Gold Silver Reports (GSR) – Deccan Gold Mines Surges On Getting Back Mine In Karnataka – Shares of the Bengaluru-based gold mining exploration company surged as much as 20 percent, the most since April 23, to Rs 62 after it won a case in Supreme Court. The apex court has set aside a Karnataka High Court order which granted the state permission to set aside Hutti gold mines in the northern part of the state for state -owned miner.
The top court in its judgement said, “we are clearly of the view that the Karnataka High Court erred in allowing the writ petition and the state of Karnataka is directed to consider the case of Geomysore and Deccan for grant of Prospecting Licence in accordance with the provisions of the Act”.
Commenting on Supreme Court order, Sandeep Lakhwara, MD at Deccan Gold Mines told BloombergQuint that verdict clears the way to additionaly explore prospects under 11 Prospecting Licenses.
Key conversation highlights:
State of Karnataka directed to consider the case of co for grant of Prospecting license
SC sets aside the order passed by Karnataka HC
Central government has set aside state govt’s reservation in favour of HGML
This order ensures preferential treatment in areas where exploration has taken place
Rules suggest completion of prospecting license process in 3-6 months
