Cassini Resources has cashed in on its purchase of a BHP nickel project by raising $10 million through a share placement.
The company said it would use the funds for exploration at the West Musgrave project it has agreed to buy for an upfront cash payment of $250,000.
The oversubscribed placement was priced at 18 cents a share. Cassini's stock was down 1 cent to 21.5 cents at 1.50pm.
Hartleys was lead manager to the placement and Grange Capital Partners co-manager.
Cassini managing director Richard Bevan said the company had been overwhelmed by investor interest since the West Musgrave acquisition, including domestic and international institutions.
"This response was clearly demonstrated by the strong demand we received for the placement," Mr Bevan said.
Field work at West Musgrave in north-east WA is expected to begin in June upon receiving environmental and native title approvals.