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Oilexco Inc (OIL.V)

BUY
2 X cash flow and half of its net asset value. Have done an exceptional job growing their production base. There will ultimately be a decline in 2 years, but each year they add more production. Think they will ultimately sell.
COMMENT
Model prices are based on estimates of earnings and on this one he has 3 from a high of $2.25 down to $0.90. Stock will probably trade between $7.06 and $11.20. Speculative.
DON'T BUY
Have some excellent properties. Could be some political risks with their Argentinean holdings..
TOP PICK
A great company. Very cheap. They are layering cash flow upon cash flow for the next 2 years.
BUY
Looks pretty exciting. Have been growing very dramatically and expecting production to go to over 20,000 barrels a day. Not fully reflected in the price yet.
BUY
This oil stock is doing quite well and is going against the trend.
TOP PICK
They have a play called Brenda that they are bringing on in the UK North Sea. Looking for $3 a share in cash flow. Have a lot of prospective drilling to do. Well financed.
HOLD
Just announced some news and feels the results are quite promising.
BUY
Has great optionality to it. A North Sea play. Looks like they have a very solid plan for production. Also have some other great projects that they will be drilling this year.
BUY
A North Sea player. Hitting on all cylinders. Trading at a discount to its NAV. Will be grinding up over the next couple of years. Looking at a very closely.
TOP PICK
(A Top Pick Nov 11/05. Up 64%.) Will bring on 30,000 BOE’s a day in the next few weeks. Should generate $3 cash flow. 4 more plays in the works. Have an inventory of high impact drilling to go. Will be generating over $600 million of cash flow in 2007.
BUY ON WEAKNESS
Had some problems getting equipment to the North Sea and is now a matter of getting some drilling done. Some of their targets are very interesting. Expect production targets will be delayed.
TOP PICK
He starting recommending this stock in Sept. 2005. The stock is up 50%. They have a 2 times cash flow. They can drill 10-12 wells a year. Four or five upside potential. He loves this story.
HOLD
They seem to have an improving profile going forward. Have been very successful in finding and replacing reserves. Taking a serious look at this one.
DON'T BUY
On the cusp of some significant production in the North Sea. Because of economics and tax situation, valuation cannot be compared to a western Canadian company. Have done a fantastic job of amalgamating small properties but is fully valued at this price. A risky company.
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