TerraX Minerals has raised $7 million to fund what it calls "an aggressive drilling program" just outside of Yellowknife this winter.

The Vancouver-based mining company raised the money through the private sale of 17,500,000 shares.

Joe Campbell, president of TerraX Minerals. The mining company has raised $7 million to put toward drilling at its gold mining project in Yellowknife. (CBC)

"The proceeds of this placement will be used to fund an aggressive drill program this winter on TerraX's wholly owned Yellowknife City gold project," the company said in a news release.

TerraX purchased about 118 square kilometres of property in Yellowknife in 2013 at a bankruptcy auction. It has the right to explore for gold on the land north and south of the city, near the old Giant Mine and Con Mine properties.

This winter's drilling will take place at eight areas on the company's Walsh Lake property, where there are a number of cabins.