JPMorgan - KASE

Unless otherwise indicated, all references in this offering memorandum to our proved reserves are
presented net of royalty payments, and all references to our production reflect our total interest
production without taking into account royalty payments. Our royalty obligations are reflected as
“Royalties” in our consolidated statements of income. In addition, except as otherwise indicated, all
evaluations relating to our crude oil and natural gas reserves are based upon escalating price
assumptions, which assume, among other things, price forecasts, political and economic stability in
Kazakhstan and the continuance of current laws and regulations. See the section entitled “Business and
Properties — Oil and Gas Exploration and Development Operations — Estimates of Proved and Proved
Plus Probable Reserves and Present Worth Values” and “Risk Factors — Risk Factors Relating to Our
Industry — Volatility of oil and gas prices could adversely affect our results of operations”.
The discounted present worth values of future net pre-tax cash flows of our proved reserves set
forth in this offering memorandum were calculated using a 10% discount factor. You should
note, however, that the 10% discount factor may not be necessarily the most appropriate
discount factor based on interest rates in effect from time to time and risks associated with the
oil and gas industry. No matter what discount rate is used, discounted present worth value is
materially affected by assumptions as to the amount and timing of future production, which may
and often do prove to be inaccurate. See the section entitled “Risk Factors — Risk Factors
Relating to our Industry — The oil and gas reserves data in this offering memorandum are only
estimates, and may prove to be inaccurate”.
The estimated present worth values of net production revenue contained in this offering
memorandum may not be representative of the fair market value of the reserves. Actual
reserves may be greater than or less than the estimates provided herein.
Definitions and Other Matters
Except as otherwise required by the context (including with respect to the “Description of the
Notes”), references in this offering memorandum to “our”, “we” or “us” refer to the combined
business of Hurricane Hydrocarbons Ltd. and all of its subsidiaries, including HKM and HOP.
Bbls, Mbbls and MMbbls means barrels, thousand barrels and million barrels. BOPD means barrels of
oil per day. Mcf, MMcf and Bcf means thousand cubic feet, million cubic feet and billion cubic feet.
MMcfd means millions of cubic feet per day. See “Appendix A: Glossary of Selected Oil and Natural
Gas Terms” for additional information of key oil and gas terms used in this offering memorandum.
Certain Publicly Available Information
Certain statistical data and other information appearing in this document under “The Republic of
Kazakhstan” and “The Oil Industry in Kazakhstan” and have, unless otherwise stated, been
extracted from documents and other publications released by the Statistics Agency of
Kazakhstan, the Ministry of Finance of Kazakhstan, the Ministry of Energy and Mineral Resources
of Kazakhstan, the National Bank of Kazakhstan and other public sources. In the case of the
presented statistical information, similar statistics may be obtainable from other sources,
although the underlying assumptions and methodology, and consequently the resulting data,
may vary from source to source. None of the issuer or the guarantors, nor any of their respective
directors, affiliates, advisers or agents, have made any independent verification of such statistics
or information in connection with this offering, nor can any such person provide any assurance as
to the factual correctness of any such statistics or information. However, the issuer and the
guarantors accept responsibility for accurately extracting and transcribing such statistics and
information from such sources and believe, after due inquiry, that such statistics and information
represent the most current publicly available information and statistics from such sources at and
for the periods with respect to which they have been presented.
Enforceability of Liabilities and Service of Process
Hurricane is incorporated in the province of Alberta, Canada, HKM and HOP are incorporated in
Kazakhstan, and the issuer is incorporated in the Netherlands, and all of their respective assets
and operations are located outside the United States. All of the directors and officers of
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