India's reputation as a mining jurisdiction was further besmirched today after two powerful mining magnates were arrested over allegations of corruption. The Guardian reports that Indian police have arrested Gali Janardhan Reddy, the owner of Obulapuram Mining Corporation and his brother-in-law Srinivas Reddy, the company's managing director, over allegations they created an illegal business empire worth billions. The men face charges of conspiracy, forgery and violation of mining laws.

Rio Tinto Group and Anglo American Plc (AAL), which together own about three-quarters of Palabora Mining Co., said they plan to sell their entire holdings in the South African miner as it no longer fits their investment objectives. Palabora’s main asset, a mine that produces copper and magnetite, “is no longer of a sufficient scale” for either Rio or Anglo, and a sale process for their stakes has started, the companies said today. Rio holds about 58 percent of Palabora and London-based Anglo almost 17 percent. Their combined holding is valued at about $700 million based on the closing price of Palabora stock in Johannesburg trading today. Image of copper spools at Palabora mine, courtesy of Rio Tinto

Newalta Corp. (TSX:NAL) has been awarded a $60 million contract from Syncrude Canada Ltd. to process oil sands mature fine tailings for a demonstration project.

The board of the world's top aluminium producer UC RUSAL said on Monday it had unanimously rejected a $8.75 billion offer by mining giant Norilsk Nickel to buy back its shares. The $306 per share offer for a 15 percent stake, which represents a 20 percent premium to the weighted average market price for the past six months, was approved by Norilsk's board and was valid until 1400 GMT on Sept. 5. Norilsk said that it plans now to make a buyback offer to other shareholders.

Steel Guru reports that Liberia is poised to reap the rewards of its mineral riches once again, with the first shipment of iron ore produced since the end of its decades long civil war expected later this year, and gold production due to resume in as soon as six months.

The DRC's Ambassador to Belgium says the country wants to ramp up diamond production and become a "continental hub" for the precious stones. In an interview with Rapaport Magazine, Henry Mova said the country could become an entrepot for Africa-sourced diamonds. His comments were made following the graduation of 15 Congolese citizens from the International Gemological Institute’s (IGI) School of Gemology in Antwerp.

The African continent has historically meant just one thing to the global coal mining industry: South Africa. However, a new coal power is emerging in the form of Mozambique.

The Australian-based Intra Energy Corporation (IEC) has started coal mining in Mbalawala Mine, Ngaka coalfield in Tanzania, targeting both the domestic and export thermal coal markets of Kenya, Mauritius and India.

Fed up with paying high prices for iron ore, China is seeking out new supplies of the crucial steelmaking ingredient. The Australian reports that China is increasing iron ore imports from countries outside the major producing regions of Australia and Brazil to diversify supply away from the players that dominate the sector: The economic powerhouse has reported that iron ore imports from countries other than Australia, Brazil, India and South Africa had increased by up to 4 per cent in the first half of this year, compared with the same period last year.