BPM Minerals (ASX:BPM) raised about AU$1.7 million via the placement of 16.8 million shares priced at AU$0.10 apiece, according to a Wednesday filing with the Australian Securities Exchange.

Proceeds will be mainly used for drilling the Louie discovery and exploration at the Claw gold project in Western Australia, the filing said.

Alpine Capital was the lead manager for the placement.

BPM Minerals shares rose 10% in midday trade.