Gotta say ya got me stumped there mate.
I'm pretty damn sure the merv knows all about the cycle, the oracle's involvement (remember our discussion on a possible reason for resentment here), the whole shindig.
But aye, he does certainly seem to want to upset the cycle now doesn't he? What with his wanting to kill the oracle (integral to the awakening of the one afterall) and his imprisonment and showdowns with neo.
Perhaps he had his own plans for facilitating the needs of the one? That he wished to bribe the machines with for more power?
Ironically he if was wanting to mess up the cycle then his end goal wasn't too much different than the oracles, same objective, different paths, heh.

