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Gold/Mining/Energy : Imperial Metals (IPM.T) -- Ignore unavailable to you. Want to Upgrade?

To: refugee investor who wrote (657)	9/24/2010 10:57:18 AM
From: Italian Investor	Respond to of 1366

Another Guru on the SD bandwagon, not a big fan of Weitz but good to see him on board One of our most recent purchases is SandRidge Energy (NYSE:SD - News). People saw it primarily as a natural gas company. It was underappreciated because of the low price of gas and a leveraged balance sheet. People ignored the fact that it had a pending acquisition of Arena Resources (CDNX:ARD.V - News) (completed in July). Arena is primarily an oil company and its assets made a major difference to the quality of SandRidge's balance sheet. SandRidge seemed mispriced because it was underappreciated for reasons that would only be temporary. The Stats: Wally Weitz is sometimes called "the other oracle of Omaha." His Omaha-based firm, Wallace R. Weitz & Co., manages about $3 billion for the Weitz Funds. One of his oldest funds, Weitz Partners III Opportunity, was a hedge fund that converted into a mutual fund in 2005. Since its 1983 inception, it has had a 12.8% annualized return, vs. 9.8% for the S&P 500

To: refugee investor who wrote (657)	9/24/2010 11:36:30 AM
From: teevee	Read Replies (1) \| Respond to of 1366

I am not sure what kind of depletion you mean? Assuming you mean depletion of an ore body, I used a mining rate that would deplete the known and indicated resource over 25 years on a straight line. In reality, mining always starts on the highest grade area possible to return capital as quickly as possible. Tax wise, there are provincial and federal "depletion allowances" for the reserves as they diminish over the mine life, assuming ongoing exploration does not identify more reserves (usually the case) to extend mine life.