Law Offices of Howard G. Smith announces that it is investigating potential claims against Keyuan Petrochemicals, Inc. (“Keyuan” or the “Company”) (NASDAQ:KEYP) concerning possible violations of federal securities laws. Keyuan, operating through its subsidiary, manufactures and distributes petrochemical products in China.

The investigation concerns the Company’s April 1, 2011, disclosure that the Company’s independent auditor had identified various concerns related to unexplained issues of certain cash transactions and recorded sales that may require adjustments to certain of the Company’s previously issued financial statements. In response to these disclosures, trading of the Company’s shares was halted prior to the opening of trading on the NASDAQ on April 1, 2011.

If you purchased shares of Keyuan and still hold those shares, if you have information or would like to learn more about these claims, or if you wish to discuss these matters or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, Toll Free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at http://www.howardsmithlaw.com.

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