Mason Granger Zargon Oil & Gas Ltd ZAR-T SELL Feb 27, 2013

Like all the other dividend paying oil/gas stocks, it has been weak over the past year. The bottom was put in, in the July/August time frame and it is veering down again. Generally a chart like this says you have a number of holders who are continuing to liquidate their positions. Has weak distribution coverage. 9.4% yield.

He is starting to get interested in the energy sector. Put your stop at the recent lows. They are probably going to be ok. He is starting to see bottoms in some of the oil services.

Would be mildly cautious on this name. Did a presentation on an enhanced oil recovery scheme that they are implementing, where they are not going to get a production response for 2 years.

These are really, really high quality people. These are people who believe that you ought to make money in oil and gas. Very disciplined and very good in all regards. He has owned the stock for many, many years and he is completely unconcerned about the price direction.

This had been on his Short List of about 10 companies. There is absolutely nothing wrong with it. He thinks you could get an 8%-10% rate of return. It just didn’t seem to have that key catalyst driver that could make it exciting. (See Top Picks.)