Minecraft, allocate more memory to Java Virtual Machine (Windows 7)

Skip this bit just below to get to the point, however if you like a short story read this just below.
Ok, so I was playing Minecraft on my pc with a GTX 760 running it. With an awesome 1000fps maximum staying in the 900 value (using Optifine, without Optifine it was around 120fps average).
Anyway, seeing this I decide to put the render distance to maximum (32 (chunks?) - Extreme), so my fps dive-bombs to a still very nice 200 fps (always using a texture pack called FlowsHD 128x, Optifine is a wondrous mod).
So that's all fine and dandy but while i'm flying still in the air waiting for everything to render, I notice that my memory allocated to Minecraft is at a low 494 mb which is used at 100%+ (of course I'm rendering quite alot), I didn't think of this untill it happened.
This then "crashes" Minecraft, it just stops working and tells me Java Virtual Machine does not have enough allocated memory.
Does anyone know how to allocate more memory for Java Virtual Machine?

Thanks in advance, PCNOOB out.
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  1. Allocating more RAM wont help with your graphics situation there, you're just putting a lot of stress on Minecraft with those mods and that texture pack.

    But to allocate more RAM, you can do this through the launcher, go to Edit Profile and under JVM Arguments, change it to -Xmx2G -Xms1G (or something along those lines, Xmx is the max RAM, Xms is the minimum. Just change the number infront of the G for Gigabytes dedicated)
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