Frik Els , Editor

Big4 reports in Canada, 39 metals deals have been announced in 2011, including five transactions valued at US$50m or more. Iron ore was the most targeted resource in Canada and globally last quarter, accounting for nearly half (48%) of all Canadian deals and almost 22% of all global transactions in Q1. According to a new PwC report, the value of Canadian metals deals more than doubled year-over-year and a heightened pace of mergers and acquisitions (M&A) activity is expected for the balance of 2011.

Indian traders on Saturday sent gold prices higher amid the Indian wedding season and firming overseas trends and silver snapped its three-day losing streak. On global markets on Friday Gold for August delivery added $9.70 to $1,542.40 an ounce after US economic data showed job growth slowed to a crawl in May. The weak dollar and the spectre of a return to recession in the US on top of a European debt crisis have buoyed the gold price this year and long term fundamentals – buying in India and China – remain strong. India remained the top purchaser of gold buying 291 tonnes in the first quarter while China added 93 tonnes of bars and coins from January to March, more than double the 2010 level and jewellery demand increased 21% from a year earlier to a record 143 tonnes.

The Toronto Sun reports employees from Shell Canada's Muskeg River and Jackpine mines near Fort MacKay were evacuated late Thursday night as wildfires continue to rage in that part of Alberta, Canada. Despite cooler weather and scattered showers on Friday 290 forest firefighters from Alberta, B.C. and the Northwest Territories are still fighting out of control blazes in the Richardson area 60 km north of Fort McMurray where 354,000 hectares have burned. Imperial Oil and Shell Canada say they're working with the government and other oil sands operators to monitor the fire and smoke conditions in the area and Syncrude Canada says all of its staff at its operations in that part of the province are still continuing to work.

Two reports this week suggest that fears of a prolonged period of global economic austerity following the financial crisis have been overblown. In Hong Kong Christie's experienced its best ever auction with buyers spending $469m on wines, antiques, art and particularly jewellery. At $9,342,219, the pictured pair of Golconda diamond ear pendants – dubbed the Imperial Cushions – set an all time record price per carat. At the other end of the scale prices have also been rising at a rapid rate. Demand for one carat and smaller stones from India and China pushed the International Diamond Exchange's polished diamond index to a new record in May surpassing the previous record level achieved in the pre-recession summer of 2008 and up 12.5% so far this year.

Mining Weekly Online quotes Karnalyte Resources CEO Robin Phinney as saying that its Wynyard project in Saskatchewan has enough resources to eventually produce 6m tons of potash a year and that the company is considering bringing in joint venture partners to do so. Karnalyte initially expects to ramp up production by 500,000 tons per year to reach 2m tons by 2016/2017 at a cost of $1.5bn. The company on Friday was trading at $11, up 42% since it debut on the TSX mid-December last year.

Canada's Sabina Gold & Silver Corp said on Thursday it would sell its Hackett River property and certain claims on the Wishbone Greenstone Belt in Nunavut, Canada to Xstrata Zinc Canada for C$50m in cash and a silver production royalty, lifting its shares almost 5% in early Toronto trade. In addition Xstrata has agreed to incur not less than $50m on exploration and other expenditures on the properties over a four year period. The transaction could take up to six months to complete and will position Sabina as purely a precious metal player.

Merrex Gold announced on Thursday a private placement worth $1.75m with Iamgold, its earn-in partner on the Siribaya Gold Project in Mali, which is potentially a 5m ounce deposit. Merrex's agreement with Iamgold will see the company take a 50% stake in Siribaya with Iamgold spending $10.5m on exploration over four years. In a note to investors Merrex said that spending on the 800 square km Mali project which kicked off in 2005, is being accelerated.

Laricina Energy announced on Wednesday it intends to raise between $250m and $400m by selling common shares at $40 to $45 each in a private placement. Laricina was started by executives of Deer Creek Energy after it was sold to French oil giant Total in 2005 for $1.67bn. Canada Pension Plan acquired 17% of the privately-held oil sands developer for $250m last year. This round of fund raising is expected to push back a possible public listing of Laricina to 2012.

Canadian mining giant Goldcorp Inc. has been recognized by Nasdaq as one of the Top 100 companies in the world for its sustainability practices. The Index is an equity-weighed index made up of 100 companies that lead in measuring and reporting their carbon footprint, energy usage, water consumption, hazardous and non-hazardous waste generation, workforce initiatives and community investment.

Two separate Wall Street reports gave fertilizer producers a boost on Tuesday. Investment bank Citigroup upgraded its recommendations for the two top producers Mosaic and Potash Corp. of Saskatchewan to buy citing strong global agricultural fundamentals and reduced Chinese exports. In a separate opinion Barron's magazine over the weekend said Mosaic's stock is worth a look as potash prices are predicted to rise throughout the year thanks to depleted inventories and consolidation among Russian producers.