DGML had been looking for acquisition of off-shore gold assets which will add value to the Company and its shareholders in the short to medium-term. After evaluating assets in Cambodia, Madagascar, Zambia and Ghana, DGML ultimately ventured in Tanzania, a mineral rich country with several world class gold mines in operation and reasonable political stability.

Key Milestones:

• DGML incorporated a subsidiary company under the name of “Deccan Gold (Tanzania) Private Limited” (DGTPL).
• Based on preliminary evaluation of information and desktop studies, DGTPL identified 5 Blocks for acquisition and made application to the mining authorities in Tanzania as per Section 123 of the Mining Act 2010 on October 9, 2020. This is a major milestone in the DGML’s venture into acquiring overseas projects.
• All the five PL applications covering an area of 113.44 sq kms were granted and executed in February 2021 after we complied with the conditions of the Mining Commission. The details of the PLs are given below:

SL.NO	NEW PL NO	EXTENT (sq.kms)	DISTRICT	Date of Grant of PLs
1	PL/11528/2021	15.81	GEITA	5-2-2021
2	PL/11527/2021	13.99	NZEGA	5-2-2021
3	PL/ 11526/2021	56.88	NZEGA	5-2-2021
4	PL/11525/2021	15	NZEGA	5-2-2021
5.	PL/11524/2021	11.76	NZEGA	5-2-2021
		113.44

Geological Potential of the PL Blocks All the above 5 PL Blocks are located within the world class Neo Archean Lake Victoria Gold Fields and associated Greenstone belts which are known historically for gold mining activities. Situated within Nzega Greenstone and Sukumaland Greenstone belts which form the southern extension of the Lake Victoria Goldfields (LVG), this area represents a comparatively underexplored area endowed with several world-class gold deposits. The accessibility to the PL blocks is good with camping facilities in the nearby towns of Geita, Nzega and Kahama.

Nzega-Tabora PLs:

All the 4 PL Blocks are located within the world class Nzega-Tabora Greenstone belt of Lake Victoria Gold Fields with several gold occurrences. The Belt also hosts the Buzwagi Gold Mines (3.5 Mil Ozs) and Golden Pride Gold Mines (2.6 Mil ozs). The Buzwagi Gold mine held by Barrick Gold is a single open pit mining operation and is located 20 Kms North West of DGTPL’s Licences. The Golden Pride Gold Mine is an open pit gold mine located 25 kms east of the Nzega PL cluster.

The outcomes of our recent studies are presented below:

• Study of Airborne Magnetic maps reveal presence of favourable Magnetic anomalies transecting the 4 PL blocks. Some of these Magnetic anomalies could be due to the presence of BIF rocks which are known to carry gold mineralization in the adjoining areas.
• Apart from the above, several favourable structures such as lineaments and shear zones are noticed and one of them is Bulangimirwa Shear Zone that is considered to host Golden Pride gold deposit. All these are important exploration targets.
• Small scale mining operations such as Mahene Gold Mine is 1.3 kilometers east of our 11526 PLblock. The structure and rocks carrying gold mineralization in Mahene Gold Mine are extending into DGTPL’s licence area. The Igusule artisanal gold mines is located 1.4 km north of our 11525 PL block.

• Rock chip samples collected showed presence of sulphide minerals and other positive indications. All samples were analysed for gold and 32 other elements. The soil samples assayed upto 61ppb while some of the rock chip samples indicated presence of anomalous gold including 0.7 and 1.1 g/t Au and path finder elements.

Field observations and study of maps indicate that the Nzega PLs have a number of favourable geological structures, shear zones, quartz veins and Banded Iron Formations (BIF).

Geita PL: The fifth PL No 11528, covering an area of 15.81 sq,kms is in Sukumaland-Geita greenstone belt and located 40 kms North of Bulyanhulu mine and 8 kms east of Geita Gold Mines. Bulyanhulu is a world class gold deposit with a resource of > 5.0 Million ozs which is owned by Barrick Gold. Geita Mines (> 6 million ounzes), owned by Anglo Gold Ashanti is a multiple open pit operation viz, Nyakanga, Lone Cone, Geita Hill all of which belong to Geita Trend and Matandani, Kukuluma and Area 3 of Kukulama Trend. Kukuluma Mines is the nearest to our PL area located 5 kms towards North West. The gold mineralization in Kukuluma is found within sulphidic iron formation which show a trend towards our PL block

Soon after the execution of the PLs DGTPL team embarked on a field visit to the projects despite the prevalent pandemic situation with an objective:

1. To meet the officials at the Mines Department to complete all administrative formalities and obtain necessary permits to undertake prospecting work within the PL areas.
2. To carry out a quick reconnaissance in each of the PL blocks in order to understand the terrain, geology and accessibility.
3. Collect samples where ever possible and to know the geochemical pattern of the suspected mineralized zones.
4. To plan for future exploration programme.

DGTPL submitted so far reports for the 10 quarters ended July 31, 2023 as per the conditions of the Mining Commission, Tanzania. The quarterly reports included observations made during the field visits, literature survey, interpretation of aeromagnetic data etc.

Exploration Strategy:

Now that we have gained a foot hold in Tanzania through grant of 5 PL blocks, the exploration strategy going forward would be as under:

1. Additional study of historical data and collection of information from the Geological Society of Tanzania and Mines department.
2. Topographic survey and establishment of control points.
3. Prospect scale litho structural mapping.
4. Rock chip sampling and chemical analysis. Detailed multi element geochemical survey and identify potential targets.
5. Trenching across the strike of the geological formation and expose all possible mineralized zones.
6. Ground geophysical surveys particularly Induced Polarization (IP) and Resistivity survey at different electrode spacing. Identify potential drill targets.
7. Reconnaissance RC and diamond drilling in the identified targets.