Peter GibsonInmet MiningIMN.TOWAITDec 09, 2005

(A Top Pick March 13/12. Up 14.87%.) Acquired by First Quantum (FM-T).

First Quantum (FM-T) has made an offer for this company. Feels this company should take the offer. There are probably better names in the copper space. The whole mining industry needs to consolidate.

Has an offer on the table from First Quantum (FM-T). He has not tendered his shares nor does he intend to on their 1^st offer which he feels is highly undervalued. Inmet’s Panama mine is one of the premier copper mines and will be on stream in the 2^nd half of the decade.

Subject of a takeover bid, valued at $72 a share consisting of half stock and half cash. Risk of this stock going much below $67-$68 is pretty small. Company is actively soliciting votes against the takeover. Thinks it is worth more than $72 a share.

Hold on until the last minute because there could be a deal done anyway. Just stay in.

There is a proposal for acquisition by First Quantum Minerals (FM-T). It really comes down to whether you think they can make a go of it in terms of servicing another buyer. Price action has shown that it is not going to $90 anytime soon. If you own it he would suggest Selling.

Big operating copper company with mines in Spain, Finland, Greece and Panama. First Quantum (FM-T) has just made an offer. He believes that there will be other bids as well and should go for at least $80 a share and possibly $85.

Doesn’t know if there will be a higher offer. With copper over $3/lb, this is worth $85 a share. He is not a seller because knows there is a lot more value in it. The mine in Panama that will come on line will be the biggest one to come on in the next 10 years. There are no permitting problems.

(Market Call Minute.) Base metal producer. Good time to get in. Production in Spain, Finland and Panama and fully financed.

He can’t find another good quality pure copper Canadian producer. This company is hinging its future success on a large mine in Panama and hopefully they will have it completed by 2016-2017. Thinks the market will be short of copper supply next year. Feels it has an NAV of about $80 a share and doesn’t know why it can’t trade at that amount.

Was intrigued by the deal they did with Franco Nevada (FNV-T) and feels it is a great way to go. It will take a year or 2 before you see any financial benefits from the financing. Wouldn’t be a buyer yet.

(Market Call Minute.) Sees better opportunities in other mining stocks.

He would be inclined to buy this one at these prices. They are funded for their development projects over the next number of years. He is more bullish on copper prices where the stronger leverage is.

Has to go to $32.10. One of the ones he has earmarked.

Released earnings last night and there was kind of a relief rally today. The fact that they met expectations or slightly beat them, they were rewarded. Terrific balance sheet. Very cheap.