Prospectus re Admission to the Official List - Heritage Oil

SUMMARY INFORMATIONThis summary must be read as an introduction to this document. The following summary information has beenprepared in accordance with the Prospectus Rules and provides summary information on the Ordinary Sharesand the Exchangeable Shares and on the risks of investment therein. Any decision to invest in the Company orHOC should be based upon consideration of this document as a whole by the investor and not justthe summary.Following the implementation of the relevant provisions of the Prospectus Directive (Directive 2003/71/EC) ineach Member State of the European Economic Area, no civil liability will attach to those persons responsible forthis summary in any such Member State, including any translations of this summary, unless it is misleading,inaccurate or inconsistent when read together with the other parts of this document.Where a claim relating to the information contained in this document is brought before a court, in a MemberState of the European Economic Area, the plaintiff may, under the national legislation of the Member Statewhere the claim is brought, be required to bear the costs of translating this document before legal proceedingsare initiated.1. INFORMATION ON THE GROUPThe Company was incorporated in Jersey on 6 February 2008 to be the ultimate holding company of theGroup. The Group was established in 1992 (with HOC being incorporated on 30 October 1996) andcommenced trading in the mid-1990s as an independent upstream exploration and production groupengaged in the exploration for, and the development, production and acquisition of, oil and gas in its coreareas of Africa, the Middle East and Russia. The Group has exploration projects in Uganda, the KRI, theDRC, Malta, Pakistan and Mali, and producing properties in Oman and Russia. HOC, being a member ofthe Group and in anticipation of Admission, has proposed a reorganisation of its share capital. Thereorganisation will culminate in the creation of the Exchangeable Shares which will be subject to votingrights and terms and conditions different from the Ordinary Shares but which, subject to certainconditions, will be exchangeable for Ordinary Shares on a one-to-one basis. HOC intends (at orimmediately following Admission) to procure the admission of the Exchangeable Shares to listing on boththe TSX and on the Official List together with admission to trading on the London Stock Exchange’s mainmarket for listed securities.The Group’s management team believes that it has demonstrated a track-record of finding new substantialdiscoveries, particularly in Africa, including the hydrocarbon system in the Albert Basin, Uganda and theM’Boundi oilfield in Congo. The Group’s producing, development and exploration projects, together withpotential opportunities, provide a combination of early cash flow and longer term value creationopportunities for its shareholders.2. SUMMARY OF GROUP RESERVES AND RESOURCESRPS has certified that as of 30 September 2007, the Group’s net working interest reserves and value, usingmoney of the day prices, discounted at 10 per cent., were as follows:Net NetWorking Entitlement NetInterest Reserves PresentReserves Number ValueMMboe MMboe $ MillionsProved ............................................... 25.5 24.2 30.3Probable Additional ..................................... 40.3 37.9 229.3Total Proved Probable ................................. 65.8 62.1 259.6Total Proved Probable Possible ......................... 171.5 163.9 824.1RPS has certified that the Group had a 50 per cent. working interest share of the mean risked workinginterest prospective resources from Blocks 3A and 1 in Uganda of 462 MMboe (923 MMboe gross) as at30 September 2007. The Government of Uganda has a back-in right which could, if exercised, reduce theGroup’s working interest to 42.5 per cent.1