** Medallion Metals MM8.AX soars 19.1% to A$0.125; set for biggest intraday pct gain since Jan. 7

** Mineral exploration co says it will raise A$6.5 mln (~$4 mln) through single-tranche placement at issue price of 10 Australian cents, 4.8% discount to close on Jan. 30

** Adds placement will help co advance the acquisition of Forrestania Nickel Operation's assets

** MM8 was on trading halt on Jan. 31 due to capital raising

** Mining investment co Lion Selection Group LSX.AX to invest A$1 mln in MM8 as part of said placement

** Around 560,070 MM8 shares traded, 1.6x the 30-day avg

** Stock gains 4.2% YTD

($1 = A$1.6383)

(Reporting by Manasi Dasa Sundeep in Bengaluru)

((Manasi.DasaSundeep@thomsonreuters.com;))