Deccan Gold Mines Shares Fall 4% Amid Profit Booking Day After Hitting 10-Month High
Shares of Deccan Gold Mines Ltd. fell nearly 4% on Friday, a day after it hit 10-month high following news its associate firm Geomysore Services (India) received the Consent to Operate from the Andhra Pradesh Pollution Control Board for its Jonnagiri Gold Project.
The Jonnagiri project is among the first privately held gold mining initiatives in India in last 80 years to reach this advanced stage of regulatory approval.
The final permission from the Andhra Pradesh Pollution Control Board means that the company can operate the mines and the processing plant. However, it will take a couple of months to begin operation as there is a need to conduct a few trial runs before the operations begin, according to Hanuma Prasad Modali, managing director of Deccan Gold Mines.
Open-pit mining operation and simple metallurgy of the gold ore makes this project highly profitable.
At its peak, the mines will produce 750 kg of gold. "In first year, it will produce 400 kg of gold, but in its final stage the mine will produce 750 kg of gold per annum," Modali told NDTV Profit.
While discussing the revenue gains from the mine, he said that in the first year, they expect to make a revenue of Rs 300-350 crore, if they pull out 400 kgs of gold at an Ebitda margin of 60%. This is likely to happen in financial year 2027, he added.
Jonnagiri project has obtained all the government approvals, that include CFE, CFO and water withdrawal from a nearby canal. Currently, land acquisition is in progress, following which, Geomysore is planning to erect and commission the processing plant and other infrastructure, the company said on its website.
Deccan Gold Mines Share Price Decline
Shares of Deccan Gold Mines fell as much as 3.85% to Rs 157.4 apiece, the lowest level since June 4. They pared gains to trade 1.65% lower at Rs 163.7 apiece, as of 9:29 a.m. This compares to a 0.14% decline in the Sensex.
The stock has risen 52.05% in the last 12 months and 41.50% year-to-date. Total traded volume so far in the day stood at 0.57 times its 30-day average. The relative strength index was at 54.41.
-
Blue Wave Will Derail the AI Trade but Won't Dismantle the AI Era | Unhedged Position
The Democrats' sweep of the US Congress will see politics collide with economic forces both over the long and short term.
-
It's Time To Take The GST Council's Bet On Trust Global
Payment records can prove India's services exports, and clear, proportionate rules can bring foreign digital sellers into the tax net.
-
Opinion | India at 38: From Innovation Overperformer to Innovation Powerhouse
India now has 453 VC-backed deep science startups, 18 of them late-stage, after 117 percent growth since 2020. Laurus Labs, at USD 9.3 billion, is the most valuable deep science company in any middle-income economy outside China.
-
Navigating Energy Crossroads: S Jaishankar's Call For Diversified Supply Chains At G20 Ministerial Meeting
As geopolitical fault lines continue to test maritime trade routes and commodity flows, Jaishankar's message remains pertinent: true economic resilience requires open markets, protected transit lines, and a genuine commitment to multilateral cooperation rather than coercion.
-
Indians Are Travelling, But Not Every Journey Is A Holiday | The Week In Whys
Pilgrims, patients and working women are the real travellers, and the system hasn't quite caught up with them.
-
Getting To Work Costs Women More | The Reason Why
It is not just about women paying more than men. It is about women paying much more in cities than in villages.
-
AI Bias In Investing Cannot Be Eliminated, But It Can Be Governed
Framing is a particularly important example as identical financial information presented in terms of gains rather than losses can lead an LLM to reach a different assessment.
-
Joining The Dots | Dark Skies, Steady Diya: Why Hope Holds This Diwali
With war, a weak rupee and foreign outflows weighing on sentiment, policymakers at the NDTV World Summit and market veterans at NDTV Profit Ignite: Diwali Edition offered the same advice: stay invested and filter out the noise.
-
The Curious Case of Equitas Small Finance Bank And A CEO Who Quit For Stock
PN Vasudevan believes persistent investor concerns over a perceived conflict of interest had become a governance overhang on Equitas Small Finance Bank's stock, even as the lender improved profitability and asset quality.
