Deccan Gold Mines has unveiled preliminary geological modelling for its Bhalukona deposit in Chhattisgarh, indicating over 4 million tonnes of potentially economic nickel-equivalent ore. Based on a 15-hole drilling campaign, the company identified mineralised corridors showing nickel, copper, platinum, and palladium content. While these findings represent an early-stage milestone for the project, management clarified that they do not yet constitute a confirmed mineral resource or reserve, with further exploration required to assess total viability.
Deccan Gold Mines Reports Preliminary Modelling for Bhalukona Deposit
Preliminary estimates suggest over 4 million tonnes of ore with 10,000 tonnes of nickel-equivalent metal.
Results stem from a 2,773-meter diamond core drilling program conducted since March 2026.
Reader Takeaway: Preliminary exploration shows potential nickel-equivalent ore but lacks official mineral resource status or confirmed economic viability.
What just happened
Deccan Gold Mines has released the first geological model for its Bhalukona Ni-Cu-PGE deposit located in the Mahasamund district of Chhattisgarh. The data is derived from 15 drill holes that intersected layered mafic-ultramafic rocks containing sulphide minerals like pyrrhotite and pentlandite. The current model covers only about 25% of the total 1.3-kilometer mineralised corridor identified by the company.
Why this matters
The identification of nickel and copper-rich sulphide deposits is significant for domestic mineral exploration. With a nickel-equivalent grade of approximately 0.24%, these findings serve as an initial technical validation of the site’s potential. The company’s ongoing use of drone magnetic and IP surveys points to further prospective areas in the southeast, suggesting the current scope may expand.
Risks to watch
Investors must distinguish between exploration-stage geological modelling and a declared mineral resource or reserve. Exploration results are preliminary interpretations and do not guarantee the economic viability or the ability to extract minerals at scale. As a junior explorer, the company remains subject to the inherent risks of project development, regulatory approvals, and the volatility of metal prices.
Context metrics
The project spans a 30-square-kilometer block. The company secured the composite license for the site on April 1, 2025. Exploration work includes LiDAR, deep IP, and 2D electrical resistivity tomography alongside the diamond core drilling program.
What to track next
Watch for updates on the remaining 75% of the mineralised corridor and further drilling results from the southeast quadrant. Any move toward declaring an official mineral resource following international reporting standards will be the next major technical hurdle for the Bhalukona project.