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When my transfer case shift motor was on the way out, it acted sort of like this. There is a shift position sensor built into the motor that can be problematic. The ECU won't know what gear the TC is in. Put your 4x4 switch back in 2wd or Awd. Disconnect the battery terminals and hold the two battery leads together for about a minute. This will reset the ECU. Give that a try before you spend any money.
Update: I checked the fluid level before setting off and it was low. So I topped up the fluid hoping that would be the end of the slipping, and also just add it now also slips on 4 HI. In my part of the world I cannot seem to find Lucas transmission fix fluid or any alternative. Driving it below 3K Rpm seems to help not slip. I think might be the torque converter.
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