It has held at very good levels due to its international diversification. He likes the Spartan acquisition and thinks it was done at a very good valuation. This stick offers a lower beta and good dividend – a good stock to hold, but not the torque he is looking for.

This holds the type of exposure to oil he likes best as he is very bullish on oil prices going forward. With the Canadian energy sector at the point that everyone hates it, now is the time to buy. They are going to monetize their midstream assets that are high in demand, which will allow them to pay down almost all their debt. If you run an $80 WTI price, he sees this trading in the mid-$4 range.

He has strong reason to believe a go decision will be made for an LNG project – likely in late-October. There are on the ground plans in Kitimat for festivities. ARX-T has good liquids exposure as well. He would prefer Tourmaline.

This coil tubing and pressure pumping company with assets in the US has exposure in the Permian, which is temporarily slowing as infrastructure becomes constrained. In Canada, the market remains even weaker for service companies and there are rumours one of the big players is offering service rates at a 30% discount. The challenge for STEP-T it that their margins may be under pressure. He would not own this name right now.

It is a fine company, he says, but would prefer to back other management teams who are doing a better job paying down debt. He is bullish heavy oil differentials for next year, so is targeting other companies.

This would be a conservative choice with 50% light oil exposure. He thinks there are companies with more leverage – like Cenovus. CNQ-T is a fine company and they are buying back stock.

This is a fine company, he says. There remains funds flow out of this sector and this is hurting the large caps like this one.