** Shares of Star Minerals SMS.AX fall 6.7% to A$0.028, their lowest level since Feb. 14
** Copper and gold miner says it will raise A$1.6 million ($1.01 million) through a placement to fund work on Tumblegum South Gold Project and other projects
** Issue price of A$0.025 represents a 16.67% discount to the stock's last close
** Stock marks its biggest intraday gain since Feb. 25
** SMS down 22.2% YTD
($1 = 1.5898 Australian dollars)
(Reporting by Adwitiya Srivastava in Bengaluru)
((Adwitiya.Srivastava@thomsonreuters.com))
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