Shares of Diablo Resources (ASX:DBO) suffered a fall of up to 11.1%, taking them to a A$0.040 low, the lowest since May 23.

The mineral exploration company announced that it received firm commitments for raising A$1 million in a two-tranche placement.

The offer price of A$0.35 signifies a discount of 22.2% to the stock’s last closing price.

The funds raised will be allocated to the completion of drilling at the company’s Devil’s Canyon and King Solomon Projects in the USA.

A total volume of 537,785 shares changed hands, a figure exceeding the 30-day average volume of 74,983 shares.

The stock has experienced a decline of 22.4% year to date as of the last close.

Diablo Resources is a mineral exploration company focused on the mineral rich regions of USA.