China eyes African Barrick Gold stake

China's state-owned miner, China National Gold, has held preliminary talks to buy a stake in African Barrick Gold (ABG), one of Africa's largest gold miners.

Demand for gold in China has surged and it is expected to become the world's biggest market for the metal this year.

African Barrack has large reserves but has struggled to meet production targets.

Barrick Gold, the parent of ABG, said the talks were at an "early stage".

"There can be no certainty that these discussions will result in the acquisition of all or part of Barrick's holding in ABG," Barrick Gold said in a statement.

Risk v reward

ABG's production levels have been falling in recent years.

Last year, the company produced almost 688,000 ounces of gold. That was down from 701,000 ounces in 2010 and 716,000 ounces the year before.

At the same time, its cost of production has gone up. According to the firm, it cost it $692 (£440) to produce an ounce of gold last year, a jump of more than 20% from 2010.

The firm has also been hurt by issues such as power cuts as well as theft of fuel.

As a result, its shares have taken a hit, falling almost 30% in the past one year.

Analysts said that given these issues, the miner was a risky bet for potential suitors.

"African Barrick has always looked like it offered good value albeit at a high risk, and if the potential acquirer can get the asset and is comfortable with the risk, you will be able to get a reasonable set of assets for a good price," said Hunter Hillcoat an analyst with Investec.

Source: BBC.UK

$4 a Gallon: News Guide to High Calif. Gas Prices

As gas prices rise nationwide, California is stuck in a perfect storm, with prices approaching $4 a gallon. Here's a guide to some key questions:

Q: WHAT'S CAUSING THE HIGHER GAS PRICES?

A: It's a combination of factors that add up to bad news for California drivers. Crude and ethanol prices are driving gasoline prices up nationwide. Meanwhile, a fire at a large California oil refinery, which sent hundreds to hospitals with health complaints, is making matters worse in the state.

Q: HOW CAN THE PARTIAL SHUTDOWN OF ONE REFINERY AFFECT GAS PRICES IN THE STATE?

A: California's pollution laws require cars to use a special blend of gasoline. While it results in cleaner air, the specialized blend is up to 15 cents more expensive. When a fire Monday took down a part of Chevron's refinery in Richmond, it reduced the capacity of this large facility that produces 15 to 16 percent of the state's special blend of fuel. The laws mean the state can't easily replace that supply with dirtier gas from other areas.

Q: HOW HAVE GAS PRICES REACTED SINCE MONDAY'S FIRE?

A: On Friday, the average price for a gallon of regular gasoline in California was $3.99, up from $3.86 on Tuesday. The national average was $3.66 on Friday.

Q: HOW HIGH COULD PRICES GO?

A: Analysts say prices could pass $4 by Monday. Beyond that, it's not clear.

Q: HOW LONG BEFORE THE REFINERY'S PRODUCTION IS BACK TO NORMAL?

A: It could be weeks. Chevron won't speculate on when the crude unit that was the site of the fire will be back up and running. Federal and state investigators are still waiting to gain access to the site of the fire to collect evidence. Once the inspectors finish their work, the company can begin repairs.

Q: WILL THIS DECLINE IN PRODUCTION AFFECT PRICES OUTSIDE OF CALIFORNIA?

A: Some analysts say gas prices in Oregon and Washington could also be affected by the fire. Refineries in those states could make the cleaner burning gasoline blend needed in California. That would reduce the supply of the blends used in those states, which could affect prices there.

Mark Zuckerberg: Shirtless Pic Leaked on Facebook!

A photo of a topless Mark Zuckerberg was leaked to the Internet today, fueling rumors that his privacy functions may have just failed epically,

That, or someone's gonna be getting unfriended by the CEO real fast.

The shirtless pic was only up briefly before being deleted, but a screen grab of it - with commentary - is making the online rounds. Pretty funny.

Here's Mark in the undated photo with some friends (presumably):

The photo of Zuckerberg topless first surfaced on image-sharing site Imgur.

The poster there claims it was "accidentally posted" by Boz, a.k.a. Facebook Director of Engineering Andrew Bosworth, who can be seen on the far right.

Boz allegedly took it down "seconds later," but on the Internet, that can be more than long enough for someone to see it and pass it along to others.

At least he looks like he's having a good time.

Source: THG!