Battery minerals explorer Galan Lithium has raised $31.5 million through an institutional placement to advance its projects in the south-west and Argentina.The ASX-listed explorer received commitments to raise the funds through an institutional placement priced at $1.05 per share, representing a 12.5 per cent discount on Galan’s last closing price of $1.20 on May 17.The funds will be used for ongoing capital expenditure across the company’s three projects, including the Hombre Muerto West and Candelas lithium brine developments in Argentina and the Greenbushes South lithium project 250 kilometres south of Perth.In addition to the placement, Galan will tap existing shareholders for up to $5 million through a share purchase plan.Managing director Juan Pablo Vargas de la Vega said this was an exciting time to be involved in the Galan story.“I wish to thank all the placement participants, old and new, who have strongly supported the Galan production plan that will take it from an initial smaller scale lithium producer to a big 60ktpa player.“I also encourage all our loyal shareholders to get on board and participate in the entitlement issue which will get underway this week.”Canaccord Genuity acted as sole lead manager and bookrunner to the placement.On the ASX, Galan shares were down 11.25 per cent to trade at $1.06 at 2.58PM AEST.