A Comment -- General Comments From an Expert (A Commentary)

Looking at copper 2/3 years out, he is bullish and just initiated a position in Aur Resources (AUR-T) and are looking at both Constellation Copper (CCU-T) and Noranda (NRD.LV-T).

Conversion into an income trust, coalbed methane company and an exploration comapny is very interesting. In a worse case scenerio, if the trust has to yield 15%, that puts a $6 value on it and if the coalbed methane and exploreco sell at 1 X net asset value, you get to $7.54 which means it's fully priced. A more realistic scenario is the trust has a $6.67 value and 2 X for the other 2 would get you to $9. Interesting speculation. Looking at it very carefully.

Sold interest to Epcor (EPE.PR.A-T) which should be very beneficial to them. Well managed. Has a lot of accretive growth. High level of net income to distributions. Very conservative.

You won't have a better time to buy. Likes that Falconbridge is a part of this.

Will be unexciting for the next little while because of confusion of the merger with Falcoinbridge (FL-T). There are other base metals that offer better upside such as Inco (N-T), Teck Cominco (TEK.SV.B-T) or Inmet Mining (IMN-T).

All the mid/upper tier majors have gone through some correction. There are other companies he would choose first. If you are buying put in your price and wait for it to be reached. Could be a 20% correction.

Has been pretty much his least favourite major mining stock in Canada. It really hasn't made a lot of money for investors over the years. Have good assets, but haven't developed them well. Not managed all that well.

Thinks the Falconbridge take over has made a whole new better company and doesn't think the market is recognizing it yet.

A little piece has come into play in the last 6 months. There has been overcapacity on the smelting side for the last couple of years, so you bought actual mines i.e. the concentrate out of the ground. Now the concentrate has gone from $0.02 a pound to over $0.18. Extremely inexpensive on the mining side.

Thunder Energy (THY-T), Mustang Resources (MUS.A-T & MUS.B-T) and Forte Resources (FRZ-T) are merging to form a trust. These 3 together will make a pretty decent trust. Down at these levels you'll probably make a little bit of money from here.

The big question here is whether it will be sold or not. Thinks that it is pretty much off the table now. Likes the base metal sector.

The Pembina area is a very expensive play right now. Not the same kind of value, matrix story is was 2 1/2 years ago. They're a very good operator and should do well with their Pembina play but he is looking for significantly undervalued stocks.

A little worried about the metals market in general. Heading into a seasonally weak period. If global growth slows down, demand for all metals is going to come down.

Finally working out its problems with Falconbridge (FL-T) and starting to realize some value. There was a fly in the ointment with the US hedge fund interfering, but feels there is no concern. Would prefer other areas.

Has a good management team. The assets they were given were high decline gas properties. Have been able to keep production relatively flat, but expectations on future production is not very positive. He's been lightening up his positions.