Tanzania is the tip of the ice-berg for Key Petroleum and Key...

Tanzania is the tip of the ice-berg for Key Petroleum and Key Petroleum shareholders. Success in Tanzania will allow Key Petroleum to attack its Italian projects - notably the 100% owned Borsano permit of northern Italy. This will be drilled in Q2 2008 according to current schedule. If we are lucky then Lampedusa will be farmed-out and drilled soon after which makes for a very busy 2008. Remember that the management have reiterated that they are constantly reviewing other projects within their areas of operation - that is, South America, Italy and East Africa. I expect that success in Tanzania - especially the wildcat to be drilled on January 1 - will see Key review other prospects within the Nyuni Block.

I agree that a little bit of revenue from the Suriname wells will go a long way. Combined with Tanzanian success and KEY are poised to aggressively explore Italian projects.

It would be fantastic if Key could acquire some more sexy acreage in the Po Valley.

I think Key is undervalued. Remember the shares listed at 30c a piece, and the management probably thought that they would issue at a fair premium, say 35c at least! It all went pear-shaped when the Caroil-6 drilling rig delays were announced. This, combined with the sell-off inspired by the sub-prime fall out in the U.S, has seen Key's shares get hammered. Ted Ellyard saw this as an opportuntiy to top up his sizeable holding - investing an additional $100,000+ in Key at 24c.

Key Petroleum maintain 100% interest in numerous permits in some of the most prospective land for oil & gas exploration. I think that when 2008 rolls around the Key announce that they are planning to explore these permits then Key's SP will start to build up a head of steam.