Synergy Resources Corp. (SYRG)

[Timothy Smith]

$SYRG I continue to be bullish. It has several catalysts going forward as it converts to a horizontal operator.

It has three well pads to complete through 2014 and a significant number of notifications to drill wells on its acreage. The second half of 2013 should see a large increase in production growth as its horizontal program begins.

Its acreage is located in low cost areas, and has upside in its Nebraska acreage. Management does a very good job of keeping costs in check, and is conservative in its cap ex.

With this quarter out of the way, we can now focus on the production ramp through the end of this year.