Heritage Oil Interim Management Statement

THIS PRESS RELEASE IS NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR
FOR DISSEMINATION IN THE UNITED STATES.


Heritage Oil Plc ("Heritage" or the "Company") (TSX:HOC)(LSE:HOIL), an
independent upstream exploration and production company, issues its Interim
Management Statement for the period from 1 July 2013 to 18 November 2013.


Corporate highlights



--  Total revenues of $49.1 million in the third quarter 2013 ($2.1 million,
    Q3 2012), of which $46.4 million was from the interest in Shoreline
    Natural Resources Limited ("Shoreline"), Nigeria, and $2.7 million was
    from the interest in the Zapadno Chumpasskoye Field, Russia 
--  A further lifting in October generated revenue net to Heritage of $71.8
    million 
--  Cash position of $112.7 million, as at 30 September 2013 
--  Shoreline drew down a further $50 million of finance from the Reserves
    Based Lending facility, extending the debt to $550 million in order to
    replace security that Heritage had provided for a letter of credit in
    Nigeria 
--  The $50 million short term bridge facility with Standard Bank Plc,
    entered into in August 2013, is in the process of being cancelled 
--  Extended position in Nigeria with the strategic joint venture alliance
    being established with Bayelsa Oil Company Limited ("Bayelsa Oil
    Company") 
--  Granted the right to appeal the high court decision awarded to Tullow
    Uganda Limited ("Tullow"), to be heard in May 2014



Operational highlights



--  Production for the third quarter 2013, net to Heritage, averaged 11,649
    bopd (617 bopd, Q3 2012), an increase of over 60% compared to the first
    half of the year 
--  Uzere West Field will commence production shortly and is expected to
    reach gross production of 5,000 bopd within the next few weeks 
--  The work programme on OML 30 has progressed with installation of gas
    compressors underway, statutory inspection and testing of all pressure
    vessels and inspection of all wellheads and pipelines completed to
    support well optimisation activities 
--  Three development wells are planned for 2014 on OML 30, in line with the
    development plan 
--  Papua New Guinea ("PNG") exploration portfolio was expanded with the
    farm-in to Petroleum Prospecting Licences No:337 ("PPL 337") and No:437
    ("PPL 437") 
--  Work programmes in PNG are progressing with seismic acquisition set to
    continue and exploration wells planned for 2014 
--  Continued exploration work programmes in Tanzania through interpretation
    of new and processed seismic data on the Rukwa licence and the
    acquisition of a geochemical survey on the Kyela licence 
--  Tanzania exploration drilling programme being planned for 2014/2015



Tony Buckingham, Chief Executive Officer, commented:

"We are making great progress across all aspects of our balanced portfolio with
exciting new exploration acreage and production from existing operations
increasing. It has been a year since we completed the acquisition of the major
interest in OML 30 and we are seeing the rewards reflected in increased cash
flow, production and revenues. Our revenues have been transformed as year to
date we have generated cash of nearly $360 million. Nigeria is a key focus for
Heritage and we have recently engaged with Bayelsa State to enable us to
increase our footprint further within the region."


PRODUCTION

Production for the quarter, net to Heritage, averaged 11,649 bopd with 10,956
bopd from the interest in Nigeria and 693 bopd from Russia. Production in
Nigeria has continued to improve significantly as a result of addressing
community issues through the engagement of a local Non-Governmental Organisation
and continued work on the facilities equipment. This has reduced downtime in the
fields and between periods of scheduled maintenance, gross production has
stabilised at around 40,000 bopd, reaching a peak of c.46,000 bopd in September.
Intermittent maintenance and inspection work required prior to installation of
new equipment meant that disruption was greater than expected for the quarter,
thereby partially offsetting the reduced downtime as the fields were shut-in and
restarted again at intervals.


The Trans Forcados export pipeline was closed for maintenance for nine days over
the quarter to complete two repairs which had not been undertaken by the
previous owners in 2012. Repairs to the Afiesere gas lift distribution manifold
were completed during the quarter which has enabled gross field production to
increase by c.4,000 bopd. Three new gas compressors were delivered to the
licence and the installation is underway. Inspection of all the wellheads and
pipelines was undertaken in the period in preparation for the commencement of
well optimisation activities.


Production from the Uzere West Field is due to commence shortly and the field is
expected to reach gross production of 5,000 bopd within the next few weeks.


Production, net to Heritage in 2013 is anticipated to average 11,000 bopd, based
on gross production for OML 30 for the full year of 23,000 bopd with a gross
exit rate of c.50,000 bopd. 2014 production guidance, net to Heritage, is within
a range of 16,000-21,000 bopd, driven by well optimisation in the first half of
the year and development drilling which is on track to commence in the second
half of the year.


Production in Russia was stable throughout the period averaging 693 bopd,
compared to 472 bopd in the first half of the year. Preparations are underway
for additional development drilling in 2014.


EXPLORATION

Papua New Guinea

Heritage expanded its portfolio in PNG with the farm-in to two licences with
Kina Petroleum Limited, PPL 337 and PPL 437, in October 2013, building upon the
position established in April 2013 with the farm-in to PPL 319 and PRL 13 with
LNG Energy Limited.


Work programmes on PPL 319 and PRL 13 commenced immediately with the acquisition
of the first 62 kilometres of seismic data in PPL 319 over the Tuyuwopi
structure confirming a drilling location and plans are underway to drill the
prospect in 2014. The work programme continues on schedule with processing of
the acquired seismic data and reprocessing of c.300 kilometres of legacy seismic
data over the licences now in the final stages. Further seismic acquisition over
leads within both the licences will continue in 2014.


PPL 337 is located within the underexplored Ramu Sub Basin close to the northern
deep water port of Madang. The licence has good road access and is close to
potential local gas markets and LNG export routes. To date, three prospects and
one lead have been identified on the licence in proximity to a depocentre and
the presence of gas seeps within the area indicates an active petroleum system.
Legacy datasets, which include regional gravity and magnetic data and surface
geological mapping, in addition to c.140 kilometres of 2D seismic acquired in
1997 and offset well data have been evaluated. Two of the identified prospects
are proposed for drilling in 2014; the Kwila prospect, where a Pleistocene age
clastic target has been mapped in the footwall of the Banam anticline, and the
Raintree prospect, where a Pliocene/Miocene age reef target is identified.


PPL 437 lies within the Papuan foreland in a proven hydrocarbon system less than
20 kilometres north of the Elevala and Ketu c.1.0 TCF gas condensate fields and
the recent successful Tingu-1 exploration discovery well. Additionally, the
licence benefits from proximity to an existing gas pipeline from the PNG LNG gas
fields to the LNG plant in Port Moresby and the Elevala and Ketu fields where
gas commercialisation options that include a mid-scale LNG project with a LNG
plant located at Daru are under consideration. Legacy datasets including
regional gravity, magnetic data and surface geological mapping, in addition to
c.250 kilometres of 2D seismic, have been evaluated. The identified
prospectivity in the licence is within several structural leads identified from
the legacy seismic data. Heritage is now actively involved in the planning for
the acquisition of further seismic data over these leads to mature them to
drillable prospects.


Tanzania

Acquisition of approximately 600 kilometres of 2D seismic data over the Rukwa
licence was completed in the first quarter of 2013. The data has been processed
and initial interpretation completed with results indicating that the principal
prospectivity lies in the Rukwa South area. Focused interpretation over Rukwa
South is very encouraging and reveals structures analogous to those proven to
contain commercial hydrocarbons in the Lake Albert area of Uganda. Exploration
studies continue on schedule, with the aim of advancing identified leads to
prospect status by year end.


The interpretation of the 2013 reconnaissance seismic data in the Kyela licence
confirmed the potential of the area. Field sampling for the programmed
geochemical survey of the licence has been completed on schedule and samples are
currently undergoing analysis. Further detailed analysis of high resolution
gravity data is being carried out, integrating and calibrating the results with
the seismic dataset.


A comprehensive drilling logistics study continues as planned on the Rukwa
licence. The drilling programme will now be expanded to include two wells across
the licences in 2014/2015.


CORPORATE

As at 30 September 2013, Heritage had a cash position of $112.7 million.

The average realised commodity price achieved in Nigeria was $110.78 per barrel
in the third quarter of 2013. Over the quarter, there was one lifting in Nigeria
which generated revenues net to Heritage of $46.4 million. There was an
underlift at quarter end resulting in an inventory build-up. There has been one
further lifting since the quarter end generating revenue net to Heritage of
$71.8 million and there are a further two liftings planned for the remainder of
the year. Revenue of $2.7 million was received from operations in Russia in the
third quarter.


On 23 August 2013, Heritage entered into a letter of credit facility with
Standard Bank Plc for $50 million. The facility was available until 31 December
2013 with the option to extend to 28 November 2014. The Company used this
facility to back the Shoreline letter of credit to National Petroleum
Development Company until the Reserves Based Lending facility could support the
letter of credit, which is now the case and hence the security provided by
Heritage is in the process of being released.


Shoreline has been in discussions with relevant government departments in
Nigeria about its tax status. Good progress has been made and Shoreline expects
to benefit from a significant reduction in underlying tax rates. Shoreline is in
the process of concluding these discussions but anticipates the benefit of any
reduction, which could be substantial, would be recognised in the 2013 year end
results.


Heritage recently announced that a wholly owned subsidiary has entered into a
joint venture agreement with Bayelsa Oil Company, owned by the Bayelsa State
government, to establish an indigenous Nigerian oil company called Petrobay
Energy Limited ("Petrobay"). Through Petrobay, Heritage expects to be a
significant contributor to the future development of the oil and gas industry in
Nigeria.


In December 2012, Heritage announced that Shoreline Power had exercised its call
option to acquire a 30% economic interest in Shoreline which it will fund by
selling half of its option rights. This would have the effect of reducing
Heritage's economic interest in Shoreline from 97.5% to 68.25%, with 68.25%
representing an effective 30.71% working interest in OML 30. Completion of the
transaction and release of the initial consideration, which is currently in an
escrow account, remains subject to Nigerian government approval, expected
shortly. On completion, Heritage will receive cash of $31.5 million and the
balance of c.$88.5 million will be provided by way of an interest bearing,
secured loan from Heritage to Shoreline Power.


Heritage holds common shares ("Shares") of PetroFrontier for investment purposes
and currently holds 19.98% of the outstanding Shares of PetroFrontier.
PetroFrontier is listed on the TSX Venture Exchange and has a high-impact
drilling programme in Australia targeting billions of barrels of resources.


At the end of October Heritage was saddened by the death of General Sir Michael
Wilkes who had been a Non-Executive Director of the Company since its listing in
the UK in 2008. As well as being the Senior Independent Director, Sir Michael
was a member of various committees. The Nomination Committee will appoint a new
Non-Executive Director in due course and there will be a review of Committee
membership. Consideration will also be given for the appropriate candidate to
fulfil the role of Senior Independent Director.


UGANDA

As previously announced, a number of proceedings in connection with the sale of
the Group's interests in Blocks 1 and 3A in Uganda to Tullow remain ongoing.
Heritage Oil & Gas Limited ("HOGL") continues to challenge both the Uganda
Revenue Authority ("URA") in the Ugandan courts and, in accordance with the
Production Sharing Agreements, the Ugandan government through international
arbitration proceedings in London, which commenced in May 2011. The arbitration
tribunal ruled in April 2013 that the determination of tax was outside its
jurisdiction, but that there were two areas of HOGL's claims which it will
consider, in respect of contractual income tax stabilisation clause protection
and breach of other contractual obligations.


The determination by the arbitral tribunal marks the end to the preliminary
phase. The proceedings have now continued to deal with the merits phase of
Heritage's contractual claims against the Ugandan government and the underlying
substantive Ugandan tax matters remain under appeal in the Ugandan courts.


In April 2011, Tullow made a payment to the URA and subsequently filed a claim
in the High Court in England seeking compensation for alleged breach of contract
as a result of HOGL's and Heritage's refusal to reimburse Tullow. In March 2013,
an 11 day hearing took place in the Commercial Court in London. In June 2013
judgment was awarded in favour of Tullow and payment made in August 2013.
Heritage has been granted permission to appeal the judgment with the appeal
hearing to be heard in May 2014.


Notes to Editors



--  Heritage is listed on the Main Market of the London Stock Exchange. The
    trading symbol is HOIL. Heritage has a further listing on the Toronto
    Stock Exchange (TSX:HOC).

--  Heritage is an independent upstream exploration and production company
    engaged in the exploration for, and the development, production and
    acquisition of, oil and gas internationally.

--  Shoreline Natural Resources Limited is a private limited Nigerian
    company established by Heritage, through a wholly owned subsidiary, and
    Shoreline Power Company Limited and has a 45% interest in OML 30 with
    National Petroleum Development Company holding the remaining 55%
    interest.

--  Petrobay Energy Limited is a joint venture company being established by
    Heritage, through a wholly owned subsidiary, and Bayelsa Oil Company,
    owned by the Bayelsa State government.

--  Farm-in completions for the new licences in PNG are expected within the
    short term, subject to customary conditions precedent including
    governmental approvals which the Company expects will be met.

--  Heritage has producing assets in Nigeria and Russia and exploration
    assets in Tanzania, PNG, Malta, Libya and Pakistan.

--  All dollars are US$ unless otherwise stated.

--  For further information please refer to our website,
    www.heritageoilplc.com



This press release is not for distribution to United States Newswire Services or
for dissemination in the United States.


If you would prefer to receive press releases via email please contact Jeanny So
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FORWARD-LOOKING INFORMATION:

Except for statements of historical fact, all statements in this news release -
including, without limitation, statements regarding production estimates and
future plans and objectives of Heritage - constitute forward-looking information
that involve various risks and uncertainties. There can be no assurance that
such statements will prove to be accurate; actual results and future events
could differ materially from those anticipated in such statements. Factors that
could cause actual results to differ materially from anticipated results include
risks and uncertainties such as: risks relating to estimates of reserves and
recoveries; production and operating cost assumptions; development risks and
costs; the risk of commodity price fluctuations; political and regulatory risks;
and other risks and uncertainties as disclosed under the heading "Risk Factors"
in its Prospectus dated 6 August 2012, as supplemented by a supplementary
prospectus dated 23 August 2012, and elsewhere in Heritage documents filed from
time-to-time with the London Stock Exchange and other regulatory authorities.
Further, any forward-looking information is made only as of a certain date and
the Company undertakes no obligation to update any forward-looking information
or statements to reflect events or circumstances after the date on which such
statement is made or reflect the occurrence of unanticipated events, except as
may be required by applicable securities laws. New factors emerge from time to
time, and it is not possible for management of the Company to predict all of
these factors and to assess in advance the impact of each such factor on the
Company's business or the extent to which any factor, or combination of factors,
may cause actual results to differ materially from those contained in any
forward-looking information.


FOR FURTHER INFORMATION PLEASE CONTACT: 
Heritage Oil Plc
Tony Buckingham
CEO
+44 (0) 1534 835 400
info@heritageoilplc.com


Heritage Oil Plc
Paul Atherton
CFO
+44 (0) 1534 835 400
info@heritageoilplc.com


Heritage Oil Plc - Investor Relations
Tanya Clarke
+44 (0) 20 7518 0838
ir@heritageoilplc.com
www.heritageoilplc.com


Media Enquiries
Ben Brewerton
+44 (0) 20 7831 3113
heritageoil.sc@fticonsulting.com


Media Enquiries
Natalia Erikssen
+44 (0) 20 7831 3113
heritageoil.sc@fticonsulting.com


Canada
Cathy Hume
+1 416 868 1079 x231
cathy@chfir.com


Canada
Jeanny So
+1 416 868 1079 x225
jeanny@chfir.com
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