news re gas commercialisation, page-13

The Borsano permit was granted on 26/11/03 and the expiry date is clearly explained in KEY's prospectus on pages 68 & 69.


An Italian Permit is granted for a period of 6 years and may be extended for two further periods of 3 years each. Upon the expiration of an Italian Permits initial period, the Italian Permit area has to be reduced by 25% and, upon the expiration of the first renewed period, by a further 25%. Should the Permit area be less than 30,000 hectares, these reductions shall not apply.


Note that there has been no communication from KEY indicating whether they have applied for an extension to the permit. Surely a 100% owned permit's expiry is material.