Brazilian Critical Minerals (ASX:BCM) received firm commitments for a AU$10 million institutional placement of about 190.1 million new shares at a price of AU$0.053 each, according to a Tuesday filing with the Australian bourse.

Under the first tranche of the placement, the company is targeting gross proceeds of about AU$7.4 million through the issuance of about 139.6 million shares. The second tranche is a conditional placement to raise about AU$2.7 million through the issue of roughly 50.4 million shares, subject to shareholder approval.

Brazilian Critical Minerals will use the proceeds to develop its Ema rare earths project in Brazil, including front-end engineering and design and production well drilling, as well as for working capital requirements.

The company's shares gained nearly 2% in recent Tuesday trade.