The letter deals with direction-of-arrival (DOA) estimation under nonuniform white noise and moderately small signal-to-noise ratios. The proposed approach first uses signal subspace projection for received data vectors, which form an efficient iterative quadratic maximum-likelihood (IQML) approach to achieve fast convergence and high resolution capabilities. In conjunction with a signal subspace selection technique, a more exact signal subspace can be obtained for reducing the nonuniform noise effect. The performance improvement achieved by applying the proposal to the classic IQML method is confirmed by computer simulations.