Topic: How To Invest

Hello Pat: I would like your opinion on Gold Bullion Development Corp.

Article Excerpt

Gold Bullion Development Corp., $0.37, symbol GBB on Toronto (Shares outstanding: 79.5 million; Market cap: $63.4 million; www.goldbulliondevelopmentcorp.com), is focused on developing its Granada gold property in Rouyn-Noranda, Quebec, and the Castle Silver property in Gowganda, Ontario. Earlier this year, the company proposed eventually handing out its interest in its Castle Silver property to its shareholders. It hopes to form a publicly traded company called Castle Silver Mines Inc. as part of the transaction. The company has just raised $5.2 million in a share issue. It will put some of these funds toward developing its Granada property. Granada is in a region with a long history of producing mines. So far, drill results have been positive. That gives the stock some speculative appeal, but it still exposes you to all the risk of a penny mine. We don’t recommend Gold Bullion Development Corp. ..