Western Potash to raise $15 mln

Oct 1 (Reuters) - Cash-strapped mining company Western Potash Corp said it will raise $15 million in a non-brokered private placement.

The company, which said last month it was looking for fresh capital to help build a potash mine in Western Canada, is in talks with India's Rashtriya Chemicals and Fertilizers Ltd for a joint venture.

The Vancouver-based company plans to sell 31.2 million shares at 48 cents per share to raise the amount, it said in a statement.

Western Potash is hoping to strike a deal with an investor to buy a stake or take over the company by the end of 2012.

Shares of the company closed at 46.5 Canadian cents on Monday on the Toronto Stock Exchange.