Junior explorer Mindax has secured a $1.65 million injection of cash for working capital via a placement to existing and new sophisticated investors.

The placement - priced at 10 cents, a two cent premium to its last traded price - represents 7.15 per cent of the company's issued capital, below the threshold for shareholder approval.

Mindax managing director and chief executive Dr Steve Ward said the company was pleased to have raised the funds in what were still very challenging financial markets.

The company anticipates cleared funds will be received and the placement settled by mid-January.

Mindax is focused on the development of its Mt Forrest magnetite project in the Yilgarn region north east of Perth.

It also holds projects prospective for uranium, gold and copper.

The company is capitalised at nearly $16 million.