GT Gold (08299) shares climbed more than 11% in Hong Kong trading, last up 11.11% at HK$0.35 with turnover reaching HK$59.73 million.

The rally comes as the US Treasury's bond buyback program heightens concerns over the sustainability of national debt and fiscal finances, with spot gold gaining over 5% last week. Analysts at Guolian Futures noted that adjustments to Treasury duration are unlikely to resolve underlying debt issues, keeping the medium-term bullish case for precious metals intact.

Adding to the positive sentiment, Bridgewater Associates founder Ray Dalio recently warned that a US debt crisis could erupt within three years, advising investors to trim bond holdings and allocate 10% to 15% of their portfolios to gold.

On the company-specific front, GT Gold's internal growth momentum remains robust. The technical upgrade at its Taizhou mine is nearing completion, with the new 1,000-tonne-per-day processing plant scheduled to be finished by year-end. The acquisition of the Ningshan gold mine was formally completed on June 29, bringing combined design capacity across two processing plants to 1,500 tonnes per day, with potential output reaching 2,000 tonnes daily. Production is expected to shift from a single-mine operation to multiple production sites.