Frik Els , Editor

Support for the favourite gold bug conspiracy theory – that a cabal of western central bankers is secretly determined to manipulate the world’s markets by rigging gold prices – has come from an unexpected quarter.

National Geographic News reports that Bellingham has in the past been lauded for becoming one of the few cities in the US to rely solely on solar and hydro-generated electricity, its innovative building efficiency program, and the "buy local" ethos of its bustling farmers' markets. But now the US coal industry has its eye on it.

It is vital for the South African government to step up and take a bigger stake in the mining industry, a top economic advisor told those attending a Mining for Change conference in Johannesburg on Friday. The comments come one week ahead of so-called Economic Freedom Youth Mass Action marches on the Chamber of Mines and stock exchange organized by Julius Malema (pictured), populist leader of the influential youth wing of the ruling African National Congress with the support of the 260,000 member Metalworkers Union. Malema recently told crowds that the nationalization debate within the ANC is a question of how not if, and an August industry-led investigation said the ruling party is closest to seizing mines since the end of white rule in 1994.

Reuters reports a proposed European Union law to rank Canadian oil sands as dirtier than conventional fuel can probably be successfully defended if Ottawa challenges the move at the World Trade Organization according to legal advisers to the EU's executive. The statement comes a day after environmentalists hurled accusations and interrupted a speech by Canada's resources minister, who was on tour to persuade Britain not to join the EU oil sands initiative. The government of Alberta has also written to EU experts voicing "grave concerns" that the bloc's plans are unfair and a potential threat to trade ties ahead of a Tuesday meeting to debate a green ranking of fuels. Royal Dutch Shell and France's Total are the top European investors in the oil sands.

In early morning trade in New York, copper for delivery in December jumped 5.5% from yesterday's 15-month low to trade at $3.23 a pound after France and Germany made positive noises about tackling Europe's debt problem promising a definitive agreement by heads of state "by Wednesday at the latest." Copper is also being lifted by supply worries – Reuters reported on Friday China's copper smelters are slowing their rate of refined copper production as supplies of raw material concentrate and scrap fall. Two strikes at mines owned by US-based producer Freeport McMorran has cut production while shipments from the world's No. 1 copper mine, BHP's Escondida in Chile, could be delayed to next year after recent work stoppages.

A small South African community 300km north of Cape Town is taking on De Beers over the diamond giant's plans to sell its 970 square km Namaqualand properties to a much smaller outfit already operating in the area. Locals say Trans Hex, which will assume responsibility for rehabilitation, has a poor track record in the area, lacks financial clout and the environmental management programme put together by De Beers already falls far short of what is needed to clean up almost a century of opencast mining in the biodiversity hotspot. In a video (after the jump) community spokesperson David Markus says a diamond may be forever for De Beers, but for his people, "it’s the suffering that’s forever."

BusinessWeek reports Alrosa says it mined more diamonds than global rival De Beers in 2009, 2010 and the first half of 2011 and is benefiting from prices for rough diamonds of $109 – up 30% over last year. Alrosa accounts for more than a quarter of world output and for 2011 predicts $5 billion in revenue. The secretive firm has been feeding the market more information recently in anticipation of a 2012 public offering, but now says its good financial performance may reduce the size.

Gold for December delivery had shed $40 or more than 2% by lunchtime coming close to breaching the $1,600/oz level in New York before before regaining some ground to trade at $1,618 an ounce by early afternoon. Traders said the metal is likely to remain a “dead trade” until it can resume its role as a fear barometer and is able to rally in face of equities weakness and that a "solid downtrend" has now been established. Some analysts are saying gold's precipitous $300 drop in September represented a fundamental market shift and that gold's fall despite market volatility and economic uncertainty means the metal has lost its safe haven status and is being treated like any other commodity.

Reuters reports Outokumpu said it expected to report a significant operating loss in its final quarter as weak demand and prices continued to hit margins forcing the stainless steel maker to cut up to 1,300 jobs in an effort to reduce costs after brought on by the declining value of its raw material inventories. While Europe's woes have been well-documented, the Finnish multinational's announcement is further evidence of a changing dynamic in the iron ore and steel market. On Tuesday Chinese steel mills forced the world’s number one iron ore producer Vale to bend over contract pricing after falls in the spot iron ore price.

The UK Daily Record reports a judge hearing how four miners died following safety breaches in 2006 and 2007 at Britain's biggest mining firm – UK Coal – has indicated he will not impose fines at a level which would "cripple" a company which in court was described as being in a "pretty desperate situation". UK Coal is a shadow of its former self – in May 2008 it was trading at £5.84 while on Thursday in London trade the company exchanged hands for 34p giving it a market capitalization of not much more than £100 million.