Analysts contacted in Australia said they had expected BHP to add to its energy assets in the U.S. and its strategy was to acquire Tier 1 assets which Petrohawk fits into.

While it may be losing in its fight to acquire Potash Corp (TSX: POT), BHP Billiton (NYSE, ASX: BHP) (LSE: BLT) has done quite a job with regards to its financial results for the year ending 30 June 2010, as it has more than doubled its profit to $12.7 billion from $5.8 billion a year earlier

BHP said the acquisition of PotashCorp would be consistent with its strategy of developing, owning and operating a diversified portfolio of large, low-cost, long-life, expandable, export-oriented, Tier 1 assets.

The key problem with the annual system was the emergence of significant discrepancies between the benchmark price, negotiated once a year, and the free floating spot rate.

However, it appears a bottom has been reached and corporate activity in the sector is increasing, with mining giants BHP Billiton and Vale announcing new acquisitions last week.

Canadian shares gained a second day as energy producers climbed after positive economic reports from the U.S., the country's largest trading partner, indicated economic growth is gaining momentum, outweighing declines in mining stocks. The resource-heavy benchmark Standard & Poor’s/TSX Composite Index (TSE:OSPTX) added 0.4 percent to 12,557.31 at 12:33 p.m. in Toronto on Friday. Nine of ten groups gained.

If you think the pain in the resource sector is over, Rick Rule will gladly give you a reality check. But, the chairman of Sprott U.S. Holdings says being brash in a bear market where there is no competition will pay off.

Curis Resources (TSE:CUV) has arranged to raise $6 million through a non-brokered private placement financing, with funds to be used to advance the development of the company's Florence copper project in Arizona, which earlier this year yielded strong economics in a prefeasibilty report. 

Iron ore explorer Afferro Mining (LON:AFF) (CVE:AFF) said talks are continuing with would-be buyer International Mining and Infrastructure Corporation (LON:IMIC) following confirmation the latter has the funds needed to launch a bid.

Largo Resources (CVE:LGO) has garnered some impressive feedback from analysts this week, with some saying the company has the potential to become a leading supplier of vanadium in the stable jurisdiction of Brazil.