On July 5, 2011, NASDAQ Listing Qualifications staff (Staff) notified
Keyuan Petrochemicals, Inc. (Company) that it determined to delist the
Company based on its broad discretionary authority under Rule 5101 and
the Companys failure to comply with Rule 5250(c)(1).  On July 11, 2011,
the Company exercised its right to appeal the Staffs determination to
the Listing Qualifications Hearings Panel (Panel) pursuant to Rule 5815
and also requested an an extension of the 15 day automatic stay of
suspension.  On July 26, 2011, the Panel issued a decision granting an
extension of the stay, pending the hearing. On August 17, 2011, Staff
notified the
Company that its failure to file its Form 10-Q for the quarter ended
June 30, 2011 served as an additional basis for delisting. The Panel
hearing was held on August 25, 2011. On September 2, 2011, the Panel issued
a decision that continued the Companys listing, subject to a trading
halt, and on the condition that by September 30, 2011, the Company
provided the Panel with a copy of the final report of the Audit
Committees investigation and a comprehensive list of actions the Company
would take to remediate any accounting and control issues identified;
and that by October 12, 2011, the Company must have filed all of its
delinquent periodic filings. On October 3, 2011, the Company provided
the Panel with the Audit Committee report. On October 5, 2011, the Panel
issued a decision to suspend the Companys securities and delist its shares
from Nasdaq pursuant to Rule 5101 and based on the findings noted in the
report. On October 20, 2011, the Company exercised its right to appeal
the October 5, 2011 Panel decision to the Nasdaq Listing and Hearing
Review Council (Council) pursuant to Rule 5820(a). On December 16, 2011,
the Council issued a decision that affirmed the Panel decision to
delist the Companys securities.  On March 13, 2012, the Company was
provided notice that the Nasdaq Board of Directors declined to call the
Council decision for review pursuant to Rule 5825(a).