Frik Els , Editor

Reuters reports Canadian gold miner IAMGold is on the look-out for acquisitions and while it is not itself up for sale, its chief executive said on Friday the company represents good value right now. IAMGold has in the past said interested in various stage projects, from exploration through to production and just over the last fortnight has put money into three South American juniors. IAMGold produces roughly 1 million ounces per year from operations in Africa and North and South America and sees bullion topping out at $2,000 an ounce this year or next from current levels around $1,790.

Rainy River Resources' received a 3.2% bump on Friday after the Toronto-based company released a highly positive preliminary economic assessment of its property in Western Ontario. Friday's move also came after Canaccord Genuity upgraded the stock to speculative buy. Rainy River is up more than 9% over the last two days and is worth some $600 million on the Toronto big board. The study envisions an open pit and underground operation that would have life-of-mine average annual production of 329,000 oz of gold and 497,000 oz of silver. In the first four years of the 13-year mine-life, the average cash cost net of silver credits is estimated at $417/oz of gold generating over $1.6 billion free cash flow at current metal prices.

Reuters reports the US move to put off a decision on TransCanada Corp's proposed $7 billion Keystone XL pipeline for 18 months is a significant blow for Ottawa, which has strongly backed the project. The Canadian government and the Alberta oil industry will now turn their attention to the 1,170km Northern Gateway pipeline project from Alberta to a new marine terminal in northern British Columbia to serve Asian markets. But the $5.5 billion project which has significant Chinese backing, is already almost a year behind schedule and would not go into operation in 2017 at the soonest. Even this schedule is optimistic: starting in January, an unprecedented 4,000-plus people – mostly greens – will speak for a collective 650 hours at public hearings.

Mining Review reports the decision last week to allow Zimbabwe to resume diamond exports from the controversial Chiadzwa and Marange alluvial fields is being questioned, after the country's mines minister admitted on Thursday that smuggling was still rife. The comments are in stark contrast to his previous insistence that the country's diamond industry was meeting international trade standards. Zimbabwe is set to earn over $2 billion per year from exports with current diamond output estimated to be in excess of 25% of world production. Rough diamond prices have dropped by more than 10% over the last two months and is set to fall further as the first Marange diamonds come onto the market by the end of this month.

Reuters reports the Chairman of Chile's Codelco vowed on Thursday to go ahead with buying a 49% stake in Anglo American's southern Chilean properties. The state copper giant said that it would take all steps to ensure its option is respected and that it did not mind if Anglo cedes a part of its own stake to others. Anglo American on Wednesday sold a 24.5% stake in the properties that includes the newly expanded $2.8 billion Los Bronces mine to Japan’s Mitsubishi Corp. for $5.39 billion, undermining plans by Chile’s state-owned Codelco to exercise an option to buy half of it. Chile decided at the end of October to exercise the 33-year old option that has lapsed before, blindsiding Anglo. Anglo said the transaction values its Chile properties at $22 billion. Codelco was offering $6 billion for 50%.

Reuters reports Anglo American on Wednesday sold a 24.5% stake in its southern Chilean properties to Japan's Mitsubishi Corp. for $5.39 billion, undermining plans by Chile's state-owned Codelco to exercise an option to buy half of it. Chile decided at the end of October, barely a week after Anglo American announced that the $2.8 billion they splashed on expanding their flagship Los Bronces mine will start to bear fruit before year end, to exercise the 33-year old option that has lapsed before, blindsiding Anglo. Anglo said the transaction values its Chile properties at $22 billion. Codelco was offering $6 billion for 50%.

Despite a pre-feasibility study packed with good news and an ever-louder drumbeat suggesting an imminent takeout, Western Potash sank 6.67% on Wednesday, a day the broader market managed to keep losses to less than 3%. Western Potash said on Monday it is upping the projected capacity of the Milestone project by 12% to 2.8 million tonnes per year and surprised by lowering its capex and opex cost projections. Scotia Capital commented that state-owned entities from Brazil, India and China could be interested in Western Potash to secure supply outside of Canpotex and Russian producers which together control around 57% of global supply.

Gold for December delivery only briefly broke the psychologically important $1,800/oz level on Wednesday and in after hours trade pulled back sharply to trade at $1,770.50. Gold failed to take advantage of its traditional role as a hedge against inflation and a safe haven in troubled economic times, despite European Union finance ministers failing to make progress on ways to shore up the zone's sagging banks and Italy's deepening credit crisis. Bullion's failure to build on a three-day rally also comes after data out this week showed a quickening in demand from China's consumers who bought a record 56.9 tonnes in September, a sixfold increase year-on-year.

Iron ore prices have turned around after crashing 30% in October, but longer term the outlook is not rosy for smaller players thanks in large part to the aggressive go-to-market strategy of the big three.

Consumers made the most of the dip in the price of bullion and mainland China's gold purchases via Hong Kong hit a record 56.9 tonnes in September, a sixfold increase year-on-year and up 30% from August, according to figures released by the Hong Kong government and reported by the FT. Quarterly data from the Hong Kong census and statistics office showed the Middle Kingdom imported about 140 tonnes of gold via Hong Kong in the three months from July to September ahead of the festival season, more than the roughly 120 tonnes for the whole of 2010. Over the last decade China's share of total global demand for bullion has climbed from 6% to 18%.