The company's British Virgin Islands subsidiary Skyland Mining will issue the bonds at 99.886% of face value, bearing interest at 2.8% per annum and maturing on June 23, 2023.

The bonds are expected to be rated BBB- by Standard & Poor's.

Vancouver-based China Gold, which operates the CSH mine in Inner Mongolia, and the Jiama copper-gold mine in China-occupied Tibet, said it would use the funds to repay debt and for general corporate purposes, as allowed under Chinese law.

As at March 31, the company had an accumulated surplus of $188.6 million, a working capital deficit of $386.2 million and borrowings of $1.3 billion. The company's cash balance was $163.7 million.

The company has guided for 2020 output slightly below the 2019 total at 212,000oz gold and 5% more copper at 145 million pounds.

China Gold continues to focus its efforts on improving the cost profile of both operations, while it is assessing acquisition opportunities outside of China.

The company said it had to date not experienced any impacts from the coronavirus pandemic, but it was monitoring supply chains and employees closely.

Shares in the company (TSX: CGG) have traded in a range of C45c-$1.76 over the past 12 months. China Gold's share price achieved an intra-day high Monday of 72c before settling at 69c, which capitalises it at $274 million (US$203 million).