Deccan Gold Mines shares surged 23% in two days following the company's announcement of significant mineral discoveries at its Bhalukona Project in Chhattisgarh. According to reports from The Economic Times, the stock jumped as much as 10% to ₹150 on the BSE on Wednesday, extending its rally for a second straight session. The company's shares have risen 23% since the start of 2026, reflecting strong investor confidence in the mineral discovery potential.
The company announced nickel, copper and palladium mineralisation discovered during the first phase of drilling at the Bhalukona Project. As reported by The Economic Times, initial exploration work through rock chip and soil sampling identified an approximately 700-metre-long mineralised zone containing nickel, copper and platinum group elements (PGEs). Drone-based magnetic surveys indicated the possibility of continuation of favourable lithological units beneath soil cover to the south of the identified mineralised zone.
A geophysical induced-polarisation (IP) survey returned signatures pointing to multiple sulphide mineralisation zones, with some extending up to 300 metres below the surface. According to the company's announcement, drilling activities confirmed the presence of a layered mafic complex featuring wide zones of disseminated sulphides along with occasional heavy-to-massive sulphide lenses containing economic grades of nickel, copper and palladium. The sulphide minerals identified are primarily pyrrhotite and pentlandite, both associated with nickel, along with chalcopyrite, which is linked to copper mineralisation.
The 30 sq. km Bhalukona Nickel Block, located in Chhattisgarh, was executed on April 1, 2025. As reported by The Economic Times, the company has received all required forestry approvals for non-destructive exploration activities, including drilling in designated areas. The company completed 1,200 metres of diamond core drilling through seven drill holes, extending the known mineralised zone to nearly 1.3 km. All drill holes intersected varying widths of disseminated as well as heavy-to-massive sulphide mineralisation.
According to the company's announcement, plans include accelerating the drilling programme to define a mineable resource and fast-track applications for mining leases. With these promising findings, Deccan Gold Mines is speeding up drilling activities and fast-tracking mining lease applications for the Chhattisgarh project. Early results suggest there could be substantial amounts of mineralisation underground, prompting the company to advance exploration activities and mining applications.
