Austin Metals (ASX:AYT) received firm commitments to raise AU$1.3 million through the placement of 250 million shares at AU$0.005 apiece, according to a Wednesday filing with the Australian bourse.

Investors will receive one free attaching unlisted option for every two new shares issued, exercisable at AU$0.01 each, with an expiry date of two years from the issue date, the filing said.

Proceeds will be used for exploration programs on the Austin and Ashburton projects, business development, and general working capital, per the filing.

Canaccord Genuity (Australia) was the lead manager for the placement.