HONG KONG Aug 28 (Reuters) - China Petroleum & Chemical Corp (Sinopec) , Asia's top oil refiner, said it planned to raise no more than 50 billion yuan ($7.8 billion) through the issuance of bonds to fund projects and pay debt.

In a statement to the Hong Kong stock exchange, Sinopec said it planned to issue 20 billion yuan worth of bonds to holders of the company's domestic shares. In addition, the company will issue 30 billion yuan worth of bonds which can be converted into the company's A-shares.

The convertible bond will carry an interest rate of up to 3 percent, it said. The actual size of the issue will be determined by the company's board of directors.

The timing of the bond sales will depend on market conditions, it said. Proceeds from the sale will be used for the company's various projects. ($1 = 6.387 Chinese Yuan) (Reporting by Leonora Walet; Editing by David Holmes)