Document:

<PAGE>

                                                                    EXHIBIT 10.8

THIS AMENDMENT AGREEMENT (the "AMENDMENT AGREEMENT") is entered into on 30th
September, 2002 among:

(1)      LIMITED LIABILITY COMPANY "GEOILBENT", a legal entity organised and
         existing under the laws of the Russian Federation, located at Purpe
         Township, Purovsky District, Yamalo-Nenetsky Autonomous Region, Russian
         Federation (the "BORROWER"), represented by the acting General Director
         Evgeny V. Grebenshikov, acting on the basis of the Charter of the
         Borrower and the acting Chief Accountant Galina I. Tsymbal, acting on
         the basis of the Federal Law No. 129-FZ on Accounting dated 21st
         November, 1996 (as amended);

(2)      EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT, an international
         finance institution with its headquarters at One Exchange Square,
         London EC2A 2JN, United Kingdom ("EBRD");

(3)      INTERNATIONAL MOSCOW BANK, a Closed Joint Stock Company organised and
         existing under the laws of the Russian Federation and located at
         119034, Prechistenskaya Embankment, Moscow, the Russian Federation
         represented by the Mr. Yu. V. Tverskoy, the member of its management
         board, acting on the basis of the Charter and Mr. A.V. Popov, the Chief
         Accountant, acting on the basis of the Federal Law No. 129-FZ on
         Accounting dated 21st November, 1996 (as amended) ("IMB");

(4)      HARVEST NATURAL RESOURCES, INC., a company organised and existing under
         the laws of the State of Delaware in the United States of America, with
         its registered office at Corporation Trust Centre, 1209 Orange Street,
         Wilmington, Delaware 19801, County of Newcastle ("HARVEST"),
         represented by Dr. Peter Hill, President and Chief Executive Officer;
         and

(5)      OPEN JOINT STOCK COMPANY "MINLEY", a legal entity organised and
         existing under the laws of the Russian Federation, located at 22"a",
         Pobedy Street, Tarko-Sale Township, Purovsky District, Yamalo-Nenetsky
         Autonomous Region, Russian Federation ("MINLEY"), represented by the
         General Director Ludmila R. Solovieva, acting on the basis of the
         Charter of Minley and the Chief Accountant Galina I. Papsueva, acting
         on the basis of the Federal Law No. 129-FZ on Accounting dated 21st
         November, 1996 (as amended).

RECITALS:

(A)      Pursuant to a credit agreement dated 21st November, 1996 between EBRD
         and the Borrower (formerly - Limited Liability Company Joint Venture
         "Geoilbent Limited") (as amended from time to time, the "EBRD CREDIT
         AGREEMENT") EBRD agreed to lend to the Borrower on a revolving basis an
         amount not to exceed US$55,000,000.

(B)      Pursuant to a credit agreement dated 9th April, 1997 between IMB and
         the Borrower (as amended from time to time, the "IMB CREDIT AGREEMENT")
         IMB agreed to lend to the Borrower on a revolving basis an amount not
         to exceed US$10,000,000.

(C)      On 9th April, 1997 the Borrower, EBRD, IMB, Harvest (formerly Benton
         Oil and Gas Company) and others entered into a performance,
         subordination and share retention agreement in connection with the EBRD
         Credit Agreement and the IMB Credit Agreement.

<PAGE>
                                       2

(D)      On 7th February, 2002, Minley became a party to the performance,
         subordination and share retention agreement referred to above (such
         agreement as novated, the "SHARE RETENTION AGREEMENT") and from such
         date the parties to this Amendment Agreement constitute all the parties
         to the Share Retention Agreement.

(E)      On 19th February, 2002, the Board of Directors of Benton Oil and Gas
         Company has resolved to change its name to "Harvest Natural Resources,
         Inc.".

(F)      On or prior to the date of this Amendment Agreement, the Borrower has
         repaid to IMB all amounts owing to IMB under the IMB Credit Agreement.

(G)      On 23rd September, 2002, the Borrower and EBRD have amended and
         restated the EBRD Credit Agreement (the "AMENDED AND RESTATED EBRD
         CREDIT AGREEMENT") to provide for, among other things, an increase in
         the amount available to the Borrower to be drawn thereunder.

(H)      To reflect the matters set out in recitals (E), (F) and (G) above, the
         parties to this Amendment Agreement have agreed to amend the Share
         Retention Agreement on the terms and conditions set out in this
         Amendment Agreement.

IT IS AGREED as follows:

1.       INTERPRETATION

1.1      DEFINITIONS

         In this Amendment Agreement, unless the contrary intention appears or
         the context otherwise requires:

         "EBRD CREDIT AGREEMENT AMENDMENT AGREEMENT"

         means the agreement dated 23rd September, 2002 between the Borrower and
         EBRD pursuant to which the Borrower and EBRD have agreed to amend and
         restate the EBRD Credit Agreement.

         "EFFECTIVE DATE"

         has the meaning given to it in the EBRD Credit Agreement Amendment
         Agreement.

         "PARTIES"

         means the parties to this Amendment Agreement and "PARTY" means a party
         to this Amendment Agreement.

1.2      INTERPRETATION

         Unless otherwise defined in this Amendment Agreement, capitalised terms
         used in this Amendment Agreement shall have the meaning given to them
         in the Amended and Restated EBRD Credit Agreement.

<PAGE>
                                       3

1.3      INCORPORATION

         The provisions of Section 1.02
         (Singular/Plural-Persons-References-Headings), Section 6.01 (Notices),
         Section 6.06 (Arbitration and Jurisdiction), Section 6.07 (Privileges
         and Immunities of EBRD), Section 6.08 (Waiver of Sovereign Immunity),
         Section 6.09 (Severability) and Section 6.10 (Counterparts) of the
         Share Retention Agreement shall apply to this Amendment Agreement as if
         the same had been set out in full herein.

2.       AMENDMENT, CONFIRMATION AND DESIGNATION

2.1      AMENDMENT

         With effect on and from the Effective Date, the Share Retention
         Agreement shall be amended as follows:

         (a)      International Moscow Bank shall cease to be a party to the
                  Share Retention Agreement and shall cease to have any rights
                  against or obligations to the remaining parties thereto and
                  all references to "International Moscow Bank" or "IMB" or "the
                  IMB Credit Agreement" contained in the Share Retention
                  Agreement (but not in the recitals thereto) shall be deemed to
                  be deleted;

         (b)      any reference to "a Project Lender" "the Project Lenders",
                  "each Project Lender", "either Project Lender", "both Project
                  Lenders" or any like phrase shall be deemed to be a reference
                  to EBRD only;

         (c)      Recital (A) of the Share Retention Agreement shall be replaced
                  with the following:

                  "(A)     Harvest owns a 34% participation interest in the
                           Borrower and Minley owns a 66% participation interest
                           in the Borrower.";

         (d)      the following shall be added to the recitals in the
                  appropriate alphabetical order and the existing recital (D)
                  shall become recital (F):

                  "(D)    On or prior to the date of the Amendment Agreement (as
                          defined below), the Borrower has repaid to IMB all
                          amounts owing to IMB under the IMB Credit Agreement;
                          and

                  (E)     On 23rd September, 2002, the Borrower and EBRD have
                          amended and restated the EBRD Credit Agreement (the
                          "AMENDED AND RESTATED EBRD CREDIT AGREEMENT") to
                          provide for, among other things, an increase in the
                          amount available to the Borrower to be drawn
                          thereunder.";

         (e)      all references to the "EBRD Credit Agreement" shall be deemed
                  to be references to the Amended and Restated EBRD Credit
                  Agreement;

         (f)      all references to the "IMB Credit Agreement" and the IMB Loan
                  shall be deemed to be deleted;

         (g)      a reference to any Financing Agreement shall be deemed to be a
                  reference to that Financing Agreement as amended from time to
                  time;

         (h)      the following definition shall be included in appropriate
                  alphabetical order in Section 1.01 (Definitions):

<PAGE>
                                       4

                  ""AMENDMENT AGREEMENT" means the amendment agreement signed by
                  the parties to this Agreement on 30th September, 2002.";

         (i)      Subclause (a) of Section 6.02 (Rights, Remedies and Waivers)
                  shall be amended by the deletion of the words "of the other
                  Project Lender in respect of such default or" as they appear
                  in the sixth line of that subclause; and

         (j)      Section 6.3 shall be amended to read as follows:

                  "This Agreement shall bind the successors and assigns of each
                  Shareholder and shall inure to the benefit of the Project
                  Lender and its successors, transferees and assigns; provided
                  that (i) the Project Lender may only sell, transfer, assign or
                  otherwise dispose of all or part of its rights under this
                  Agreement in accordance with Section 8.12(b) of the Amended
                  and Restated EBRD Credit Agreement and (ii) neither
                  Shareholder may assign any of its obligations hereunder
                  without the prior written consent of the Project Lender.".

2.2      REPRESENTATIONS

         Each Shareholder (as defined in the Share Retention Agreement) shall be
         deemed to repeat each of the representations and warranties made by it
         in Section 5.01 (Representations and Warranties) of the Share Retention
         Agreement on both the date of this Amendment Agreement and the
         Effective Date.

2.3      CONFIRMATION

         Each Party confirms that, except as expressly provided by the terms of
         this Amendment Agreement, the Share Retention Agreement remains in full
         force and effect.

2.4      DESIGNATION

         The Parties hereby confirm that this Amendment Agreement and the Share
         Retention Agreement as amended hereby shall each constitute a Financing
         Agreement for the purposes of the Amended and Restated EBRD Credit
         Agreement.

3.       GOVERNING LAW

         This Amendment Agreement is governed by English law.

4.       RIGHTS OF THIRD PARTIES

         A person who is not a party to this Amendment Agreement may not enforce
         its terms under the Contracts (Rights of Third Parties) Act 1999.

This Amendment Agreement has been entered into on the date stated at the
beginning of this Amendment Agreement.

<PAGE>
                                       5

                                   SIGNATORIES

BORROWER

LIMITED LIABILITY COMPANY "GEOILBENT"

By:                                       and    By:
         ----------------------------                ---------------------------
Name:                                            Name:

Title:                                           Title:

EBRD

EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT

By:
        ----------------------------
Name:

Title:

IMB

INTERNATIONAL MOSCOW BANK

By:
        ----------------------------
Name:

Title:

HARVEST

HARVEST NATURAL RESOURCES, INC.

By:
        ----------------------------
Name:

Title:

<PAGE>
                                       6

MINLEY

OJSC "MINLEY"

By:                                       and    By:
         ----------------------------                ---------------------------
Name:                                            Name:

Title:                                           Title:

<PAGE>

                               AMENDMENT AGREEMENT
     (RELATING TO PERFORMANCE, SUBORDINATION AND SHARE RETENTION AGREEMENT)

                           DATED 30TH SEPTEMBER, 2002

                                      AMONG

                            LIMITED LIABILITY COMPANY
                                   "GEOILBENT"

                                       AND

                                EUROPEAN BANK FOR
                         RECONSTRUCTION AND DEVELOPMENT

                                       AND

                            INTERNATIONAL MOSCOW BANK

                                       AND

                         HARVEST NATURAL RESOURCES, INC.

                                       AND

                                  OJSC "MINLEY"

                                  ALLEN & OVERY
                                 Legal Services
                                     Moscow

<PAGE>

                                      INDEX

<Table>
<Caption>
CLAUSE                                                                                                     PAGE
<S>      <C>                                                                                               <C>
1.       Interpretation......................................................................................2
2.       Amendment, Confirmation and Designation.............................................................3
3.       Governing law.......................................................................................4
4.       Rights of Third Parties.............................................................................4

SIGNATORIES..................................................................................................5
</Table><PAGE>
                                                                    EXHIBIT 10.9

THIS AGREEMENT (the "AMENDMENT AGREEMENT") is entered into on 30th September,
2002 among:

(1)      HARVEST NATURAL RESOURCES, INC., a corporation organised and existing
         under the laws of State of Delaware in the United States of America,
         with its registered office at Corporation Trust Centre, 1209 Orange
         Street, Wilmington, Delaware 19801, County of Newcastle (the
         "PLEDGOR"), represented by Dr. Peter Hill, President and Chief
         Executive Officer;

(2)      EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT, an international
         finance institution with its headquarters at One Exchange Square,
         London EC2A 2JN, United Kingdom ("EBRD"); and

(3)      INTERNATIONAL MOSCOW BANK, a Closed Joint Stock Company organised and
         existing under the laws of the Russian Federation and located at
         119034, Prechistenskaya Embankment, Moscow, the Russian Federation
         represented by the Mr. Yu. V. Tverskoy, the member of its management
         board, acting on the basis of the Charter and Mr. A. V. Popov, the
         Chief Accountant, acting on the basis of the Federal Law No. 129-FZ on
         Accounting dated 21st November, 1996 (as amended) ("IMB").

RECITALS:

(A)      Pursuant to a credit agreement dated 21st November, 1996 between EBRD
         and Limited Liability Company "Geoilbent" (formerly - Limited Liability
         Company Joint Venture "Geoilbent Limited"), a legal entity organised
         and existing under the laws of the Russian Federation, located at Purpe
         Township, Purovsky District, Yamalo-Nenetsky Autonomous Region, Russian
         Federation (the "COMPANY") (as amended from time to time, the "EBRD
         CREDIT AGREEMENT") EBRD agreed to lend to the Company on a revolving
         basis an amount not to exceed US$55,000,000;

(B)      Pursuant to a credit agreement dated 9th April, 1997 between IMB and
         the Company (as amended from time to time, the "IMB CREDIT AGREEMENT")
         IMB agreed to lend to the Company on a revolving basis an amount not to
         exceed US$10,000,000;

(C)      On or about 23rd June, 1997, Benton Oil and Gas Company, EBRD and IMB
         entered into the Agreement for Pledge of Shares in the Company (the
         "ORIGINAL PLEDGE OF SHARES") pursuant to which the Pledgor has agreed
         to pledge to EBRD and IMB the Pledged Assets (as defined therein) as
         security for the fulfilment of the Company's obligations under the EBRD
         Credit Agreement;

(D)      On 19th February, 2002, the Board of Directors of Benton Oil and Gas
         Company has resolved to change its name to Harvest Natural Resources,
         Inc.;

(E)      On or prior to the date of this Amendment Agreement, the Company has
         repaid to IMB all amounts owing to IMB under the IMB Credit Agreement;

(F)      On 23rd September, 2002, the Company and EBRD have amended and restated
         the EBRD Credit Agreement (the "AMENDED AND RESTATED EBRD CREDIT
         AGREEMENT") to provide for, among other things, an increase in the
         amount available to the Company to be drawn thereunder;

<PAGE>
                                       2

(G)      To reflect the matters set out in recitals (D), (E) and (F) above, the
         parties to this Amendment Agreement have agreed to amend the Original
         Pledge of Shares on the terms and conditions set out in this Amendment
         Agreement. For convenience, the parties have agreed to hereby specify
         the provisions of the Original Pledge of Shares, as so amended, in
         restated form as set out in the Schedule hereto;

(H)      The amendments to the Original Pledge of Shares to be made pursuant to
         this Agreement shall be effective from the Effective Date (as defined
         below) and the Original Pledge of Shares remains in full force and
         effect except, from the Effective Date, as amended pursuant to this
         Agreement.

IT IS AGREED as follows:

1.       INTERPRETATION

1.1      DEFINITIONS

         In this Amendment Agreement, unless the contrary intention appears or
         the context otherwise requires:

         "AMENDED AND RESTATED PLEDGE OF SHARES"

         means the Original Pledge of Shares, as amended and restated by this
         Amendment Agreement, in the form of Schedule 1 (Restated Pledge of
         Shares).

         "EBRD CREDIT AGREEMENT AMENDMENT AGREEMENT"

         means the agreement dated 23rd September, 2002 between the Company and
         EBRD pursuant to which the Company and EBRD have agreed to amend and
         restate the EBRD Credit Agreement.

         "EFFECTIVE DATE"

         has the meaning given to it in the EBRD Credit Agreement Amendment
         Agreement.

         "PARTIES"

         means the parties to this Amendment Agreement and "PARTY" means a party
         to this Amendment Agreement.

1.2      INTERPRETATION

         Unless otherwise defined in this Amendment Agreement, capitalised terms
         used in this Amendment Agreement shall have the meaning given to them
         in the Amended and Restated EBRD Credit Agreement.

1.3      INCORPORATION

         The provisions of Clause 1.3 (Construction), Clause 13 (Miscellaneous),
         Clause 14 (Notices), Clause 15 (Counterparts), Clause 17 (Governing Law
         and Dispute Resolution) other than

<PAGE>
                                       3

         subclause (c) thereof and Clause 19 (Severability) of the Original
         Pledge of Shares shall apply to this Amendment Agreement as if the same
         had been set out in full herein.

2.       AMENDMENT, CONFIRMATION AND DESIGNATION

2.1      EFFECTIVE DATE

         With effect on and from the Effective Date, the Original Pledge of
         Shares shall be deemed to be amended such that the provisions of the
         Original Pledge of Shares, as so amended, will be as set forth in the
         Schedule to this Agreement.

2.2      DESIGNATION

         The Parties hereby confirm that this Amendment Agreement and the
         Amended and Restated Pledge of Shares shall each constitute a Financing
         Agreement for the purposes of the Amended and Restated EBRD Credit
         Agreement.

3.       REPRESENTATIONS AND WARRANTIES

         The Pledgor makes the following representations and warranties to EBRD:

         (a)      It has the power to enter into and perform, and has taken all
                  necessary action to authorise the entry into, performance and
                  delivery of, this Amendment Agreement and the transactions
                  contemplated hereby.

         (b)      This Amendment Agreement constitutes its legal, valid and
                  binding obligation enforceable in accordance with its terms.

         (c)      The entry into and performance by it of, and the transactions
                  contemplated by, this Amendment Agreement do not:

                  (i)      conflict with any law or regulation or judicial or
                           official order applicable to it; or

                  (ii)     conflict with the constitutional documents of it; or

                  (iii)    conflict with any document which is binding on it.

         (d)      All material authorisations required in connection with the
                  entry into, performance, validity and enforceability of and
                  the transactions contemplated by this Amendment Agreement have
                  been obtained or effected (as appropriate) and are in full
                  force and effect.

         (e)      The Pledgor shall also be deemed to make the representations
                  and warranties in the same terms as set out in Clause 4 of the
                  text of the Amended and Restated Pledge of Shares appended in
                  the Schedule hereto on the date of this Amendment Agreement
                  and on the Effective Date.

         (f)      The Pledgor acknowledges that it has made the representations
                  and warranties contained in paragraphs (a)-(e) of this Clause
                  3 above with the intention of inducing the EBRD to enter into
                  this Amendment Agreement and that EBRD has entered into this
                  Amendment Agreement on the basis of, and in full reliance on,
                  each of such

<PAGE>
                                       4

                  representations and warranties. The Pledgor warrants to EBRD
                  that each of such representations and warranties is true and
                  correct and that none of them omits any matter the omission of
                  which makes any of such representations and warranties
                  misleading.

4.       GOVERNING LAW

         This Amendment Agreement is governed by Russian law.

This Amendment Agreement has been entered into on the date stated at the
beginning of this Amendment Agreement.

<PAGE>
                                       5

                                   SCHEDULE 1

                            RESTATED PLEDGE OF SHARES

               AGREEMENT FOR PLEDGE OF SHARES IN LIMITED LIABILITY
                               COMPANY "GEOILBENT"

                              DATED 23RD JUNE, 1997
                 AS AMENDED AND RESTATED ON 30TH SEPTEMBER, 2002

                                     BETWEEN

                         HARVEST NATURAL RESOURCES, INC.

                                       AND

                EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT

                                  ALLEN & OVERY
                                 LEGAL SERVICES
                                     MOSCOW

<PAGE>
                                       6

                                    CONTENTS

<Table>
<Caption>
CLAUSE                                                                                                    PAGE
<S>      <C>                                                                                              <C>
1.       Definitions and Interpretation.......................................................................7
2.       Creation of Share Pledge.............................................................................9
3.       Preservation of Security............................................................................10
4.       Representations, Warranties and Undertakings........................................................11
5.       Documents and Registration..........................................................................13
6.       Powers of Pledgor...................................................................................13
7.       Levy of Execution...................................................................................13
8.       Application of Proceeds.............................................................................15
9.       Expenses and Compensation...........................................................................15
10.      Delegation..........................................................................................15
11.      Release.............................................................................................16
12.      Further Assurance...................................................................................16
13.      Miscellaneous.......................................................................................16
14.      Notices.............................................................................................16
15.      Counterparts........................................................................................17
16.      Waiver; Remedies Cumulative.........................................................................17
17.      Governing Law and Dispute Resolution................................................................17
18.      Successors and Assigns..............................................................................18
19.      Severability........................................................................................18

SCHEDULES

1.       Power of Attorney...................................................................................19
2.       Procedure for the Levy of Execution.................................................................21

SIGNATORIES..................................................................................................23
</Table>

<PAGE>
                                       7

THIS SHARE PLEDGE AGREEMENT is made on 23rd June, 1997 as amended and restated
by the Amendment Agreement dated 30th September, 2002, entered into BETWEEN:

(1)      HARVEST NATURAL RESOURCES, INC., a corporation organised and existing
         under the laws of State of Delaware in the United States of America,
         with its registered office at Corporation Trust Centre, 1209 Orange
         Street, Wilmington, Delaware 19801, County of Newcastle (the
         "PLEDGOR"), represented by Dr. Peter Hill, President and Chief
         Executive Officer; and

(2)      EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT, an international
         finance institution with its headquarters at One Exchange Square,
         London EC2A 2JN, United Kingdom (the "PLEDGEE"),

         (the Pledgor and the Pledgee are hereinafter sometimes together
         referred to as the "PARTIES" and separately as a "PARTY").

RECITALS:

(A)      The Company (as defined below) has entered into the Amended and
         Restated EBRD Credit Agreement (as defined below) with the Pledgee
         under which the Pledgee have agreed to make available to the Company
         revolving credit facilities for the purpose of financing the Project.

(B)      The Pledgor owns a participation interest in the Company, which is
         equal to 34% of the charter capital of the Company with a nominal value
         of 21,405,639 roubles and is named in the Charter (as defined below) as
         the holder of that participation interest of the Company.

(C)      It is a condition precedent to the availability of the revolving credit
         facilities under the Amended and Restated EBRD Credit Agreement that
         the Pledgor enters into this Agreement.

IT IS AGREED as follows:

1.       DEFINITIONS AND INTERPRETATION

1.1      DEFINITIONS

         In this Agreement:

         "CHARTER"

         means the Amended and Restated Charter of the Limited Liability Company
         "Geoilbent" dated 9th January, 2002 (as can be subsequently amended in
         accordance with Russian law).

         "COMPANY"

         means a Limited Liability Company "Geoilbent ", a company duly
         organised and existing under the laws of the Russian Federation. For
         the purposes of Article 55 of the Law on Pledge (as defined below), the
         Company is the debtor of the Pledgor, i.e., bears certain obligations
         vis a vis the Pledgor by virtue of the Pledgor's ownership of the
         Participation Interest (as defined below).

<PAGE>
                                       8

         "CIVIL CODE"

         means Part 1 of the Civil Code of the Russian Federation which came
         into effect on 1st January, 1995, Part 2 of the Civil Code of the
         Russian Federation which came into effect on 1st March, 1996 and Part 3
         of the Civil Code of the Russian Federation which came into effect on
         1st March, 2002.

         "AMENDED AND RESTATED EBRD CREDIT AGREEMENT"

         means the agreement between EBRD and the Company dated 21st November,
         1996, as amended and restated on 23rd September, 2002 by the Amended
         and Restated EBRD Credit Agreement under which the Pledgee agrees to
         make available to the Company a revolving credit facility for the
         purpose of financing the Project.

         "FINANCING COSTS"

         means the aggregate of all interest, fees (including the Pledgee's fees
         and the Pledgee's legal and consultation fees), principal, premia,
         charges, commissions, costs and expenses in each case accrued or
         payable by the Company under the Financing Agreements.

         "GENERAL DIRECTOR"

         has the meaning ascribed to that term in the Charter.

         "GENERAL MEETING OF PARTICIPANTS"

         has the meaning ascribed to that term in the Charter.

         "LAW ON PLEDGE"

         means the Law No. 2872-1 "On Pledge" dated 29th May, 1992 (as amended).

         "PARTICIPANTS"

         has the meaning ascribed to that term in the Charter, and "PARTICIPANT"
         means any one of them.

         "PLEDGED ASSETS"

         means the Shares and all rights, assets or property referred to in
         subclause 2(a) below.

         "SECURED LIABILITIES"

         means all present and future obligations and liabilities (whether
         actual or contingent and whether owed jointly or severally or in any
         other capacity whatsoever) of the Company to the Pledgee under each
         Financing Agreement to which it is a party.

         "SECURITY PERIOD"

         means the period beginning on the date of this Agreement and ending on
         the date when the Pledgee is satisfied that all the Secured Liabilities
         have been unconditionally and irrevocably paid in full.

<PAGE>
                                       9

         "SHARES"

         means 34% of the total participation interests in the Company with a
         nominal value of 21,405,639 Roubles held by the Pledgor.

1.2      INTERPRETATION

         Save as expressly defined herein, capitalised terms defined in the
         Amended and Restated EBRD Credit Agreement shall have the same meanings
         in this Agreement as in the Amended and Restated EBRD Credit Agreement.

1.3      CONSTRUCTION

(a)      Section 1.02 of the Amended and Restated EBRD Credit Agreement shall
         apply to this Agreement as if the same had been set out in full herein.

(b)      All Schedules, supplements and amendments to this Agreement shall form
         an integral part of this Agreement.

(c)      In this Agreement, unless a contrary intention appears, a reference to
         a "certified copy" is a reference to a copy of a document signed by the
         President or such other officer of the Pledgor duly authorised by the
         President with a statement from the President or such other officer
         that the document is a true and complete copy of the original, which
         has not been amended, modified or cancelled and is in full force and
         effect.

2.       CREATION OF SHARE PLEDGE

(a)      The Pledgor pledges, and agrees to pledge to the Pledgee as security
         for the fulfilment of all the Secured Liabilities:

         (i)      the Shares and all rights related to the Shares under Russian
                  law, the Company's constitutional documents and the decisions
                  of the Company's management bodies;

         (ii)     all other securities, rights, assets or property accruing or
                  offered at any time (whether by way of redemption, preference,
                  option rights or otherwise), to or in respect of the Shares or
                  in substitution or exchange for or otherwise derived from the
                  Shares; and

         (iii)    all dividends, interest or other income paid or payable after
                  the date of this Agreement on all or any of the Shares and
                  other securities, rights, assets or property as specified in
                  this clause.

         The Parties agree that the value of the Pledged Assets shall be
         $49,014,762.

(b)      For the purposes of Article 338 of the Civil Code and Article 5 of the
         Law on Pledge the Pledged Assets shall be deemed to remain with the
         Pledgor.

(c)      For the purposes of Article 339 of the Civil Code and Article 10 of the
         Law on Pledge, the aggregate value of the Secured Liabilities shall be
         $65,000,000 of principal together with all Financing Costs and all
         other amounts recoverable under a pledge in accordance with Russian
         legislation.

<PAGE>
                                       10

(d)      The security constituted by this Agreement is a first ranking security.
         Subject to the terms of this Agreement, the Pledgor grants the Pledgee
         the right to levy execution upon the Pledged Assets and receive
         preferential satisfaction from the value of the Pledged Assets before
         other creditors of the Pledgor and other Pledgee and mortgagees of the
         property and/or rights belonging to the Pledgor, subject to the
         requirements of Russian legislation.

(e)      The establishment of the pledge under this Agreement shall be notified
         to the Company by the Pledgor within [5] days from its creation and the
         Pledgor shall procure that the Company shall within seven days of
         receiving notification of the establishment of the pledge notify the
         Pledgee, that it has received notification of the establishment of the
         pledge and that it has received no prior notice of a pledge over the
         Pledged Assets or any part thereof.

(f)      The Pledgor, at its own expense, shall take whatever actions the
         Pledgee may require for establishing or maintaining the pledge created
         by this Agreement and facilitating the exercise of any right, power or
         discretion exercisable by the Pledgee in respect of this Agreement or
         the Pledged Assets.

(g)      The Pledgor shall, at its own expense, register this Agreement at all
         appropriate registries in accordance with all applicable laws of [the
         Pledgor's country of incorporation], for the purpose of perfecting the
         security created under this Agreement.

3.       PRESERVATION OF SECURITY

(a)      The security constituted by this pledge:

         (i)      shall be a continuing security, shall only be satisfied by the
                  satisfaction of the Secured Liabilities in accordance with the
                  Amended and Restated EBRD Credit Agreement and shall not be
                  satisfied by any intermediate payment by the Company to the
                  Pledgee or satisfaction of any part of the Secured
                  Liabilities;

         (ii)     shall be in addition to and shall not be affected by any other
                  security now or subsequently held by the Pledgee for all or
                  any of the Secured Liabilities; and

         (iii)    shall remain in force during any reorganisation, liquidation
                  or insolvency (bankruptcy) of the Pledgor or the Company.

(b)      The obligations of the Pledgor under the security constituted by this
         Agreement shall not be affected by any act, omission or circumstances
         which, but for this provision, might operate to release or otherwise
         exonerate the Pledgor from its obligations under this Agreement or
         affect such obligations, including (but without limitation) and whether
         or not known to the Pledgor or the Pledgee:

         (i)      any time or indulgence granted to or composition with the
                  Company or any other person;

         (ii)     the variation, extension, compromise, renewal or release of,
                  or refusal or neglect to perfect or enforce, any terms of any
                  of the Financing Agreements or any rights or remedies against,
                  or any security granted by, the Company or any other person;

         (iii)    any irregularity, invalidity or unenforceability of any
                  obligations of the Company under any of the Financing
                  Agreements or any present or future law or order of any
                  government or authority (whether of right or in fact)
                  purporting to reduce or

<PAGE>
                                       11

                  otherwise affect any of such obligations with the result that
                  the Pledgor's obligations under this Agreement and this
                  security shall remain in full force and this Agreement shall
                  be construed accordingly as if there were no such
                  irregularity, unenforceability, invalidity, law or order; or

         (iv)     any legal limitation, disability, incapacity or other
                  circumstances relating to the Company or any other person or
                  any amendment to or variation of the terms of any of the
                  Financing Agreements or any other document or security.

(c)      The Pledgor waives any right it may at any time have or acquire of
         first requiring the Pledgee to proceed against or claim payment from
         the Company or enforce any other security before enforcing this
         Agreement.

(d)      The Pledgor shall not by virtue of any payment made, or security
         realised, hereunder:

         (i)      be entitled or claim to rank as creditor in the bankruptcy,
                  liquidation or dissolution of the Company in competition with
                  the Pledgee; or

         (ii)     receive, claim or have the benefit of any payment or
                  distribution from or on account of the Company or exercise any
                  right of set-off as against the Company or claim the benefit
                  of any security or monies held by or for the account of the
                  Pledgee and the Pledgee shall be entitled to apply such
                  security and monies as it sees fit.

4.       REPRESENTATIONS, WARRANTIES AND UNDERTAKINGS

4.1      SHARES

         The Pledgor represents and warrants that:

         (a)      the Shares are fully paid for;

         (b)      the Pledgor has sole and legally valid title and right of
                  ownership to the Shares and any other Pledged Assets; and

         (c)      the Shares and any other Pledged Assets are free from any Lien
                  other than that created in favour of the Pledgee.

4.2      AUTHORITY AND LEGAL VALIDITY

         The Pledgor represents and warrants and covenants that:

         (a)      the Pledgor has the power to enter into and perform and has
                  taken all necessary action to authorise the entry into and
                  performance and delivery of this Agreement and the
                  transactions contemplated hereby;

         (b)      a resolution of the General Meeting of Participants has
                  approved the pledge of the Pledged Assets in accordance with
                  this Agreement and neither the Company nor its Participants
                  are required to provide any other consent or approval in
                  relation to the pledge of the Pledged Assets under the
                  constitutional documents of the Company or otherwise;

<PAGE>
                                       12

         (c)      the Company's constitutional documents do not contain a
                  prohibition of voting on behalf of the Participant on the
                  basis of the power of attorney or otherwise pursuant to the
                  rights granted to the Pledgee under this Agreement at a
                  General Meeting of Participants nor any other provisions which
                  might adversely affect the execution and performance of this
                  Agreement by it or the enforceability of this Agreement by the
                  Pledgee;

         (d)      there are no agreements, arrangements, provisions,
                  stipulations, conditions, rights or any other circumstances
                  that may in any way adversely affect the Pledged Assets other
                  than the Financing Agreements and the Project Agreements;

         (e)      the Company and the Pledgor have received no notification that
                  any third person contests or claims the ownership rights to
                  the Pledged Assets;

         (f)      the execution and delivery and the performance of this
                  Agreement will not violate any applicable law or regulation,
                  or any order or decree of any court, or any provision of the
                  charter of the Company or the Pledgor, or constitute a default
                  under any agreement or other instrument to which the Company
                  or the Pledgor are parties;

         (g)      the Pledgor will defend the Pledged Assets against all claims
                  and demands of all persons at any time claiming the same or
                  interest therein;

         (h)      the Pledgor shall immediately provide the Pledgee with any
                  information related to the Pledged Assets upon the written
                  request of the Pledgee;

         (i)      the Shares represent and will continue to represent 34 per
                  cent. of the total participation interests of the Company; and

         (j)      the Pledgee shall have the right, at any time when it thinks
                  necessary, to act as a third party in any judicial or
                  arbitration proceeding on any dispute in relation to the
                  Pledged Assets.

4.3      RESTRICTIONS ON DEALING

(a)      The Pledgor shall not without the prior written consent of the Pledgee:

         (i)      except as permitted by the Shareholders Support Agreement,
                  sell, transfer or dispose of or assign, alienate, pledge or
                  otherwise encumber the whole or any part of the Shares of the
                  Company or any other Pledged Assets to or in favour of anyone
                  other than the Pledgee;

         (ii)     take or permit the taking of any action whereby the rights
                  attaching to any of the Pledged Assets are terminated, altered
                  or diluted or any securities are issued by the Company;

         (iii)    make changes or redeem, or permit changes to be made or any
                  redemption to occur, to the charter capital of the Company; or

         (iv)     vote at the General Meeting of Participants with the Shares,
                  give any consent, waiver or ratification in respect thereof or
                  exercise its other rights as a Participant of the Company in
                  any manner so as to authorise any corporate action which would

<PAGE>
                                       13

                  adversely affect, or be prohibited by or contrary to, any of
                  the provisions of any Financing Agreement or Project
                  Agreement.

(b)      Unless the Pledgee otherwise agrees in writing, the Pledgor hereby
         agrees, subject to this Agreement:

         (i)      to retain the legal and beneficial title to all rights, title
                  and right of ownership and interest in the Shares representing
                  34 per cent. of the charter capital of the Company, for so
                  long as the Pledgor and the Company shall have any outstanding
                  obligations under the Financing Agreements or the Shares of
                  the Company owned by the Pledgor remain pledged to the Pledgee
                  pursuant to this Agreement, whichever is longer; and

         (ii)     to exercise its voting rights in any General Meeting of
                  Participants of the Company in such a manner as to cause the
                  Company at all times to comply with all of its obligations
                  under the Financing Agreements and the Project Agreements.

4.4      CO-OPERATION

         The Pledgor shall provide, and shall procure that the Company shall
         provide, all assistance and co-operation as the Pledgee may require in
         order to obtain any necessary consent, approval or other clearance from
         any government body including the Ministry of the Russian Federation on
         Antimonopoly Policy and Support of Entrepreneurship, for the
         implementation of this Agreement, including without limitation, the
         provisions of Clause 7 (Levy of Execution).

5.       DOCUMENTS AND REGISTRATION

         The Pledgor shall:

         (a)      immediately deposit with the Pledgee notarised copies of all
                  documents evidencing its entitlement to the Shares; and

         (b)      immediately on receipt of any document evidencing any
                  entitlement to any further or other Pledged Assets deposit the
                  notarised copy of such document with the Pledgee.

6.       POWERS OF PLEDGOR

         Unless and until an Event of Default or a Potential Event of Default
         occurs:

         (a)      the Pledgor shall be entitled to receive all dividends,
                  interest and income from the Shares; and

         (b)      subject to Clause 4.3, vote the Shares and give consents,
                  waivers and satisfactions in respect thereof and exercise its
                  other rights as a Participant of the Company.

7.       LEVY OF EXECUTION

7.1      LEVY OF EXECUTION

(a)      Subject to sub-clause (e) below, if an Event of Default occurs under
         the Amended and Restated EBRD Credit Agreement the Pledgee shall, in
         accordance with the procedure

<PAGE>
                                       14

         established by Russian law, be entitled to levy execution on the
         Pledged Assets with all powers permitted by law or this Agreement
         including, but without limitation:

         (i)      to sell all or any part of the Pledged Assets in any manner
                  permitted by law upon such terms as the Pledgee shall in their
                  absolute discretion determine in accordance with the
                  procedures established by the Pledgee pursuant to Schedule 2
                  (Procedure for the Levy of Execution); and

         (ii)     to collect, recover or compromise and to give a good discharge
                  for any monies payable to the Pledgor in respect of the
                  Pledged Assets.

(b)      The Pledgee shall not be obliged to sell the Pledged Assets for more
         than the value of the Secured Liabilities specified in subclause 2(c)
         of this Agreement and if no offers are received at that price, may sell
         the Pledged Assets for less.

(c)      If the proceeds of sale of the Pledged Assets are not sufficient to
         discharge the Secured Liabilities in full, the Pledgee shall have the
         right to realise the outstanding amount from any other property of the
         Company.

(d)      If the proceeds from the sale of the Pledged Assets exceed the amount
         of the Secured Liabilities, the difference shall be returned to the
         Pledgor.

(e)      If, at any time before the sale of the Pledged Assets through the
         procedure established by this Agreement and Russian law, the Pledgor
         establishes to the satisfaction of the Pledgee that the Event of
         Default has been remedied, the Pledgee shall terminate any enforcement
         action being taken in accordance with sub-clauses (a) to (d) above and
         the Pledgor shall indemnify and reimburse the Pledgee for any and all
         claims, costs and expenses made against or incurred by the Pledgee as a
         result of taking such enforcement action and as a result of terminating
         such enforcement action.

7.2      POWERS OF THE PLEDGEE

(a)      At any time after the occurrence of an Event of Default or Potential
         Event of Default under the Amended and Restated EBRD Credit Agreement,
         and without any further consent or authority on the part of the
         Pledgor, the Pledgee may exercise instead of the Pledgor at its
         absolute discretion (in the name of the Pledgor) in respect of any of
         the Pledged Assets any voting rights and any other powers or rights
         which may be exercised by the person or persons who is the holder or
         bearer of the Pledged Assets except, in the case of a Potential Event
         of Default, the powers and rights set out in Clause 7.1. If the Pledgee
         take any such action as is referred to in this Clause 7.2 it will give
         notice to the Pledgor as soon as practicable.

(b)      The Pledgor shall prior to the date of the first disbursement under the
         Amended and Restated EBRD Credit Agreement grant the Pledgee a Power of
         Attorney in the form set out in Schedule 1 to exercise the above rights
         of a Participant of the Company and with full powers of substitution.
         The Power of Attorney shall be issued for a period of three years from
         its date of execution and shall be executed by the Pledgor in the
         English language substantially in the form set out in Schedule 1 to
         this Agreement, shall be notarised and apostilled (or legalized) in the
         country of its preparation, after which it shall be translated into the
         Russian language, which translation shall be notarised by a notary
         public in Russia.

(c)      The Pledgor agrees that it shall, no later than three months prior to
         the expiry of the Power of Attorney referred to in paragraph (b) above,
         issue to the Pledgee a replacement power of

<PAGE>
                                       15

         attorney in a form and substance satisfactory to the Pledgee (including
         an obligation to provide a replacement power of attorney on its
         expiry). Failure to do so or the revocation of the Power of Attorney or
         any replacement power of attorney shall, for the purposes of this
         Agreement, be considered as an Event of Default under the Amended and
         Restated EBRD Credit Agreement.

(d)      If the Pledgor refuses to issue the above Power of Attorney or the
         above replacement power of attorney on its expiry, the Pledgor shall
         compensate the Pledgee or any other person appointed by the Pledgee for
         all losses incurred due to such a refusal.

(e)      The Pledgor agrees that the Pledgee shall not incur any liability in
         connection with or arising from the lawful exercise of the Power of
         Attorney or of the rights transferred to the Pledgee pursuant to this
         Clause 7.2.

(f)      The Pledgor hereby undertakes from time to time and at all times to
         compensate the Pledgee against all costs, claims, expenses and
         liabilities howsoever incurred by the Pledgee in connection with the
         Power of Attorney and further undertakes to ratify and confirm
         whatsoever the Pledgee shall lawfully do or cause to be done in or by
         virtue of the Power of Attorney.

8.       APPLICATION OF PROCEEDS

         All monies received by the Pledgee in respect of the Pledged Assets
         after this security has become enforceable shall be applied by the
         Pledgee in or towards payment of the Secured Liabilities in such order
         as the Pledgee sees fit (but without prejudice to the rights of the
         Pledgee to recover any shortfall from the Company).

9.       EXPENSES AND COMPENSATION

(a)      The Pledgor shall compensate the Pledgee, and/or any attorney, manager,
         agent or other person appointed by the Pledgee on demand for all
         charges and expenses (including legal and notarial fees and expenses)
         incurred in the negotiation, preparation, execution and enforcement of
         this Agreement and all waivers, discharges, amendments and other
         documents in connection with it.

(b)      The Pledgor will pay or procure the payment when due of all present and
         future registration fees, stamp duties and other imposts or transaction
         taxes in relation to this Agreement and keep the Pledgee compensated
         against any failure or delay in paying them.

(c)      The Pledgee shall not be liable for any losses arising in connection
         with the lawful exercise or purported exercise of any of its rights,
         powers or discretions under this Agreement.

10.      DELEGATION

(a)      The Pledgee may at any time or times:

         (i)      delegate to any person or persons all or any of its rights,
                  powers and discretions under this Agreement on such terms
                  (including power to subdelegate) as it sees fit; and

         (ii)     employ agents, employees, advisers and others on such terms as
                  the Pledgee sees fit for any of the purposes set out in this
                  Agreement.

<PAGE>
                                       16

(b)      The Pledgee shall not be in any way liable or responsible to the
         Pledgor for any loss or liability arising from any act, default,
         omission or misconduct on the part of any such delegate or sub-delegate
         except where such delegate or sub-delegate acts unlawfully.

11.      RELEASE

         Upon the full payment of all sums which may be or become payable under
         the Financing Agreements and the full performance of the Secured
         Liabilities under such agreements to the Pledgee, the pledge
         constituted by this Agreement shall be terminated and the Pledgee shall
         at the request and expense of the Pledgor forthwith deliver to the
         Pledgor any evidence of such termination and release of the Pledged
         Assets from the pledge, and take such other actions, as the Pledgor may
         require in order to terminate the pledge constituted by this Agreement.

12.      FURTHER ASSURANCE

         The Pledgor shall upon the request of the Pledgee promptly, at its own
         expense, execute and deliver any and all such further instruments and
         documents as the Pledgee may deem desirable for the purpose of
         satisfaction of its claims under this Agreement and Amended and
         Restated EBRD Credit Agreement from the value of the Pledged Assets and
         obtaining the full benefit of this Agreement and of the rights and
         powers granted under it.

13.      MISCELLANEOUS

         This Agreement and the other Financing Agreements shall contain the
         entire agreement between the Pledgee and the Pledgor with respect to
         the subject matter hereof. It supersedes all previous agreements and
         understandings between the Pledgee and the Pledgor with respect thereto
         and may not be modified except by an instrument in writing signed by
         the duly authorised representative of the Pledgee and the Pledgor.

14.      NOTICES

         Any notice or other communication to be given or made under this
         Agreement to the Pledgor or the Pledgee shall be in writing. Such
         notice or other communication shall be deemed to have been duly given
         or made when it shall be delivered by hand, airmail, telex or telefax
         to the party to which it is required or permitted to be given or made
         at such party's address specified below or at such other address as
         such party shall have designated by notice to the party giving or
         making such notice or other communication.

         PLEDGOR:     Harvest Natural Resources, Inc.
                      15835 Park Ten Place Drive, Suite 115
                      Houston, Texas 77019
                      U.S.A.

                      Attention:       Chief Financial Officer

                      Fax:             (+1) (281) 579 6702

<PAGE>
                                       17

         PLEDGEE:     EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT

                      Attention:       Operation Administration Unit
                                       One Exchange Square
                                       London EC2A 2JN
                                       United Kingdom

                      Telex:           881 2161 EBRD LG
                      Fax:             (+44) (207) 338 6100

15.      COUNTERPARTS

         This Agreement may be executed in any number of counterparts in the
         English language each of which shall be deemed an original, but all of
         which together shall constitute one and the same agreement.

16.      WAIVER; REMEDIES CUMULATIVE

         The rights of each party under this Agreement:

         (a)      are cumulative and not exclusive of its rights under the
                  applicable law; and

         (b)      may be waived only in writing and specifically.

         Delay in exercising or non-exercise of any such right is not a waiver
         of that right.

17.      GOVERNING LAW AND DISPUTE RESOLUTION

(a)      Any dispute, controversy or claim arising out of or relating to this
         Agreement, or the breach, termination or invalidity thereof, shall be
         settled by arbitration in accordance with the UNCITRAL Arbitration
         Rules as at present in force. There shall be one arbitrator, and the
         appointing authority shall be the London Court of International
         Arbitration. Where the UNCITRAL Arbitration Rules do not provide for a
         particular situation, the arbitral tribunal shall, in its absolute
         discretion, determine what course of action should be followed and the
         arbitral tribunal's decision shall be final. The place of arbitration
         shall be London, England, and the English language shall be used
         throughout the arbitral proceedings. Except as provided in subclause
         (b) of this Clause the parties waive their rights to any form of appeal
         or recourse from such arbitral proceedings to a court of law or other
         judicial authority. The arbitral tribunal shall not be authorised to
         take or provide, and the Pledgor shall not be authorised to seek from
         any judicial authority, any interim measures of protection or any
         pre-award relief against the Pledgee, any provisions of the UNCITRAL
         Arbitration Rules notwithstanding. The arbitral tribunal shall have
         authority to consider and include in any proceeding, decision or award,
         any dispute properly brought before it by the Pledgee (but no other
         party) insofar as such dispute arises out of this Agreement but,
         subject to the foregoing, no other parties or other disputes shall be
         included in, or consolidated with, the arbitral proceedings. In any
         arbitral proceeding, the certificate of the Pledgee as to any amount
         due to the Pledgee under any of the Financing Agreements shall be prima
         facie evidence of such amount.

(b)      Notwithstanding subclause (a) of this Clause, this Agreement, and any
         rights of the Pledgee arising out of or relating to this Agreement may,
         at the option of the Pledgee, be enforced by the Pledgee in the courts
         of the Russian Federation or England or in any other courts having

<PAGE>
                                       18

         jurisdiction. The Pledgor hereby irrevocably submits to the
         jurisdiction of the courts of England with respect to any dispute,
         controversy or claim arising out of or relating to this Agreement, or
         the breach, termination or invalidity hereof. The Pledgor hereby
         irrevocably designates, appoints and empowers Law Debenture Corporate
         Services Limited at its registered office (being 5th floor, 100 Wood
         Street, EC2V 7EX, London, England) to act as its authorised agent to
         receive service of process and any other legal summons in England for
         purposes of any such action or proceeding. The Pledgor hereby
         irrevocably consents to the service of process or any other legal
         summons out of such courts by mailing copies thereof by registered
         airmail postage prepaid to its address specified herein. The Pledgor
         covenants and agrees that, so long as it has any obligations under this
         Agreement, it shall maintain a duly appointed agent to receive service
         of process and any other legal summons in any legal action or
         proceeding brought by the Pledgee in England in respect of this
         Agreement and shall keep the Pledgee advised of the identity and
         location of such agent. Nothing herein shall affect the right of the
         Pledgee to serve process upon the Pledgor in any manner authorised by
         the laws of any relevant jurisdiction.

(c)      This Agreement shall be governed by and construed in accordance with
         the substantive law of the Russian Federation.

(d)      Nothing in this Clause shall be construed as a waiver renunciation or
         other modification of the privileges immunities and exemptions of the
         Pledgee accorded under the Agreement Establishing the European Bank for
         Reconstruction and Development, international convention or any
         applicable laws.

18.      SUCCESSORS AND ASSIGNS

         This Agreement shall bind and inure to the benefit of the respective
         successors and assigns of the parties hereto, except that the Pledgor
         may not assign or otherwise transfer all or any part of its rights or
         obligations under this Agreement without the prior consent of the
         Pledgee.

19.      SEVERABILITY

         If any provision of this Agreement is prohibited or unenforceable in
         any jurisdiction in relation to any party hereto, such a prohibition or
         unenforceability shall not invalidate the remaining provisions hereof
         or affect the validity or enforceability of such provision in any other
         jurisdiction or in relation to any of the other parties hereto.

THIS AGREEMENT has been entered into on the date stated at the beginning of this
Agreement.

<PAGE>
                                       19

                                   SCHEDULE 1

                  TO BE TYPED ON THE LETTERHEAD OF THE COMPANY

                                POWER OF ATTORNEY

This Power of Attorney is issued on [ ] in [ ], by HARVEST NATURAL RESOURCES,
INC. (the "PLEDGOR"), a corporation organised and existing under the laws of
State of Delaware in the United States of America, with its registered office at
Corporation Trust Centre, 1209 Orange Street, Wilmington, Delaware 19801, County
of Newcastle and which is a Participant of Limited Liability Company "Geoilbent"
(the "COMPANY") in favour of the EUROPEAN BANK FOR RECONSTRUCTION AND
DEVELOPMENT (the "PLEDGEE").

This Power of Attorney is granted pursuant to subclause 7.2 (Powers of the
Pledgee) of the agreement for pledge of shares in the Company, dated 23rd June,
1997, as amended and restated on 30th September, 2002 (the "SHARE PLEDGE
AGREEMENT") between the Pledgor and the Pledgee.

1.       Words and expressions defined in the Share Pledge Agreement (and the
         Amended and Restated EBRD Credit Agreement referred to therein) shall
         have the same meaning when used in this Power of Attorney.

2.       The Pledgor hereby grants to the Pledgee this Power of Attorney with
         full power of substitution to exercise in the Pledgor's name all and
         any right which the Pledgor, as a participant of the Company, has or
         might have pursuant to the Company's constitutional documents and
         Russian law.

3.       In particular but without limitation the Pledgee shall have the
         following rights:

         (a)      the right to demand an extraordinary General Meeting of
                  Participants to be convened by the General Director;

         (b)      the right to be informed about each annual and extraordinary
                  General Meeting of Participants called by the General Director
                  and to be present at any General Meeting of Participants;

         (c)      the right to vote by all Shares pledged for the benefit of the
                  Pledgee in such manner as the Pledgee in its absolute
                  discretion sees fit;

         (d)      the right to give any consent or authorisation that is
                  required from a Participant under Russian legislation; and

         (e)      the right to do all acts and things and execute all documents
                  which the Pledgor could itself do in relation to any of the
                  Pledged Assets or in connection with any of the matters
                  provided for in the Share Pledge Agreement.

4.       The Pledgor hereby declares that all and every one of the acts and
         things which shall be lawfully done by the Pledgee for the aforesaid
         purposes should be as good, valid and effectual to all intents and
         purposes whatsoever as if the same had been done by the Pledgor itself.

<PAGE>
                                       20

5.       The Pledgee may delegate to any other person any of the rights granted
         to it under this Power of Attorney.

6.       This Power of Attorney is valid for a period of three years from the
         date of signing and shall expire on [   ].

PLEDGOR

HARVEST NATURAL RESOURCES, INC.

By:

Name:

Title:

[THIS DOCUMENT MUST BE NOTARIZED AND APOSTILLED/LEGALIZED IN THE COUNTRY OF
PREPARATION]

<PAGE>
                                       21

                                   SCHEDULE 2

                       PROCEDURE FOR THE LEVY OF EXECUTION

1.       Subject the Clause 7.1(e) of this Agreement, if an Event of Default
         occurs under the Amended and Restated EBRD Credit Agreement the Pledgee
         shall, in accordance with the procedure established by Russian law, be
         entitled to have its claims satisfied out of the Pledged Assets under
         Clause 7.1 (Levy of Execution) of this Agreement. The Pledgee may
         immediately exercise as the Pledgee sees fit in its absolute discretion
         any and all rights, remedies and powers of enforcement as conferred by
         law.

2.       The claims of the Pledgee may be satisfied through selling the Pledged
         Assets at public auctions organised by the Pledgee or its agent in
         accordance with Russian legislation. In the event that the Pledged
         Assets are not sold at the first such auction (for failure to reach the
         reserve price or otherwise), a second such auction shall be held.

3.       The Pledgee shall be entitled (in such manner as the Pledgee sees fit
         in its absolute discretion) to:

         (a)      determine the date, time and place of the auctioning;

         (b)      establish the procedure for the holding of each public
                  auction;

         (c)      make all arrangements for the holding of each public auction,
                  including, without limitation, such arrangements as the
                  Pledgee consider appropriate for advertising;

         (d)      approve the results of the public auction(s) and notify the
                  Pledgor and any other interested persons of the same;

         (e)      engage an agent to assist the Pledgee in exercising the powers
                  contained in (a) to (d) above and delegate its powers to the
                  agent;

         (f)      engage professional advisers, including valuers, surveyors,
                  engineers, lawyers and accountants in connection with the
                  auction(s) and the exercise of the Pledgee's rights; and

         (g)      to incur and pay costs and expenses of holding the auction(s)
                  and of its agents and advisers engaged pursuant to (e) and (f)
                  above, together with notarisation, registration and other
                  costs and expenses in relation to transfer of title and right
                  of ownership to the Pledged Assets to the purchaser or to
                  itself.

4.       The reserve sale price of the Pledged Assets shall be determined by
         court's decision.

5.       The Pledgee may sell the Pledged Assets for less than the value of the
         Secured Liabilities specified in subclause 2(c) of this Agreement. The
         Pledgee shall not be obliged to delay the auction in order to receive a
         better price.

6.       In addition to repayment of all the Secured Liabilities, the Pledgee
         shall be entitled to deduct from the proceeds of sale of the Pledged
         Assets all costs and expenses of the Pledgee and/or its agent (which
         are additional to the Secured Liabilities including, without
         limitation, all

<PAGE>
                                       22

         costs and expenses pursuant to Clause 3 above) incurred in connection
         with this Agreement and the auction(s).

7.       All proceeds from the sale of the Pledged Assets (after deduction of
         costs and expenses pursuant to Clause 6 (above) shall be applied
         towards the repayment of the Secured Liabilities.

8.       The Pledgee shall be entitled on their own behalf as agent for and on
         behalf of the Pledgor to transfer good title and right of ownership to
         the Pledged Assets to a purchaser free and clear of all rights and
         interests of the Pledgee and the Pledgor, and to give good discharge to
         the purchaser for payment of the purchase price, and the signature of
         an officer of the Pledgee shall suffice for such purposes.

9.       If the proceeds from the sale of the Pledged Assets are insufficient to
         repay the Secured Liabilities, the Pledgee shall have the right to
         receive the outstanding amount out of any other property of the
         Company.

10.      The Pledgee shall be entitled to proceed with the second public auction
         if the reserve price set for the first public auction is not reached or
         payment of the price for the Pledged Assets is not received in full by
         the Pledgee within 5 days from the date of the first public auction or
         the Pledgee otherwise (in their absolute discretion) consider the first
         public auction to have been unsatisfactory.

11.      If the reserve price set for the second public auction is not reached
         or payment of the price of the Pledged Assets is not received in full
         by the Pledgee within 5 days from the date of the second public auction
         or the Pledgee otherwise (in their absolute discretion) consider the
         second public auction to have been unsatisfactory, the Pledgee shall be
         entitled, by notice to the Pledgor in writing to declare the public
         auction to have been unsuccessful and to assume ownership of the
         Pledged Assets and upon service of the notice shall have good title and
         right of ownership to the Pledged Assets free and clear of all rights
         and interests of the Pledgor without any other additional agreements.

12.      The Pledgor shall provide, and shall procure that the Company shall
         provide, all assistance and co-operation as the Pledgee may require in
         order to obtain any necessary consent, approval or other clearance from
         any government body including the Ministry of the Russian Federation on
         Antimonopoly Policy and Support of Entrepreneurship, for the transfer
         of good title and right of ownership to the Pledged Assets to a
         purchaser upon the result of the first or second public auctions.

13.      All costs and expenses incurred by the Pledgee and/or their agent
         (including, without limitation, all costs and expenses pursuant to
         Clause 3 above) in connection with this Agreement, the auction(s) which
         are not recovered from the sale proceeds of the Pledged Assets shall be
         reimbursed by the Pledgor together with all other claims by the Pledgee
         secured by this Agreement.

<PAGE>
                                       23

                                  SIGNATORIES

PLEDGOR

HARVEST NATURAL RESOURCES, INC.

By:
    ---------------------------------
Name:

Title:

PLEDGEE

EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT

By:
    ---------------------------------
Name:

Title:

<PAGE>
                                       24

                                   SIGNATORIES

PLEDGOR

HARVEST NATURAL RESOURCES, INC.

By:
    ---------------------------------
Name:

Title:

EBRD

EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT

By:
    ---------------------------------
Name:

Title:

IMB

INTERNATIONAL MOSCOW BANK

By:
    ---------------------------------
Name:

Title:

<PAGE>

                               AMENDMENT AGREEMENT

                           DATED 30TH SEPTEMBER, 2002

                                      AMONG

                         HARVEST NATURAL RESOURCES, INC.

                                       AND

                                EUROPEAN BANK FOR
                         RECONSTRUCTION AND DEVELOPMENT

                                       AND

                            INTERNATIONAL MOSCOW BANK

                             AMENDING AND RESTATING
                       THE AGREEMENT FOR PLEDGE OF SHARES
                    IN LIMITED LIABILITY COMPANY "GEOILBENT "
                              DATED 23RD JUNE, 1997

                                  ALLEN & OVERY
                                 LEGAL SERVICES
                                     MOSCOW

<PAGE>

                                    CONTENTS

<Table>
<Caption>
CLAUSE                                                                                                    PAGE
<S>      <C>                                                                                              <C>
1.       Interpretation.......................................................................................2
2.       Amendment, Confirmation and Designation..............................................................3
3.       Representations and Warranties ......................................................................3
4.       Governing Law........................................................................................4

SCHEDULE

1.       Restated Pledge of Shares............................................................................5

SIGNATORIES..................................................................................................24
</Table>

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00044-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00044-of-00352.parquet"}]]