AuKing Raises A$5 Million to Accelerate Tundulu Drilling Program

Placement Highlights Investor Confidence

AuKing Mining Limited (ASX:AKN) has successfully raised A$5 million through a share placement priced at $0.025 per share, a premium to its volume-weighted average price (VWAP). The placement attracted strong interest, with bids exceeding the amount raised, highlighting robust investor appetite from family offices, global institutions, and sophisticated investors. This capital injection comes as AuKing prepares to ramp up its drilling efforts at the Tundulu rare earths project in Malawi.

Drilling Program Expansion and Sample Assays

The funds will primarily support the mobilisation of a diamond drilling rig scheduled for late July, intended to extend and deepen the exploration of rare earth mineralisation at Tundulu. This follows promising initial findings from reverse circulation drilling and on-ground sample logging. The company recently secured ministerial approval to export the first batch of 16 drillhole samples to Intertek’s Perth laboratory, with assay results eagerly awaited. Additional samples from eight more drillholes are being processed for export, setting the stage for a steady stream of newsflow through 2026.

Strategic Flexibility and Capital Management

Beyond drilling, AuKing intends to use proceeds to maintain flexibility in evaluating other strategic opportunities and to cover general working capital and placement costs. The placement involves issuing 200 million new shares, which will rank equally with existing shares, diluting current holdings but underpinning the company’s growth ambitions. GBA Capital led the raising, with Whairo Capital as co-manager. Together, they will receive a 6% fee and 35 million options, providing further incentive aligned with AuKing’s progress.

Positioning Amid Ongoing Exploration Momentum

This capital raise builds on AuKing’s recent operational advances, including extensive reverse circulation drilling that intersected widespread carbonatite mineralisation and the imminent start of diamond drilling to test depth extensions. The upcoming assay results from the initial drill samples will be critical in validating the project’s potential and guiding further exploration phases. Investors will be watching how the company balances its accelerated drilling campaign with strategic opportunities in the rare earths sector, which remains highly competitive and capital intensive.