** Shares of Austin Metals AYT.AX fall as much as 16.7% to A$0.005, their biggest drop since November 24

** The metals explorer says it will raise A$3 million ($1.99 million) via placement

** Issue price of A$0.005 per share is at a 16.7% discount to stock's last close

** Funds to be used to accelerate exploration efforts at the Austin Gold Project - co

** Stock up 20% YTD, including session's moves

($1 = 1.5065 Australian dollars)

(Reporting by Adwitiya Srivastava in Bengaluru)

((Adwitiya.Srivastava@thomsonreuters.com))