Deccan Gold Mines Ltd’s stock price climbed up to 16% on Monday, reaching a peak of Rs 123 on the Bombay Stock Exchange. This increase followed advancements in the Jonnagiri Gold Project, a Rs 400 crore initiative representing the nation’s first privately operated gold mine, in which the firm holds a significant stake.
Commercial operations at the project are scheduled to start in early May, signifying a key achievement. Located in Andhra Pradesh and covering about 598 hectares, the mine is managed by Geomysore Services India, with collaboration from Deccan Gold Mines and Thriveni Earthmovers & Infra, according to reports.
The shift to production phase has boosted investor confidence, enhancing prospects for future revenues. The facility is projected to function for at least 15 years, yielding as much as 1,000 kilograms of gold per year. It holds verified reserves of 13.1 tonnes, with estimates suggesting a possible increase to 42.5 tonnes.
This progress holds broader importance for the industry. India relies on imports for more than 800 tonnes of gold annually, while local output is minimal. The Jonnagiri effort is viewed as a vital move toward enhancing domestic supplies, positioning Deccan Gold Mines to benefit from this through its involvement.
Over the last month, the company’s shares have risen 24%. However, they have declined 10% in the past six months. Year-to-date in 2026, the stock has advanced nearly 30%.
Deccan Gold operates internationally, developing gold and essential mineral sites in countries including India, Kyrgyzstan, Mozambique, Finland, and Tanzania.
In the previous month, the firm began diamond drilling at its Bhalukona site in Chhattisgarh to examine underground structures and mineralization, targeting areas with prior indications of anomalies and supportive geophysical data.
Additionally, through its Dubai subsidiary Deccan Gold FZCO, the company has started diamond drilling at the Logrosan Tungsten Project in Spain. This work aims to assess tungsten deposits noted by earlier surveys, with the goal of defining an initial resource estimate.
Hanuma Prasad Modali, the managing director, noted that the government’s emphasis on critical minerals supports national aims for independence and sustainable energy shifts. He described the drilling starts at these sites as progress toward those objectives, underscoring the firm’s dedication to ethical practices, shareholder value, and strengthening India’s supply of vital minerals.
