Ann: Exploration permit status granted offshore I, page-11

re: Ann: Exploration permit status granted of... Sorry again for another post - thought I would post the portion from the Prospectus, to remind us what these permits are all about:

"These Italian offshore areas are located in geologically
prospective areas with Lampedusa, the furthest
southern Italian land point in the Mediterranean Sea,
providing Key Petroleum with two blocks, in shallow
water depths of only 50 to 90 metres and covering
an area of approximately 65,875 hectares (658.75 sq
km). These areas are adjacent to Tunisian territory,
where there are a number of producing oil fi elds, such
as the Halk El Menzel fi eld located some 30km to the
northwest of the block. The discovery well in this fi eld
is known to have produced oil at a rate of 2200 bopd.

The West Sardinia application block comprises
approximately 68,313 hectares (683 sq. kms) and
covers the prospective offshore extension to the
Campidano Graben. The primary play in the area
is envisaged to be gas within Pliocene and Miocene
sandstones trapped in titled fault blocks. Elba South
has two wells within the permit application area of 643
sq. kms, both of which have demonstrated gas shows.
The primary objective is for gas and possibly oil within
the Mesozoic carbonates.

Status of Permit Applications: The four offshore
permit applications are signifi cantly advanced in the
licensing process and have received Hydrocarbon
Committee approval. The Directors of Key Petroleum
anticipate that the environmental studies required
prior to the grant of the permits will be commenced
shortly on all four areas.
Further details of the application procedure relating to
the granting of the exploration permits in Italy are set
out in Section 7 of this Prospectus.
The Directors expect that the Lampedusa (x2),
West Sardinia and Elba South blocks will be granted
during 2007."

I do like reading about that 2200bopd 30km to the north... Might see a change in focus now to these permits, as it is something that KEY can control. While the focus of the operator (Aminex) is on their other holdings, we might as well make hay while the sun shines!