Nemex Resources (ASX: NXR) has now concluded its due diligence review of Wavefront Biometric Technologies (WBT), and has completed the initial investment of $700,000 to acquire a 20% interest in WBT.
Wavefront has developed and patented a biometric security technology to authenticate a person's identity.
The technology has potential applications across numerous sectors, and initially plans to focus commercialisation efforts in the mobile-online banking, mobile transactions and data security sectors.
Nemex's investments in Wavefront will be funding the final stages of product development, and are to be made on a staged basis contingent upon success.
Firm commitments have been secured for a $1.8 million capital raising via issue of 90 million Nemex shares at $0.02 and 45 million options exercisable at $0.05 on or before December 31st 2014.
Biometric technology, which is the identification of humans by their characteristics or traits such as fingerprints, DNA, and face recognition, is considered a solution to online security as incidents of hacking and fraud escalate.
Wavefront's technology uses the pattern of light reflected from the contour of the tear film on the corneal surface in the eye as it's biometric.
Not only is an individual's corneal topography unique to each person, but the tear film differs slightly from one moment to the next.
This secondary feature effectively allows for the generation of a one-time-PIN.
Wavefront is now focusing its efforts on developing a hand held platform to offer mobile identity authentication.
The development program is expected to take 8 months to complete and the associated costs will be funded by Nemex's investment.
Nemex can earn up to a 51% interest via staged payments of $700,000 for a 20% interest in Wavefront, which has now been made; $625,000 for a further 10% equity, $1,000,000 for another 10% equity, and a final payment of $1,750,000 for an additional 11%.
Nemex also retains its Abengourou gold project in Côte d’Ivoire, and the Télimélé direct shipping iron project in Guinea.
At Télimélé it has defined a 258 million tonne resource at 37.3% iron, with 16.8 million tonnes at 55.1% of potential direct shipping ore.
This resource is from just 5% of Nemex's exploration ground at Télimélé, which boasts a total exploration target of 2 to 5 billion tonnes at 30-40% iron.
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