Deccan Gold Mines Limited has approved the grant of 7,50,000 stock options to eligible employees under its Stock Incentive Plan 2024 (DGML SIP 2024). The Nomination and Remuneration Committee of the company passed a resolution by circulation on May 23, 2026, to authorize the grant of these options to employees of a subsidiary company.

The scheme is compliant with the SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021. Each granted option is convertible into one fully paid-up equity share of the company, which has a face value of ₹1. The total number of shares covered by these options is 7,50,000.

Key Details of the Grant

The company has determined the exercise price for the stock options at ₹20 per share. This price is in accordance with the regulations and the company's internal policies, ensuring it is not less than the face value of the equity shares. The total scheme size for DGML SIP 2024 is 8,000,000 stock options.

Vesting and Exercise Period

As of the date of the intimation, no options have vested or been exercised. The exercise period will commence from the date of vesting and extend up to five years from that date, or a lesser period as decided by the Nomination and Remuneration Committee. The company noted that 30,000 options have lapsed in accordance with the terms and conditions of the ESOP plan.

The grant of these options is subject to in-principle approval from the stock exchanges. The company confirmed that the terms of the plan are in line with the accounting policies specified under Regulation 15 of the SEBI regulations.

Deccan Gold Mines Limited conducted an Investor Relations call on May 19, 2026, to discuss the company's operational progress and financial performance for the fourth quarter of fiscal year 2026. The management, led by Managing Director Dr. Hanuma Prasad, highlighted a transformative period for the company, marked by the commencement of revenue generation from its associate company and significant advancements in its mining projects across India and abroad.

A key development discussed was the performance of Geomysore Services, in which Deccan Gold Mines Limited holds a 26% stake. The Jonnagiri Gold Project, operated by Geomysore, has started generating revenue through the sale of gold from trial production. The project has achieved profitability, with refined gold bullion already sold. Management noted that this is the first gold project commissioned in India post-independence. For FY2027, the production forecast for Jonnagiri stands at 600kg, with potential revenue estimated at ₹900 crore based on current prices, and an EBITDA margin of approximately 75%.

Financial Overview and Capital Allocation

The company successfully raised ₹315 crore through a rights issue during the quarter. These funds were utilized to repay all outstanding debts totaling ₹219 crore, effectively making the company debt-free. A portion of the proceeds, amounting to ₹32 crore, was invested in the Kyrgyzstan project, while ₹55 crore was invested in Geomysore Services to maintain the 26% shareholding. Despite these allocations, the company requires an additional ₹60 crore to ₹100 crore to complete the Kyrgyzstan project and is in discussions with investors and promoters to secure this funding.

Project Updates: Kyrgyzstan and Bhalukona

At the Altyn Tor Gold Mine project in Kyrgyzstan, where Deccan Gold holds a 60% stake, the gravity circuit has been commissioned, and the company has started producing gold concentrates. Management expects to commission the Merrill Crowe system in June 2026 to produce Doré bars, with full-scale commercial production slated to begin by August 2026. The project aims to produce 160kg of gold in FY2027, with projections of 300 to 350kg in FY2028. Revenue for FY2027 is estimated at ₹300 crore, with a PAT of around ₹100 crore, of which ₹60 crore will be attributable to Deccan Gold.

In India, the Bhalukona Nickel-Copper-PGE project in Chhattisgarh has reported significant discoveries. The company has completed 1,200 meters of diamond core drilling, intersecting mineralized layers with widths up to 60 meters. High-grade zones within the drill holes showed assays of 1.01% nickel, 0.29% copper, and 0.2 grams per ton of palladium. Management believes the project holds the potential for an open-pit mine and plans to accelerate the drilling program to prove resources and apply for a mining lease soon.

Future Outlook and Global Expansion

Deccan Gold Mines is also advancing projects in Mozambique, Finland, Spain, and Tanzania. The company is exploring lithium, tantalum, and copper-gold in Mozambique, while the Kalevala Gold project in Finland and the Logrosan Tungsten project in Spain are undergoing evaluation and drilling. Management expressed confidence in the geological potential of these assets, particularly the Tungsten project in Spain, where drilling has intersected mineralized zones.

Looking toward 2030, the company envisions operating two to three gold mines and a couple of critical mineral mines. It aims to increase gold production at Jonnagiri to one ton per annum and Altyn Tor to nearly one ton. Additionally, it plans to develop India's first Nickel-Copper-PGE mine at Bhalukona and commence production from its Mozambique and Finland projects. To support these ambitious plans, the company anticipates requiring a larger fund raise, potentially between ₹800 crore and ₹1,000 crore, in the coming years.