Bill Harris, CFA
Lundin Petroleum AB
LUP-T
TOP PICK
Jun 13, 2012
Should be able to double their production in the next 3 years, which is a conservative estimate production. This is a way for him to get out of Western Canada and exposure to the oil price and you can get exposure to the Brent oil price in a growth company and Norway is a great jurisdiction to be finding oil.
Brent North Sea crude. Essentially in Norway. A little expensive right now so he bought half a position. If the stock were to come off another 20%, he would double up on it. Trades at about 10X cash flow but should double production in the next 3 years. Very visible growth and great management.
(A Top Pick June 13/12. Up 20.74%.) He wants to have the international oil price. This one is in a very unique situation where they found the oil and now they have to build it. Have a line of credit for $2 billion. Still likes.
Brent Crude Pricing. A lot of these have gone up a lot. You never know when this one will do so. They are in a dead spot where they are putting north sea into production. It may go up to 12 months and then there will be a growth curve.
(Top Pick Nov 19/13, Down 25.87%) It is in the North Sea and takes more time than you would think. They now have to prove they can explore and make cash flow. It is a fantastic company, however. Wished he had bought it now instead of when he did.
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