Key Operational Highlights
Gold Production Performance
- Jonnagiri Project (Geomysore Services): Produced 112 kilos of dore bar in Q1 FY27, with 90 kilos converted to bullion
- Sold 59 kilos of gold generating Rs.87 crores revenue with Rs.25 crores PAT
- Deccan's share of profit: Rs.6.35 crores booked in Q1
- Inventory position: 40 kilos of gold and 60 kilos of dore bar (equivalent to ~80 kilos gold) remaining at quarter-end
- Current production rate: Approximately 1 kilo per day (30 kilos monthly)
- Expansion plans: Targeting 2,500 tons per day processing facility (from current 1,010 tons) to achieve 2 tons gold annually by 2029-30
Kyrgyzstan Project (Altyn Tor)
- Commenced dore bar production using Merrill-Crowe system
- Gravity circuit commissioned, producing gravity concentrates
- Leaching circuit added, nearing full-scale production
- Existing tailings: 0.6 million tons containing 1.3g/t gold (780 kilos total)
- Low-grade stockpile: 1 million tons available
- Total investment: Rs.300+ crores invested to date
- Employment: Currently 200 local employees, planning to add 100 more (30 engineers from India)
Fundraising Activities
- Board approved Rs.137 crores fundraising through CCDs, equity shares, and warrants
- Requires shareholder approval
- Funds earmarked for exploration of other projects excluding Kyrgyzstan
- Management and HNIs participating in the fundraising
Board and Management Changes
- Mr. Kailasam (Chairman) and Deepthi (Independent Director) retired
- Mr. Pandarinathan Elango (ex-CEO Cairn Energy) appointed as new Chairman
- Ms. Jade Devenish appointed as Non-Executive, Non-Independent Director (formerly MD of Geomysore Services 2012-2022)
Project Portfolio Updates
Gold Projects Pipeline
1. Finland (Kalevala Gold): 27.36 sq km licensed area
- Kuikka deposit: 1 ton gold resource at 5g/t average grade
- Pahkalampi prospect: 2 tons gold resource at 3.5g/t
- Planning 1,500m drilling starting September 15, 2026
- Target: 4+ tons resource, feasibility study in 2027
2. Ganajur Project: Awaiting court decision
- Recent judgments in similar cases (Gadchiroli iron ore) favorable for rights restoration
- Potential production: 1 ton gold annually if approved
3. New Acquisitions: Due diligence on 3 new gold assets
- One in Kyrgyzstan (~10 tons gold) offered by government
- Targeting production start by 2028
Critical Minerals Portfolio
1. Bhalukona (Chhattisgarh): Nickel-Copper-Platinum project
- 30 sq km composite license
- 2,500m drilling completed, 1.3km mineralized zone identified
- Planning 3,000 tons per day processing plant
- Estimated capex: Rs.650-700 crores
2. Logrosan Tungsten (Spain): 37 sq km licensed, 30 sq km pending
- 3,000m drilling completed, all holes intersected mineralization
- Best results: 1.21% tungsten at 535m depth
- Target: 3 million tons resource, 1,000 tons per day plant
3. Mozambique Lithium: 150 sq km across three licenses
- 4-5 pegmatite zones identified
- Planning 1,500-2,000m drilling starting September 2026
- Target: 200 tons per day processing plant by end-2027
Strategic Initiatives
- Battery Metals Focus: Strengthening portfolio with nickel, lithium, graphite assets
- MoU with CECRI: Collaboration on lithium-ion battery research and development
- MoU with XTerra: Technical support for critical mineral blocks
- Government Support: Exploring National Critical Mineral Mission funding (Rs.44,000 crores corpus)
Financial Guidance
- Jonnagiri FY27: 500-600 kilos gold production target
- Jonnagiri FY28: 750-800 kilos gold production target
- Kyrgyzstan FY27: 160 kilos gold production target
- Kyrgyzstan FY28: 350 kilos gold production target
Capital Requirements
- Estimated total capex requirement: ~Rs.2,000-2,200 crores across all projects
- Funding strategy: Combination of debt-equity (50-50) and off-take arrangements
- Critical minerals projects may qualify for government funding support