Deccan Gold Mines Surges on Strategic Tungsten Project Investment in Spain

Deccan Gold Mines Ltd (DEGM.BO) shares rallied on December 23, 2025, climbing nearly 15.7% to ₹102.55 after the company announced a strategic investment in an early-stage tungsten project in Spain. The move marks a significant diversification into critical minerals, positioning the company to benefit from rising global demand.

Strategic Investment

Deccan Gold Mines plans to acquire up to a 75% stake in the Logrosan tungsten project before production begins.

Early drilling results have shown promising tungsten mineralisation, including 3m @ 0.42% WO₃ and 8m @ 0.32% WO₃, alongside isolated high-grade gold intersections.

Market Context

Spain is considered a favourable mining destination due to its rich mineral endowment, competitive costs, and absence of production royalties.

Tungsten is a critical mineral used in defense, aerospace, and electronics, with global supply heavily concentrated in China.

Stock Impact

Following the announcement, shares jumped from a previous close of ₹88.65 to ₹102.55, reflecting strong investor optimism.

Analysts believe the project could convert mineralisation into resources within 1–2 years, boosting Deccan Gold’s growth trajectory.

This development highlights Deccan Gold Mines’ ambition to expand beyond gold exploration and tap into strategic minerals essential for global industries.

Sources: FilingReader, Capital Market, Rediff Money