Energulf Resources Inc. (ENG-H.V)

Had some big movement starting in November. There is good volume, which is a very positive sign. Breaking into new territory. Hit a high back in January 8. Also had good volume. Put a Stop at $2.40.

Have land in offshore Namibia, an area where the majors have moved. Have a 10% holding in a pretty significant well. It may have similar findings to Exxon (XOM-N) and ConocoPhillips (COP-N), which have been exceptional. The short run risk is that they could get a dry well. One of the better perspective areas in the world right now.

There is a giant upside if they hit their well. He likes the volume and the new highs, but it is a $50 million well and it is not quite there yet. A little too early for him.