diff --git a/dev-vcs/mercurial/mercurial-2.3.bep b/dev-vcs/mercurial/mercurial-2.3.bep
new file mode 100644
index 000000000..3889beedc
--- /dev/null
+++ b/dev-vcs/mercurial/mercurial-2.3.bep
@@ -0,0 +1,30 @@
+DESCRIPTION="Mercurial is a free, distributed source control management tool" 
+HOMEPAGE="http://mercurial.selenic.com/" 
+SRC_URI="http://mercurial.selenic.com/release/mercurial-2.3.tar.gz"
+CHECKSUM_MD5="8d9f776e432239571dfab2b5f88b3675"
+REVISION="1"
+STATUS_HAIKU="stable"
+DEPEND="dev-lang/python >= 2.3"
+BUILD {
+	cd mercurial-2.3
+	python setup.py build --force
+}
+
+INSTALL {
+	cd mercurial-2.3
+	if [ -n "${DESTDIR}" ];then
+		python setup.py install --root="${DESTDIR}" --prefix="$(finddir B_COMMON_DIRECTORY)" --force
+	else
+		python setup.py install --prefix="$(finddir B_COMMON_DIRECTORY)" --force
+	fi
+}
+
+TEST {
+	cd mercurial-2.3/tests
+	shopt -s extglob
+	sed -i 's,/usr/bin/env,/bin/env,' !(blacklists|bundles|gpg|svn)
+	python run-tests.py
+}
+
+LICENSE="GNU GPL v2"
+COPYRIGHT="2005-2012 Matt Mackall et al."
diff --git a/dev-vcs/mercurial/patches/mercurial-2.3.patch b/dev-vcs/mercurial/patches/mercurial-2.3.patch
new file mode 100644
index 000000000..2bca746e2
--- /dev/null
+++ b/dev-vcs/mercurial/patches/mercurial-2.3.patch
@@ -0,0 +1,12 @@
+diff -up mercurial-2.3/mercurial/ui.py.orig mercurial-2.3/mercurial/ui.py
+--- mercurial-2.3/mercurial/ui.py.orig	2012-08-02 00:49:31.022544384 -0600
++++ mercurial-2.3/mercurial/ui.py	2012-08-02 01:06:19.942407680 -0600
+@@ -701,7 +701,7 @@ class ui(object):
+             # avoid confusion.
+             editor = 'E'
+         else:
+-            editor = 'vi'
++            editor = 'nano'
+         return (os.environ.get("HGEDITOR") or
+                 self.config("ui", "editor") or
+                 os.environ.get("VISUAL") or