Today, I want to discuss a huge mistake I made about one of my favorite copper investments. I like to point out my mistakes because it keeps me humble and honest. If I only point out my successes, you’re likely to (correctly) assume that I’m cherry-picking my track-record.

I also think you’ll agree that learning from mistakes is a lot more fun for you, as a reader, if I’m making them instead of you.

Two months ago, I believed that Ben Bernanke’s then-impending announcement of Quantitative Easing 2 (QE2) was likely to disappoint the market.

Here’s what I said on October 27^th - about a week before Bernanke’s announcement:

They'd kick you out of the casino after taking your money and maybe roughing you up a little.

But today I'm going to reveal to you a publicly traded company that should benefit from boom times as well as bust. It's a way to put one poker chip on two numbers of the roulette wheel at the same time. And it won't get you kicked in the ribs.

My prediction is that we're headed (or already in the midst of) a severe recession or depression. But I've been wrong before - and even if I'm right on the trend, I could be wrong on the timing or the scope - or any number of other factors that might derail my investment thesis.

Shares of General Moly (AMEX: GMO) are gaining after the molybdenum mining company said after Monday’s close that it formed a strategic relationship with ArcelorMittal S.A., the world's largest steel producer.

Under the terms of the agreement, ArcelorMittal will purchase approximately 8.239 million, or 12.6% of General Moly’s outstanding shares at $8.50 per share. The arrangement will generate approximately $70 million in proceeds and will be used for the development of General Moly's Mt. Hope molybdenum project, according to General Moly. 

Specifically, the agreement would allow for the supply of approximately 6.5 million pounds per year of molybdenum for five years, beginning once Mt. Hope commences production.

General Moly also stipulated that its relationship with ArcelorMittal is a non-exclusive arrangement and will continue to scan for other strategic relationship opportunities.

Shares of General Moly (GMO) jumped 11.11%, or $0.94, to $9.40 in pre-market trading. Moly Shares of General Moly have been trading in the range of $ for the past 52 weeks.

Idaho General Mines Inc. (AMEX:GMO) reported today that it has completed a study of its Mt. Hope molybdenum property and has found that the project has a net present value (NPV) of $1.4 billion.

After conducting due diligence the company also determined that the project, which the company calls its “Mt. Hope Bankable Feasibility Study,” is expected to produce 38.3 million pounds annually over the first five years with average grades of 0.1% molybdenum.

The company also anticipates that the property will have a 44-year mine life including 32 years of mining operations and 12 years of low-grade production.

The project is estimated to have direct operating costs of $4.42 per pound over the first five years.

Idaho General Mines participates in the exploration and development of molybdenum, silver, gold, base metals, and other specialty metals. The company has two molybdenum properties; its Mount Hope Project, a primary molybdenum deposit in Eureka County, Nevada, and Hall-Tonopah, a molybdenum project in Nye County, Nevada.

Shares of Idaho General Mines are up 11.32%, or $0.67, to $6.59 in mid-day trading.

Usually investing in mining companies means having to choose between a junior company that is working to get a mine up and running, and a more stable, mature miner that is already in production.

With the former, you get more risk, at least until the final permit is received, the mining plan finalized, equipment in place, and ore being processed. Of course, that can often mean greater leverage to metal prices. With the latter, you know what you’re getting in terms of output from the mine, but that typically limits any blue-sky financial upside for investors.

But then there’s Northern Orion Resources Inc. (TSX: NNO, AMEX: NTO), which allows you to put money into both types of play with one stock. The Vancouver-based miner has a minority position in a major gold and copper mine in Argentina that, after a decade of production, is only half-way through its estimated lifespan. And investors also get exposure to the nearby—and soon-to-be-developed—Agua Rica project, which contains copper, gold, and molybdenum.