CO 26 sts using #10.5 (6.5mm) needles.
Knit 5 rows for edge border then begin body of scarf as follows.
Ridged Stitch Pattern:
Row 1 (RS): *[K2, P2], repeat from * across to last 2 sts, K2.
Row 2 (WS): Slip 1 purlwise with yarn in front, P across to last stitch, slip 1 purlwise with yarn in front.
Repeat these two rows until scarf measures 10 inches.
Now the scarf will be knit in two vertical pieces at the same time, using two balls of yarn, to form the "Keyhole".
Set-Up Row (RS): [K2, P2] three times, K1; attach 2nd ball of yarn, K1, [P2, K2] three times.
Row 1 (WS): Purl all sts of both pieces, using two balls of yarn as established.
Row 2 (RS): [K2, P2] three times, K1 on right half of scarf; K1, [P2, K2] three times on left half of scarf.
Repeat these two rows until Keyhole (formed by inner edges of pieces) measures 3 inches from split, ending with a WS row.
Next Row (RS): *[K2, P2], repeat from * across to last 2 sts, K2, using just one ball of yarn and dropping the second ball.
Work even in pattern until scarf measures 39 inches, end RS row.
Knit 4 rows.
Bind off all stitches knitwise.
Weave in all ends and block according to fiber content. (We like to steam press from the WS.)
To wear: wrap scarf around neck and slip solid side of scarf through keyhole to secure.
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