AuKing Rare Earths Discovery Lifts Small Caps
AuKing reports high-grade rare earth intercepts at Tundulu while Core Lithium achieves its first concentrate production from the Finniss restart.
AuKing Mining (ASX:AKN) delivered a significant exploration upgrade after its maiden drilling program at the Tundulu rare earths project in southern Malawi returned grades exceeding historical benchmarks. The company reported multiple high-grade intercepts, including 91 meters at 1.51% total rare earth oxide (TREO) and a richer zone of 15 meters at 3.40% TREO. These results, supported by unusually high heavy rare earth and yttrium enrichment, suggest a mineralized system larger than previously modeled, with one hole striking 42 meters at 11.46% HREE+Y/TREO. AuKing has completed 4,300 meters of reverse circulation drilling and aims to release a maiden Mineral Resource Estimate before the end of the year.
Simultaneously, Core Lithium (ASX:CXO) built operational momentum by producing the first spodumene concentrate from its restarted Finniss plant in the Northern Territory. This milestone, achieved six months after the final investment decision, marks a critical step in the staged restart of the lithium operation. The company recommenced mining at the Grants open pit in May and resumed crushing in August to build ore stockpiles. Core is targeting its first shipment of newly produced concentrate during the December quarter, while planned plant upgrades aim to lift throughput capacity by approximately 20% to 1.2 million tonnes per annum.
Tundulu Drilling Reveals High Grade
The Tundulu project’s recent drilling results stand out for their consistency and grade intensity. Beyond the headline intercepts, the data highlights a distinct geological signature characterized by elevated heavy rare earth elements and yttrium. This composition differentiates the deposit from conventional carbonatite-hosted rare earth projects, potentially offering a competitive advantage in downstream processing and market positioning. Diamond drilling has also intersected extensive carbonatite to a depth of 510 meters, with samples currently being fast-tracked for assay results to further define the vertical extent of the mineralization.
Finniss Restart Targets Lower Costs
Core Lithium’s restart strategy is designed to position Finniss as a lower-cost, long-life asset with a targeted mine life of 20 years. The company is continuing development of the BP33 underground lithium mine in parallel with surface operations. The operational milestone of producing concentrate within six months of the investment decision validates the execution plan. Core’s share price reflected this progress, topping 40 cents intraday for the first time in three years and closing 13% higher, driven by the tangible progress in the restart timeline and the prospect of increased throughput capacity.
Other Small Caps Gain Momentum
TechGen Metals (ASX:TG1) also posted gains following a presentation outlining exploration momentum across its Western Australian and New South Wales gold projects. The company completed drilling at its Blue Devil gold-copper project in the Kimberley region, interpreting the hole as having pierced favorable quartz-carbonate-pyrite zones. TechGen plans a 12-hole reverse circulation campaign at its El Donna project near Kalgoorlie, where historical drilling returned 2 meters at 17 g/t gold. With approximately $3 million in cash reserves, the company is advancing its portfolio, including planned drilling at Dalgaranga and the John Bull project, leveraging modern geophysical methods to target untested magnetic features and regional fault structures.
