Deccan Gold Mines Ltd (DGML), India’s only publicly listed gold exploration and mining company, has announced key developments in its Mozambique operations as part of its expanding critical mineral strategy. The company has acquired a majority stake in six critical mineral assets in the country and plans to invest $10-15 million over the next few years to explore and develop mining operations.
Through its wholly owned subsidiary, Deccan Gold FZCO (DGFZCO), DGML has secured a 51% stake (with rights to increase to 70%) in Deccan Gold Mozambique Ltda (DGMOZ), making it the first BSE-listed company to operate in Mozambique’s critical mineral sector.
Mozambique expansion and key developments
Mozambique, known for its rich deposits of lithium, tantalum, graphite, gold, rare earth elements (REE), and gemstones, has become a focal point for Deccan Gold’s international growth. The company’s operations align with the Government of India’s “Critical Mineral Mission”, which aims to secure a stable supply chain of key minerals vital for India’s industrial and technological needs.
DGMOZ has secured or is in the process of acquiring six mining licenses across the Zambezia and Tete provinces, covering a range of minerals such as lithium, tantalum, nickel, and copper. The company’s focus will be on the Alto Ligonha mineral district, a region known for LCT (lithium-caesium-tantalum) pegmatites.
Deccan Gold’s three-phase development strategy
Managing Director Dr. Hanuma Prasad Modali outlined a structured approach to Mozambique’s critical mineral operations:
- Exploration & Resource Development – Mapping and drilling operations to assess the full extent of mineral resources in the company’s tenement areas.
- Early Cash Flow Generation – Initiating direct shipments of lithium-bearing lepidolite ores to establish supply chain routes and generate revenue.
- Pilot & Full-Scale Processing Facility – Setting up a modular pilot processing plant to analyze ore characteristics before constructing a large-scale 2,000+ tonnes per day processing facility.
Investment and Future Plans
Deccan Gold plans to export its mineral concentrates through Nacala Port in northern Mozambique, leveraging the country’s infrastructure for international supply. The company is also working closely with the Chamber of Mines Mozambique (CMM) and local communities to promote sustainable mining and economic development.
“We are proud to be the first BSE-listed company to operate in Mozambique’s critical minerals sector,” said Dr. Hanuma Prasad Modali. “This investment will help secure India’s supply of key minerals while also contributing to Mozambique’s economic growth.”
Deccan Gold is expected to begin drilling operations in the coming months, with further updates on exploration progress anticipated in the second half of 2025.
