The company approached Bell Potter Securities to manage the placement, which includes issuing of 26,000,000 shares at A$0.25 per share.
Magnis Resources plans to use the proceeds to fund environmental study works, pre-engineering and other works at its Nachu graphite project in the south east of Tanzania.
Magnis Resources chairman Frank Poullas said: "We are encouraged by the strong interest shown in our capital raising from both local and overseas investors.
"The board and management team are focused on bringing Nachu into production in the second half of 2016, we are currently working closely with our partners to achieve this goal."
The Nachu tenement is located west of Lindi city, and around 200km from the port city of Mtwara in Tanzania.
Exploration and metallurgical testing on the project have accelerated the Nachu’s ability to commence operations by the end of 2016.
