Harvest provides update on Venezuela transaction

(11 September 2012) -- Harvest Natural Resources, Inc. today announced that as required by the Sale and Purchase Agreement described below, Harvest and PT Pertamina (Persero) met to evaluate the progress toward the closing of the sale by Harvest of its interests in Venezuela and that the parties have agreed to continue pursuing the various approvals required to close the transaction.

On June 21, 2012, Harvest announced that its wholly-owned subsidiary, HNR Energia B.V., had signed a Share Purchase Agreement (SPA) with PT Pertamina (Persero), the national oil company of Indonesia, to sell all of Harvest's interests in Venezuela, including its 32% interest in Petrodelta, S.A., for $725.0 million in an all-cash transaction. Net proceeds to Harvest are estimated to be $525 million after taxes and transaction costs.

The closing of the transaction is subject to, among other things, approval by the Government of the Bolivarian Republic of Venezuela, the Government of Indonesia in its capacity as the Buyer's sole shareholder and a majority of Harvest's stockholders. If all of the conditions to closing are not satisfied or not waived on or before March 21, 2013, either the Buyer or Harvest may terminate the SPA. The Boards of Directors of Harvest and Pertamina have each approved the transaction. (ends)