Frik Els , Editor

TSX-V junior Prophecy Coal was trading up 6% by early afternoon on Thursday after jumping 11% earlier in the day on news that the Mongolian government has given the go-ahead for a power plant at the mouth of its Chandgana mine. Prophecy – which also controls a Yukon platinum explorer – has more than 1.4 billion tonnes of surface minable thermal coal resources at Chandgana and its producing mine Ulaan Ovoo for which it recently signed offtake agreements in Russia. There is renewed interest in Mongolian coal assets and earlier this week an Australia-based firm exploring in the fast-growing country was sold for a 800% profit a mere 18 months after its IPO.

Firestone Diamonds said Wednesday rough diamond prices have fallen about 15% to 20% since the start of August as market uncertainty begin to take a heavier toll. This after prices rose roughly 40% in the first half on the back of robust demand from China and India. The company announced it had sold only 14% of the rough diamonds offered at the tender – the London-listed firm's fourth of the year – held in Gaborone, Botswana that concluded on September 9. Most of the unsold goods were smaller in size. Shares in the company dropped over 7% by the close of trade in London.

Catholic Online delves into California's fabled gold country that calls to mind bearded prospectors with loaded-down pack mules but is now a bustling tourist community. Today people visit towns such as Sutter Creek, Amador City and Angels Camp to taste wine or to find treasure in the local antique store rather than to pan for gold. This may soon change, as a fully operating underground gold mine is set to open.

Gold for December delivery declined $15.00, or just under 1% to $1,815.10 an ounce on the Comex division of the New York Mercantile Exchange in late afternoon trade on Wednesday after the EU said it would soon present options on how it might issue bonds jointly and that Greece would remain in the euro zone. Gold is heading for its second weekly fall, its longest since early July although on Monday it struck an all-time high of 1,373.92/oz when measured in euros. December silver, down more than 1.5% on Wednesday managed to stay above the psychologically important $40/oz level.

The Australian quotes a Rio Tinto spokesman on Wednesday saying the discovery of a species of freshwater crab and a never before recorded shrimp near its Weipa mine would not be threatened by a planned bauxite expansion, but environmental protesters could still scupper the $900 million project. Rio Tinto, the world's number two miner, found a total of six species of crustacean including the new crab, which is about the size of a quarter, as part of its environmental impact study. It is now up to Australia state and federal governments to assess the findings.

Embattled Silvercorp Metals on Wednesday was forced to respond by opening up its books after a second anonymous report which it believes comes from a group of shortsellers trying to drive down the company's share price emerged on the web. Ongoing investigations into the apparent shakedown are being conducted by the RCMP, the BC Securities Commission, the SEC and the FBI, the company said. Silvercorp was forced on Friday 2 September to make public the first fraud allegations and at the same time disclosed that someone had built up a short position of 23 million shares – more than 13% of the number outstanding. The firm with projects in China and Canada plunged after the news broke and year to date losses now top 46% despite the firm’s ongoing buyback programme and a 14.3% bounce by midday today in massive volumes.

The British Geological Survey (BGS) on Wednesday published the latest list of the 52 elements, minerals and metals most at risk of supply disruption because global production is concentrated in a few countries, many with unstable governments. Surprisingly rare earths used in green technology and defence do not top the list but comes in at number five. Antimony, extracted mainly from stibnite (pictured), widely used for fireproofing is most at risk. The platinum group metals (auto catalysts) hold the second spot while niobium used in touch screens and scanners and tungsten for cutting tools are also at risk of supply disruption as a result of increased competition among the world's growing economies, political instability, resource nationalism, along with events such as strikes and accidents. China is the number one producer of 50% of the 52 chemicals on the list and produces 75% of the world's antimony.

Hathor Exploration announced early Wednesday that its board unanimously recommends that shareholders reject Cameco's unsolicited offer for the company calling it 'opportunistic' and 'predatory' coming in the wake of the Fukishima disaster in Japan that sent uranium oxide prices to lows of around $50/pound. Hathor opened down slightly on Wednesday trading at $4.15 versus Cameco's offer of $3.75. Yesterday the company said a preliminary economic assessment of its Roughrider uranium deposit showed it would potentially be one of the lowest cost uranium producers in the world at only $14.44/lb U3O8. The junior uranium explorer has gained about 56% since the offer and 121% since the start of the year. In contrast $8 billion industry bellwether Cameco’s stock has almost halved in 2011.

Junior explorer Hathor Exploration on Tuesday said a preliminary economic assessment of its Roughrider uranium deposit showed it would potentially be one of the lowest cost uranium producers in the world at only $14.44/lb U3O8. The junior uranium company is the target of a hostile bid from world number one uranium miner Cameco and has gained about 56% since the offer and 121% since the start of the year. Hathor believes its worth more than the offer price and said it will formally respond tomorrow (September 14) and urged shareholders to sit tight.

Strong interest in the Mongolian resource sector has provided shareholders in Hunnu Coal a 800% gain in only 18 months. Thailand's Banpu announced Tuesday it is taking over the ASX-listed junior for $400 million or $1.80/share – Hunnu went public in February 2010 at 20c. Hunnu may be the first of many firms with Mongolian coal assets to attract bidders with Ivanhoe Mines' SouthGobi and TSX-V junior Prophecy Coal talked about as likely targets and a way in for smaller investors who are not be able to participate in Tavan Tolgoi's $3 billion IPO slated for next year.