Based on the observation of outcrops and cores, through the integrated investigation such as rock thin section microscopic identification, scanning electron microscope and reservoir property, the characteristics of lithology and physical properties and reservoir heterogeneity are studied in detail. The results show that H1 oil measures are dominated by light grey fine sandstone, then the medium sandstone and the siltstone. The reservoir displays a strong heterogeneity according to the analysis of core data, logging data and sedimentary microfacies and through computing the differences, variation coefficient and mutation coefficient of permeability. The internal structural characteristics and reservoir heterogeneity are controlled by sedimentary environment, grain size, interstitial material and sedimentary facies, and then the development and distribution of reservoir are affected.