[battlechaser]

Gold Cup is a good brand, I use either the Extreme Rage stuff or AKA Extreme lube - whichever bottle I find first. I suggest using a dedicated paintball oil as something like 3in1, WD40 or Triflow contain a penetrant (for loosening rusty parts) which can break down orings quickly.

Ad for the actual lubrication - you're pretty much bang on, if it's the first time taking apart the gun, I suggest tearing it completely down and lubing every o-ring - a small drop per ring should do, and just smudge it around with your fingers.