milestone
Strategic Elements Ltd (ASX: SOR) has launched a pilot program for its new EdgeiQ Portable system, with active discussions now under way with prospective mining sector partners about revenue-generating pilot deployments. The company has also achieved its first Physical AI technical milestone.
The EdgeiQ technology is being developed by Stealth Technologies, a 100%-owned investment of Strategic Elements, an ASX-listed Pooled Development Fund. The move from field trials to a commercial pilot program is the step toward revenue.
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What EdgeiQ Portable does underground
Built from five Tier 1 field trials
EdgeiQ Portable is a handheld product, separate from the fixed-site EdgeiQ OnSite. It brings together LiDAR scanning, 3D mapping, spatial positioning and onboard analysis, and delivers results at the point of work without requiring GPS, internet connectivity or external cloud computing.
The system was refined through multiple generations of hardware development and five completed underground field trials with a Tier 1 mining company. Those trials provided the technical foundation for the newly launched commercial pilot program.
EdgeiQ Portable also has the potential to support multiple distinct mining products using its existing sensing, mapping and onboard computing capabilities.
Market and the Western Australian advantage
Two external data points frame the addressable market:
- GlobalData estimates approximately 2,300 operating underground mines worldwide.
- Western Australia’s MINEDEX database identifies 58 operating underground operations in the state.
Stealth’s Western Australian location provides a strategic advantage, enabling close collaboration with mining operators on product development, field trials and early commercial deployments before targeting broader international markets.
EdgeiQ OnSite, Stealth’s existing fixed-site system, has secured its first commercial mining contract with a major global gold producer for advanced underground mine haulage measurement and analysis. Stealth’s internal market analysis estimates a potential global market opportunity exceeding A$500 million for that product application, relating to the initial underground truck-load haulage product. This is a Stealth internal estimate and not a revenue forecast.
The first commercial mining contract for EdgeiQ OnSite was valued at $225,000 and runs as a 12-month pilot, giving Stealth real-world performance validation with a major global gold producer.
Physical AI explained and the first milestone delivered
What is Physical AI?
Physical AI refers to artificial intelligence that runs on real machines and equipment, rather than only on screens and data centres. Here, the AI model runs directly on the handheld device itself, a approach known as edge computing.
That matters underground, where network connectivity can be limited. For investors, the stated aim is to add predictive intelligence to hardware that has already been built.
Key technical achievements
The first milestone saw an initial AI model successfully demonstrated running directly on EdgeiQ Portable hardware, without internet or external or cloud-based computing. Key achievements were:
- Mining-specific AI development: the initial model was trained on 1,000 simulated mining rounds using ground conditions and drilling parameters, and aims to predict overbreak and associated dilution.
- AI integrated into existing hardware: working with Curtin University’s Western Australian School of Mines, Stealth deployed the model onto existing EdgeiQ Portable hardware without additional computing equipment.
- Rapid onboard processing: initial model test outputs were generated in approximately 100 milliseconds per inference, without external or cloud computing.
- Repeatable deployment: input validation and a repeatable process for transferring AI models onto the hardware provide a foundation for developing and deploying more advanced models.
Stealth’s internal estimate puts overbreak as a problem worth more than A$2 billion a year, based on global underground mine numbers, typical development rates and estimated overbreak cost per metre. It is not an estimate of Stealth’s revenue.
The initial model was trained on simulated data, and its predictive accuracy against actual mining outcomes has not yet been established.
| Milestone | Detail | Why it matters |
|---|---|---|
| Pilot program launch | Active discussions with prospective mining sector partners | Targets revenue-generating pilot deployments |
| Onboard AI model | Initial model running on EdgeiQ Portable hardware | Adds predictive intelligence to existing hardware |
| Inference speed | Approximately **100 milliseconds** per inference | Processing runs on the device without cloud computing |
| Mining data access | Approved by a Tier 1 mining company, supply commenced | Supports further AI model development |
Charles Murphy, Managing Director
“…we believe Stealth has reached an important inflection point, with its first commercial mining contract secured, multiple product commercialisation opportunities progressing and Physical AI development now converging.”
“Physical AI represents a major opportunity for Strategic Elements…”
What happens next for Strategic Elements
Access to operational mining data has been approved by a Tier 1 mining company, and data supply has now commenced. The announced next steps are:
- Pilot agreement: following execution of a pilot agreement, and subject to the mining partner’s approval, the company will release further details of the relevant product and potential market. Discussions are active, and no assurance can be given that any pilot agreement will be executed.
- Further AI model development: during Q4 2026, supported by the operational mining data now being supplied.
- Potential underground field trial: Q1 2027, subject to technical progress and partner site access. The potential field trial is conditional and not contractually committed.
Strategic Elements is a registered Pooled Development Fund that provides patient capital to Australian innovation through wholly owned operating ventures. The structure provides eligible shareholders with tax concessions including tax-free capital gains and dividends.
Its second current operating venture is Australian Advanced Materials Pty Ltd, developer of Energy Ink™ energy-from-moisture technology.
Energy Ink has reported more than a 1,000% increase in energy generation versus ambient conditions, and the venture sits alongside EdgeiQ as one of the company’s main growth verticals.
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