WHAT IS QUANTUM GEOLOGY’S HISTORY?
Quantum Geology was started by Warwick Anderson and his fiancée Sheree Burdinat.
Research on the system started in 2014, when the couple were asked to interrogate a large historic mining database. This lead to an investigation of using machine to parse the data, which led to the creation of a broader artificial intelligence system. In June 2017 the research paid off, and the hybrid artificial intelligence system started predicting gold mines accurately.
WHAT ARE QUANTUM GEOLOGY’S KEY PRODUCTS?
Quantum Geology’s main product is its hybrid artificial intelligence system.
Quantum Geology processes data for a clients exploration area, and produces prospectivity maps, showing the area’s most likely to contain economic gold deposits.
Clients also receive up to 30 maps that they would have to normally produce themselves or pay to have produced by a geographic information system or Remote sensing specialist
Quantum Geology’s second product is an on demand geology machine deep learning (DL) system, sold as a Software as a Service (SaaS)
The DL system helps predict geology and other elements of exploration, allowing a faster way to vector in on economic gold mineralisation. The DL system is designed for a company to upload via internet their new data, and have it processed and mapped. They can then quickly make decisions on how to proceed with the next phase of their exploration program.
Quantum Geology’s SaaS solutions will generate a significant degree of recurring revenue. Due to our SaaS business model, fixed costs represent a significant proportion of overall costs within the Company. This provides operating leverage and is designed to magnify the impact of incremental revenue growth on earnings.
WHO USES QUANTUM GEOLOGY'S PRODUCTS?
The Quantum Geology system is aimed at Australian gold exploration companies and International gold exploration companies currently exploring within Australia.
These companies spend over $600 million dollars per year on exploration, and this figure is forecast to grow this year. LINK
We aim to be supplying the global market in five years from commercializing.
HOW DO CUSTOMERS ACCESS QUANTUM GEOLOGY 'S PRODUCTS?
This service requires initial contact with the client, and then usually large amounts of data to be passed on to Quantum Geology. Contact can be face to face, or via phone or video conference. Data can simply be uploaded to Quantum Geology’s cloud servers.
These software products are cloud-based and accessible by customers through any mobile, tablet, laptop or desktop device with an internet connection.
WHERE ARE QUANTUM GEOLOGY 'S OPERATIONS LOCATED?
Quantum Geology is based in the city of Brisbane, State of Queensland, Australia.
It has an office at The Queensland University of Technology, in the heart of the city.
WHAT ARE QUANTUM GEOLOGY’S KEY STRENGTHS?
Scalable to suit current economy (easy to expand or contract)
No large assets or infrastructure needed
High profit ratios envisaged
Global expansion planned
Multiple markets- Tech-Mining-Oil & Gas
Innovation Tax incentives
DOES INVESTMENT IN ATTRACT ANY TAX INCENTIVES FOR INVESTORS?
Quantum Geology has applied to the Australian Tax Office for a private ruling on qualifying as an early stage innovation company (ESIC).
The tax incentives for early stage investors (sometimes referred to as 'angel investors') are contained in Division 360 of the Income Tax Assessment Act 1997.
The tax incentives provide eligible investors who purchase new shares in an ESIC with a:
non-refundable carry forward tax offset equal to 20% of the amount paid for their qualifying investments. This is capped at a maximum tax offset amount of $200,000 for the investor and their affiliates combined in each income year modified capital gains tax (CGT) treatment, under which capital gains on qualifying shares that are continuously held for at least 12 months and less than ten years may be disregarded. Capital losses on shares held less than ten years must be disregarded. The maximum tax offset cap of $200,000 doesn't limit the shares that qualify for the modified CGT treatment.
Investors that don't meet the 'sophisticated investor' test under the Corporations Act 2001 won't be eligible for any tax incentives if their total investment in qualifying ESICs in an income year is more than $50,000.
CAN QUANTUM GEOLOGY GET THE R&D TAX INCENTIVE?
Quantum Geology has applied for the R&D Tax incentive
The R&D Tax Incentive provides a tax offset for some of a company's cost of doing eligible research and development (R&D) activities by reducing a company's income tax liability. Tax offsets of 43.5% or 38.5% are available for costs incurred on eligible activities depending on a company’s annual aggregated turnover. The 43.5% benefit is a refundable offset.