Core Lithium (ASX:CXO) is set to spin out selected exploration assets in the Northern Territory and South Australia into a new gold-focused company, Axiant Resources, via an initial public offering (IPO), according to a Thursday filing with the Australian bourse.

The company will keep all lithium rights over the relevant tenements and retain a substantial equity stake in Axiant, while continuing its role as a lithium-focused producer, per the filing.

Axiant will use IPO proceeds to explore gold and other non-lithium metals, with a prospectus expected next month and an Australian Securities Exchange listing targeted for July or August, subject to approvals and conditions, the filing said.

Additionally, company Chair Greg English will retire on June 30 and is expected to become chair of Axiant, while Non-Executive Director Malcolm McComas will be appointed as the company's new chair, the filing added.

The company's shares fell 2% in recent Thursday trade.