strategic direction , page-9

Gday Surandy70,

It looks like they have typed in the wrong resolution number, as it is number 6 and not number 2 regarding the share placement facility. Unless they think that giving KM a bunch of options will provide the capital injection, lol. We may see some clarification today by KEY.

With regards to their statement of “Immediate capital injection required to fulfil 2012 exploration commitments”, I can only assume that this relates to their statement around “assessing new opportunities to add third limb to basin exposure both in Australia and internationally”, which is new.

Agree KEY need to explain why we need further capital in 2012 when IMO our balance sheet says otherwise, based on expected cash flows for the next quarter and planned activities for the remainder of 2012. If Tz and Italy are not to be fully divested until 2013, then fair enough, but this should be communicated, so we can understand the complete picture of our cashflow position.

A share placement facility is just that, “a facility which allows for capital injection if necessary”, IMO, it should not be used for immediate capital requirements to cover exploration commitments already planned and budgeted for.

Cheers
R