By: Tomas Ronolski - AllPennyStocks.com News

Thursday, June 9, 2016

Gold prices have rebounded sharply since the start of this year after posting losses for two years in a row. The negative sentiment on gold was due in part to the Federal Reserve’s decision to wind down its quantitative easing program and later expectations of a rate hike from the Fed. The Fed hiked benchmark interest rates for the first time in December 2015 but at the start of this year, volatility in global markets forced the Fed to turned dovish. The recently released jobs report for the month of May has potentially further delayed a rate hike from the Fed, which is a positive for gold.

The recovery in gold prices has also boosted shares of gold mining companies, which are sharply higher for the year. The bullish outlook for gold prices for the remainder of this year means that miners could see further gains.

Gold Bullion Development Corp. (TSX-Venture:GBB) is a Canada-based junior mining and exploration company focusing on the development of gold and silver properties in Quebec and Ontario. The company owns a 100% interest in the Granda Gold Property, which is located on the prolific Cadillac Trend near Rouyn-Noranda, Québec.

This morning, Gold Bullion provided an update on its Granda Gold mine site. The company said that it has now mobilized equipment to start stripping of overburden on the high-grade zone of the extended Long Bars zone in preparation for mining and shipping of ore for processing offsite to mills located nearby. GBB also noted that the installation of water and air monitoring stations has now been completed with both now in operation. The Company is also commencing the formation of a local “Follow Up Committee” which is voluntary on the part of the Company.

GBB also said that mining during the Rolling Start development of the Granada Mine will generate high-grade ore above 3 grams per tonne gold along with low-grade ore below 1 gram per tonne gold. The lower grade ore will be upgraded prior to being shipped for processing. Further, some low-grade material has been crushed for aggregate and sold under a long-term agreement with a local contractor.

GBB is now moving ahead with the next stage of development at the Granada Mine beyond the Rolling Start including resource development within the extended Long Bar zone as well as the old high grade Aukeko Mine site to the east.

As mentioned off the top, much like other mining Companies, shares of GBB have been rallying in 2016, however have pulled back from their late-May highs and are currently trading at $0.085.

Copyright © 2016 AllPennyStocks.com. All rights reserved. Republication or redistribution of AllPennyStocks.com's content is expressly prohibited without the prior written consent of AllPennyStocks.com. AllPennyStocks.com shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.