Tusker Minerals Ltd (ASX: TSK), an African-focused explorer advancing a portfolio of critical mineral assets, has announced the sale of its 100% interest in the Tundulu Rare Earth Elements (REE) Project in Malawi to AuKing Mining Limited (ASX: AKN). The binding agreement, executed on April 17, 2026, involves a total consideration valued at up to $5.55 million, comprising staged cash and equity payments. This strategic divestment is set to strengthen Tusker’s funding position and sharpen its focus on its core rutile and heavy mineral sands portfolio.
The transaction is expected to provide non-dilutive funding, fully supporting Tusker’s planned exploration and development programs through 2026. The capital will be redirected to its core rutile and heavy mineral sands assets in Malawi and Cameroon, where the company holds district-scale tenements with confirmed high-grade mineralisation and proximity to infrastructure. Tusker also retains ongoing exposure to the Tundulu REE project’s upside via equity in AuKing, maintaining leverage to the rare earth markets that are currently benefiting from strong macro tailwinds. This arrangement allows a dedicated owner to advance Tundulu’s REE potential without further capital commitment from Tusker.
Chief Executive Officer, Cliff Fitzhenry, commented that the transaction reflects disciplined capital allocation, enabling Tusker to prioritise its high-grade rutile and heavy mineral sands assets where the strongest near-term value creation is identified. He added that the divestment delivers non-dilutive funding while retaining meaningful exposure to Tundulu’s upside through the shareholding in AuKing. The total consideration includes an initial non-refundable cash deposit, cash payments at completion and at six and twelve months post-completion, along with shares and performance rights in AuKing Mining, all subject to typical conditions precedent and any required shareholder approvals.
