Forrestania Resources (ASX:FRS) is set to raise AU$950,000 to fund drill and exploration programs at the Bonnie Vale gold project in Western Australia, according to a Monday filing with the Australian bourse.

The capital raising comprises a AU$344,000 placement and a AU$607,000 share purchase plan, both priced at AU$0.0125 per share.

Shares under the placement will settle on Oct. 21. The purchase plan will open on Oct. 15 and close on Oct. 31.

Shares of the mining firm fell 13% in recent trade.