Alice TsangOpen Range Energy Corp.ONR.TOTOP PICKJun 24, 2011
(A Top Pick Apr 29/11. Up 2.66%.) Operating in the deep basin of Alberta. Have proprietary technology on 2 energy services. Provide tank services for frac fluids and this division has been growing incredibly. EBITDA expected to be $40 million and to double next year. On the oil/gas side, they've had good results showing from their deep basin and able to pull out strong liquids.
(A Top Pick June 8/11. Up 170%.) Spun out Poseidon Concepts (PSN-T) and this company’s shareholders got 88% of the Poseidon in addition to the remaining gas assets in Open Range. On a gas recovery he would get more bullish on this name.
Dry nat. gas producer. They made the decision that they would cut back on drilling in Nat. gas. Will drill liquids rich wells. Trading cheaply on reserves and on cash flow basis. Doesn’t have appeal. Dead money for the next 4 to 5 months.
Spun out their tank business, which is why the stock price has dropped. Company is about 90% gas. They can make money with the present gas prices and they produce about 4600 barrels a day and will be exiting at 6000 barrels a day. A lot of great growth and is reasonably priced.