POLITICS & POLICY

Shares of US rare earths producer Molycorp Inc. plummeted 13% on Wednesday, trading for as low as $24.52 per share, after analyst JP Morgan slashed its price target on the stock to $39 from $57.

Yesterday, The Australian Stock market closed 19points lower. But today, after a negative week of trading, the market turned higher at the open up 10points, boosted by strong gains on overseas markets.

Australian miner Peak Resources has announced it will place 8 million new ordinary shares at $0.28 per share to be able to raise A$2.24 million to complete the initial works on the Ngualla Rare Earth Project in southern Tanzania.

The U.S. Army is developing a helicopter drone equipped with a 1.8 gigapixel camera that can provide high resolution ground images or video from an altitude of 20,000 feet and over an area of 65 square miles.

InterOil Corporation of Papua New Guinea had secured a preliminary sales deal with Chinese company ENN for its first natural gas output, in what could be a thrust for InterOil to finally push its planned $6 Billion liquefied natural gas (LNG) project.

Toronto-based junior miner Royal Coal Corp. on Wednesday announced it had secured a 234,000-tonne worth coal sales contracts for delivery starting January 2012.The company said the coal will be sourced from its Appalachian mines at an average sales price of $85 a tonne.

India's fuel stock at its 89 thermal power stations has fallen by 35 per cent from a year ago, the latest data from the Central Electricity Authority reveal.

Japan's Kobe Steel Ltd. and Steel Authority of India Ltd. are mulling to create a $284 million worth joint venture iron-making plant project in India that will employ the Japanese steel maker's new iron-making technology.

Australia will be soon seeing its first uranium concentrate shipment, after Chinese-owned Energy Metals signed an agreement to ship third-party uranium from Adelaide to its parent company in Shanghai.

Qatar's nominal gross domestic product (GDP) had grown by 40 per cent during the third quarter compared a year ago, latest data from the Qatar Statistics Authority said.

Talisman Energy Inc. of Canada on Wednesday announced is it on the lookout for a business partner that will help the firm explore and develop four of 14 natural gas leases in Papua New Guinea (PNG).

The National Electrical and Communications Association (NECA) sought on Thursday more stringent electrical safety measures in Australia, particularly for older homes.

After more than a six-month delay timeframe, Vale's humongous iron ore ship Berge Everest finally called on China's Dalian port.

Australia's Human Services Ministry issued in 2010-11 192 departure prohibition orders (DPOs) against parents considered deadbeat. The DPOs, which prevents them from traveling, were made after repeated attempts to make them pay debts.

Despite slowing domestic demand, prices of steel in India will maintain status quo levels in January, a top industry producer said.

Yesterday, The Australian Stock market closed lower with The All Ordinaries Index (XAO) falling by around 50points. Today the market reopened lower, following the lead of major markets around the globe overnight. Key European and U.S. market index's off around 1pct.

Prime Minister Julia Gillard appears to be regaining momentum among voters in specific areas across Australia, latest survey said, but not enough to turn back the spectre of defeat if elections were held shortly.

Stricter U.S. regulations on pollution control, together with higher costs incurred in burning coal, have prompted Sunbury Generation LP, owner of one of the nation's oldest coal-fired power plants, to switch to natural gas by 2015.

The West Australian government invited China to be an investor in its $5.94-billion Oakajee port and rail project. The venture seeks to open up a new iron ore mine site in the state's Mid-West and make it WA's second major iron ore output behind Pilbara.

Police in Afghanistan have rescued a 15-year-old girl, who had been beaten, starved and locked up in a toilet for five months by her in-laws in the northeastern Baghlan province.

US chain store sales posted firm growth in the latest week. The Johnson Redbook Retail Sales index rose by 4.3pct in the week to December 24 compared with a year earlier. For December as a whole, sales were up 3.5pct on a year ago.

The S&P 500 fell 1.3% on a forex related move, after EUR/USD traded down to an eleven-month low.Among the major averages, the Dow Jones Industrial Average fell 1.1% to 12151. The S&P pulled back 1.3% to 1249, below its 200-day moving average, while the NASDAQ dropped 1.1% to 2267.

From Morrison Securities Pty Ltd. U.S. stocks dropped Wednesday, sending the Standard & Poor's 500-stock index back into the red for 2011, as the euro sank to an 11-month low and investors looked ahead with concern to Italy's long-term debt auction Thursday.

Fast-rising economies in Southeast Asia, Indonesia and Vietnam have taken different strategies in handling rising coal demand in the region.

China becomes first foreign nation to win rights to search for oil in war-torn Afghanistan.

China has introduced on Tuesday a pilot reform on its pricing system for natural gas. The new system links prices of domestic natural gas to imported fuels.

Brazil's Vale, the world's second biggest mining company, has announced plans to invest $12.9 billion to implement mining projects in various parts of the world in 2012.

Last Friday, the Australian Stock market closed early for the festive break at 2pm AEDT. The All Ordinaries Index (XAO) added nearly 50points. Today after a four day Christmas break the market reopened lower, at lunch The All Ordinaries Index (XAO) off 36pts, trading volumes have been light and eight out of the ten index sectors are trading lower.

With nations resorting to use cleaner fuel arising from concerns of unpredictable global weather changes, demand for liquefied natural gas (LNG) will continue to soar in 2012 and possibly in the coming years. However, the said growth may not run in parallel with LNG prices.