I feel he is more for a big bang in his portfolio. Once he even said when the first good drilling is made, the time is gone for him to invest. He prefers to invest before that so he can make 300% gain in less than 1 yr, to offset the high risks in his junior portfolio.

sgr is already a production company, so it is overvalued by his model. But, for investment, the ultimate goal is to maximize the absolute amount of the gain, not the ratio. sgr has a good chance to make 30% return every year for 5 years, so it is an excellent investment opportunity, by any standard.