Mincor Resources NL plans to raise up to A$23 million to fast track its strategy of restarting operations at the Kambalda nickel mine in Western Australia.

This follows a term sheet signed with BHP Billiton Nickel West Pty Ltd. in March to restart nickel mining at Kambalda.

The company received binding commitments for A$18 million of the capital raising, through a private placement of about 45 million shares at 40 Australian cents each, while the remaining A$5 million will be raised through a share purchase plan.

Mincor said May 24 that it expects to issue the placement shares around June 3, while the purchase of shares is expected to close by June 27.

Independence Group NL, which recently agreed to sell its mothballed Long nickel mine in Western Australia, plans to contribute A$1.5 million to the placement.

Managing Director David Southam said that the company's focus includes building mining inventory with further resource extension drilling at the Cassini, Long and Ken prospects, and delivery of feasibility studies for an integrated mine plan.

Additionally, the company will use the funds to test an early-stage target at Juno 4, potential pre-production capital expenditure opportunities to prepare for operational readiness, general corporate and working capital purposes, and to meet the costs associated with the Long acquisition, the share placement and purchase plan.