** Shares of Kalamazoo Resources fall as much as 18.8% to A$0.078, their lowest levels since Aug 21
** The gold and lithium explorer plans to raise up to A$1.275 mln ($854,250.00) via share purchase plant and placement
** Issue price of A$0.08 per share represents a 16.7% discount to co's last close
** Co says funds will be used in our upcoming RC drill programme at Mallina West Gold Project, and others
** About 578,800 shares change hands, 2.1 times the 30-day average volume of shares
** Stock has fallen 20% this year, as of last close
($1 = 1.4925 Australian dollars)
(Reporting by Sherin Sunny in Bengaluru)
((Sherin.Sunny@thomsonreuters.com))
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