Deccan Gold Mines Limited has provided a comprehensive update on the progress of its Altyn Tor Gold Project in Kyrgyzstan, signaling significant advancements towards commercial production. The company aims to begin commercial operations from the gravity circuit by mid to late October 2025, marking a crucial milestone in the project's development.

Project Milestones and Progress

Processing Plant Upgrades

• Conveyor System: 11 conveyor units have been successfully commissioned, with additional units for ball mill feed and tailing feed in transit.
• Crushing Equipment: Jaw and cone crushers have completed successful trial runs.
• Ball Mill Installation: Ongoing, with completion targeted for late August to early September 2025.
• Gravity Concentrator: Equipment is on-site, with commercial production from the gravity circuit aimed for mid to late October 2025.
• Leaching System: Tanks fabricated and painted, with full erection expected by mid to late October.

Power Infrastructure

• A 2500 kVA diesel generator set has been ordered for October delivery to power the ball mill during commissioning.
• High-tension powerline installation contract awarded, targeting completion by late November to early December.

Tailings Storage Facility (TSF)

• Excavation of the new tailings dam has commenced, scheduled for completion in October 2025.
• Geomembrane lining planned for November and December, weather permitting.

Mining Operations

• Approximately 30,000 m³ of waste removed to date.
• Target of 100,000 m³ waste removal set for the next 2-3 months.

Resource Development

• Drilling programme has completed about 2,000m of the planned 2,500m.
• Multiple zones of mineralisation identified, including visible gold.

Project Outlook and Challenges

Dr. Hanuma Prasad Modali, Managing Director of Deccan Gold, expressed cautious optimism about meeting target timelines while acknowledging potential risks:

"We are pleased with progress and are cautiously optimistic of achieving our target timelines for completing the process plant, power lines, and tailings dam as per our schedule. As usual in these latitudes, early onset of winter poses the greatest risk for construction projects."

The company is implementing contingency measures to mitigate the impact of potential early winter conditions, including:

• Erecting sheds to protect critical equipment
• Monitoring shipments and aligning civil works with equipment deliveries
• Focusing on commencing Dore bar production from the gravity circuit in October
• Prioritizing the completion of high-tension power line and substation works in November

About Altyn Tor Gold Project

The Altyn Tor deposit is located in the highly mineralized Soltan Sary gold mineralization zone, part of the major Tien Shen Shear Zone. Current mineral resources are estimated at:

This estimate includes 1.4 Mt (51 koz) of tailings and low-grade stockpile material, using a 0.5 g/t Au cut-off grade.

Deccan Gold's investment in the Altyn Tor Gold Project through Avelum Partners marks the first investment by an Indian mining and exploration company in Kyrgyzstan, potentially enhancing economic ties between the two countries.

As Deccan Gold progresses towards its production goals, the company remains committed to ethical and responsible mining practices, aiming to set new standards in the industry while contributing to sustainable development in the region.

Deccan Gold Mines Limited, a prominent player in the gold mining sector, has released its unaudited financial results for the first quarter ended June 30, 2025, showcasing a mixed performance with a decrease in revenue but a significant increase in profitability.

Financial Highlights

The company reported a total income from operations of Rs. 529.21 crores for Q1 FY26, marking a 10.5% decrease from Rs. 591.46 crores in the previous quarter. However, when compared to the same quarter last year, which saw a revenue of Rs. 444.68 crores, the company has achieved a year-on-year growth of 19%.

Despite the quarter-on-quarter revenue dip, Deccan Gold Mines has shown remarkable improvement in its bottom line. The net profit after tax stood at Rs. 134.07 crores for Q1 FY26, representing a substantial 69.6% increase from Rs. 79.06 crores in Q1 FY25. However, it's worth noting that the profit has decreased by 33.5% compared to the previous quarter's Rs. 201.69 crores.

Key Performance Metrics

The company's Basic and Diluted Earnings Per Share (EPS) for Q1 FY26 stood at Rs. 1.76.

Corporate Governance and Transparency

In line with regulatory requirements, Deccan Gold Mines has published newspaper advertisements containing QR codes and webpage details for accessing the unaudited standalone and consolidated financial results. This move enhances transparency and ease of access for shareholders and potential investors.

The financial results were reviewed by the Audit Committee and subsequently approved by the Board of Directors at their meeting held on August 13, 2025. This process ensures compliance with corporate governance standards and regulatory requirements.

Looking Ahead

While the quarter-on-quarter revenue decline might raise some concerns, the significant year-on-year growth in both revenue and profitability suggests that Deccan Gold Mines is on a positive trajectory. The company's ability to substantially increase its net profit despite a revenue dip indicates improved operational efficiency and cost management.

Investors and market analysts will be keenly watching Deccan Gold Mines' performance in the coming quarters to see if the company can maintain its profitability while potentially recovering its revenue growth momentum.

As the gold mining sector continues to be influenced by global economic factors and precious metal prices, Deccan Gold Mines' performance in the subsequent quarters will be crucial in determining its financial outlook for the fiscal year 2025-26.