IGO LTD's stock plummeted 5.19% during morning trade on Friday, marking a significant decline for the mining company.

The sharp drop followed the company's completion of a transaction to divest its remaining 70% interest in three exploration licenses in the Fraser Range Region to Rumble Resources. This move effectively gives Rumble Resources 100% ownership of the Thunderstorm project in Western Australia.

Under the terms of the deal, IGO received consideration of 8.8 million Rumble Resources shares, valued at approximately AU$300,000, and secured a 1.1% net smelter return royalty on any mineral products produced from the licenses. The market reacted negatively to this divestment, potentially viewing it as IGO relinquishing potential future mining assets and revenue streams.