Shares in Rox Resources fell by as much as 4.4% to a value of A$0.215, reaching their lowest level since August 10.

This decline occurs as the gold explorer announced the raising of A$7.0 million through a share placement.

This issue price of A$0.20 per share stands at an 11.1% discount to the stock’s last close.

The company has stated that the proceeds from the placement will be used to progress exploration at the Youanmi gold project in Western Australia.

Despite this dip, the company’s shares have increased by 28.6% year-to-date, as of last close.

Rox Resources (ASX:RXL) is a company focused on the exploration and development of gold in Western Australia.