Deccan Gold models more than 4 million tonnes at Bhalukona

Deccan Gold Mines Limited has modelled potential for more than 4 million tonnes of nickel-copper-platinum group elements (PGE) mineralisation at Bhalukona in Chhattisgarh, grading about 0.24% nickel equivalent. Deccan Gold says the exploration-stage interpretation draws on 15 drill holes totalling 2,773 metres and represents only about 25% of a 1.3-kilometre mineralised corridor.

What did Deccan Gold’s Bhalukona model indicate?

Deccan Gold’s preliminary geological model indicates potential for more than 4 million tonnes of mineralisation at approximately 0.24% nickel equivalent, or Ni_Eq, at the Bhalukona Nickel-Copper-Platinum Group Elements project. Deccan Gold said Ni_Eq is based on the weighted contribution of nickel, copper, platinum and palladium mineralisation. This is a preliminary interpretation from exploration drilling, rather than a declared mineral resource or reserve.

The estimate is confined to near-surface mineralisation across approximately 300-350 metres of the 1.3-kilometre corridor identified at Bhalukona. In comparison, the identified corridor extends for about 1.3 kilometres, is more than 100 metres wide and continues to depths exceeding 200 metres. The difference between the modelled 300-350 metre section and the longer 1.3-kilometre corridor is central to Deccan Gold’s stated further exploration potential.

Deccan Gold explicitly stated that the 4-million-tonne figure does not establish the scale, continuity or economic potential of the mineralisation. Further drilling, geological evaluation and technical assessment are required before a mineral resource or mineral reserve can be defined. The November 1, 2026 announcement therefore provides Deccan Gold’s first preliminary size and grade indication for part of Bhalukona, with stated limitations on what that indication represents.

How much of the Bhalukona corridor does Deccan Gold’s estimate cover?

Deccan Gold’s current model covers approximately 25% of the 1.3-kilometre mineralised corridor, or a near-surface section of roughly 300-350 metres. Deccan Gold identified the corridor through staged work at the project, including geological mapping, sampling, geophysical surveys and diamond-core drilling. Deccan Gold said this partial coverage means the preliminary quantity should not be read as an estimate for all mineralisation identified so far.

The 1.3-kilometre corridor is associated with a layered mafic-ultramafic formation, a geological setting that Deccan Gold says hosts nickel-copper-PGE sulphide mineralisation. Drilling has defined the zone at more than 100 metres wide and beyond 200 metres deep. Those dimensional observations provide the geological footprint from the exploration programme, but Deccan Gold has not released a full-corridor tonnage or grade estimate.

Potential repetitions of the mineralised sequence are another unresolved element. Deccan Gold said drone magnetic and induced polarisation, or IP, surveys suggest repetitions that are not included in the current model. Deccan Gold’s disclosure does not quantify their size, grade or continuity, and says existing exploration data will guide subsequent work on the broader mineralised system.

What drilling and survey work supports Deccan Gold’s interpretation?

Deccan Gold’s preliminary interpretation is supported by 15 diamond-core drill holes totalling 2,773 metres, drilled from March 2026. The drilling programme followed exploration work conducted over the previous 19 months at the approximately 30-square-kilometre Bhalukona-Jamnidih licence area in Basana Tehsil, Mahasamund District, Chhattisgarh. Deccan Gold described the work as a staged programme rather than a completed mineral-resource estimate.

Before and alongside drilling, Deccan Gold used drone magnetic and Light Detection and Ranging, or LiDAR, surveys, deep IP surveys, electrical resistivity tomography, geological mapping, rockchip and channel sampling, and bulk sampling for beneficiation studies. These methods formed part of the exploration programme across the licence area. The announcement identifies the surveys and sampling work but does not provide individual assay results from the 15 drill holes.

The licence basis for this work dates to April 1, 2025, when the Government of Chhattisgarh executed the Bhalukona-Jamnidih Composite Licence in favour of Deccan Gold. Deccan Gold said it was among the early recipients of a nickel exploration licence in India. Its disclosed next step is to continue evaluating geological data from the 15-hole programme and to use the results to assess the system’s extent and continuity.

What minerals has Deccan Gold identified at Bhalukona?

Deccan Gold has identified nickel-copper-PGE sulphide mineralisation containing disseminated and heavy-to-massive sulphide occurrences. The principal sulphide minerals reported are pyrrhotite, pentlandite and chalcopyrite. According to Deccan Gold, these minerals are associated with nickel and copper mineralisation, alongside palladium and localised platinum occurrences.

The reported 0.24% Ni_Eq grade is a combined equivalent measure, not a standalone nickel grade. Deccan Gold said the measure weights contributions from nickel, copper, platinum and palladium. The November 1, 2026 announcement gives the combined equivalent grade for the more than 4-million-tonne preliminary model rather than separate grades for each of those metals.

Deccan Gold also does not describe the more than 4 million tonnes as economically mineable material. Its November 1, 2026 statement says the figures are preliminary exploration-stage interpretations and are not a defined mineral resource or mineral reserve. This distinction separates the mineral occurrences and geological model now reported from the additional technical work needed to determine continuity, scale and economic potential.

Conclusion

Deccan Gold has reported an early quantitative indication at Bhalukona: more than 4 million tonnes at about 0.24% Ni_Eq from a model covering roughly 300-350 metres of a 1.3-kilometre corridor. The 15 holes over 2,773 metres, combined with geophysical and geological work across a 30-square-kilometre licence, have identified a nickel-copper-PGE sulphide system more than 100 metres wide and deeper than 200 metres.

The next issue to watch is Deccan Gold’s further evaluation of the corridor beyond the approximately 25% included in the present model, including possible repeated mineralised sequences indicated by magnetic and IP surveys. Deccan Gold has not given a timetable, revised tonnage target or mineral-resource estimate schedule, and says additional exploration, geological evaluation and technical assessment are required before determining a resource, reserve or economic potential.