Queensland Pacific Metals (ASX:QPM) stock has seen a significant drop, declining as much as 25.8% to A$0.069, marking its lowest since February 18, 2021.

The battery mineral explorer states that they have received binding commitments to raise A$16 million through share placement.

The company has also unveiled an A$8 million share purchase plan.

The issuing price of A$0.07 per share represents a roughly 22% discount compared to the last closing price on August 17.

These funds will facilitate gas production growth at the Moranbah Project located in Queensland.

If current trends persist, the shares are facing their worst day since November 28, 2022.

As of the last close, the stock is down around 15.5% this year.

Queensland Pacific Metals (ASX:QPM) is a battery mineral explorer.