Not quite.
Yes, counter-balancing is what he's explaining, but what I'm getting at is low-speed-control using front brake only. Your buddy is not using the front brake at all, just idling and counter-balancing.
Here is a demo of front-brake-only control (starts at 3:20)
Watch his right foot, how it's right at the tip of the foot peg. No rear brake at all.
Most introductory riding schools teach new riders to use the rear brake + high idle + feathering clutch for slow-speed control, which is very easy, since you're not fighting the compression of the forks and it's easier to turn the handlebars. Also, you're able to separate out your throttle input with the brake control since it's two different limbs.
The clutch + front-brake-only skill is next-level stuff when you need extreme counter-balancing, with the right foot able to pivot on the peg to influence body position, and sometimes even completely off the peg to counter-weight, so you cannot use the rear-brake for speed control.
Very difficult, especially if you've been brought up using rear-brake only in slow-speed situations.