China Kingstone Mining (HKG:1380) said it agreed to sell HK$9.1 million worth of shares to five subscribers, according to a Hong Kong bourse filing Friday.

Shares of the mining company gained nearly 18% in morning trade Monday.

The firm will issue nearly 15.9 million shares at HK$0.57 apiece to raise funds for general working capital and to expand the company's business.

The shares represent 3.17% of the company's issued share capital, and 3.07% as enlarged by the sale.