TOP PICK
Drilling onshore oil wells in Thailand for less than $1 million. Just hit a 3940-barrel a day well. This well paid back in about 2.5 days and the net asset value on the reserves they just discovered is about $50-$60 million. To spend $1 million and create $60 million worth of value is fantastic. They have about 40 more locations next year. They are fully self-funding.
TOP PICK
They do “turn key” solar facilities. One of the best investment strategies is to go to the pick and shovel guys. Their backlog is 8 X bigger than it was a year ago. Revenues are ramping up dramatically. Well financed.
TOP PICK
Produce neodymium, which goes into magnets and lanthium. With any PDA, cell phone or electronic appliance, they use neodymium. Prices are increasing which indicates demand increase. Have a very good supply source. Lanthium goes into flat-panel screens. The company has a very big global opportunity. They have great sales and great management and well financed. Trades at about 12 or 13X earnings and yet revenues are starting to grow.
PAST TOP PICK
(A Top Pick Dec 28/06. Up 73%.) Been a little disappointing in the short term because of some problems at their mine but unlike other metals, molybdenum continues to ratchet up. Supply/demand is looking very good.
PAST TOP PICK
(A Top Pick Dec 28/06. Up 0.75%.) Quebec gold mine. They have to move a town and there is 80% agreement. Low-grade deposit.
PAST TOP PICK
(A Top Pick Dec 28/06. Up 43.9%.) Acquired by Uranium One (SXR-T). Sold his shares in the middle of the takeover.
DON'T BUY
Stock dropped 40% when they lost the US Defence Department contract. There is a lot of uncertainty as to why they lost this. Also did a big financing of $9.5 million. Let it shake itself out before buying.
STRONG BUY
Was going to make this a Top Pick. This is one of the best names he has seen in a long, long time. Have upped their guidance by almost a double in revenues. Believes they have a global monopoly position in the rewards/exchange program. Have pulled in a lot of partners and don't need cash.
BUY
Heavy oil in Albania. The former Rally management team is coming in. They will be reengineering the fields. Speculative.
BUY
There is some concern over their most recent well which may not be as good as some of the others. Good price.
DON'T BUY
He is a big believer in watching the market and letting it tell you what to do. In this case, he sold it in the $9.50/$10 range. It just wasn't acting like a big exploration play. The play is fine but just not as big as he expected.
DON'T BUY
This has been a disaster in the copper space. Did a financing at $2 and he was so annoyed at the financing that he got out. Company just announced that they have liquidity problems.
BUY
Agrium (AGU-T) has bought 19% of his company. They helped develop the standard that was set in China for slow release fertilizer. A “stick it in the mattress” stock. Well managed and well financed.
DON'T BUY
Has disappointed everyone for a long time. Didn't get approval on their product. Stock has been decimated. Thinks the worst is over, but it will be a long recovery. He was actually Short the stock for a while. If you own, Hold and see what they do, but don't be a buyer.
COMMENT
Announced a buyback up to 10% of the stock over a one-year period. He would have preferred to see a special dividend or an acquisition. This will be a company that gets through the recession. If they don't make an acquisition, they will be acquired.