The fundraising is pricing new shares at 12c each with undisclosed investors participating.
Current work programs include diamond core drilling the Aarni gold prospect in Finland, and imminent drill testing of a nickel-copper PGE prospect in the same country.
S2 also has various active exploration plays in Australia.
The company is led by Mark Bennett, whose previous company Sirius discovered the Nova Bollinger nickel-copper deposit early last decade now being mined by IGO.
Shares in S2 were down 7% to 13c in morning trade, capitalising the company at $41 million.
S2 also holds shares in ASX-listed junior Todd River Resources that are currently valued at about $4.9 million.
