Skip to main content Wells Fargo Securities Energy Symposium – Murphy Oil Corp Investor Presentation | Shale Experts
Loading...
Pm

Wells Fargo Securities Energy Symposium – Murphy Oil Corp

Murphy Oil Corp · Dec 9, 2015 · 26 slides

Investor presentation from the Shale Experts oil & gas presentation and slide database. Every page is imaged and its text indexed for search across operators, plays, basins and time.

Slides

  1. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 1
    WELLS FARGO SECURITIES 14TH ANNUAL ENERGY SYMPOSIUM DECEMBER 9, 2015 ROGER JENKINS PRESIDENT & CHIEF EXECUTIVE OFFICER MURPHY OIL CORPORATION www.m urp h yo i lc o rp.c om NYSE: MUR 1
  2. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 2
    Agenda Company Highlights Positioned for Lower, Longer Prices Adding Balance with NA Onshore Project Update Takeaways MURPHY OIL CORPORATION www.m urp h yo i lc o rp.c om NYSE: MUR 3
  3. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 3
    2015 Highlights Financial Well-Positioned Maintained CAPEX 2.3 BN Reduced LOE /boe by 19% Y-O-Y; Reduced G&A by 12% Y-O-Y BALANCE SHEET FLEXIBILITY CAPITAL DISCIPLINE Hedged 20,000 bopd WTI 52.01 for FY 16 Hedged 59 MMcfd AECO…
  4. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 4
    Continued Shareholder Focus Regular Dividends* (/share) 1.60 1.40 1.20 1.40 Committed to the Dividend 1.00 12% CAGR Last 10 Years 0.80 Current Dividend 1.40/share Annualized 0.60 0.40 5.0% Yield at Current Share Price 0.20 0.00 2004…
  5. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 5
    Strong Balance Sheet Provides Advantages in Downturn 3Q 15 Net Debt / Adj. EBITDA (Trailing 12-months) 4x Maintained Investment Grade BBB Bond Rating 3x 1.0 BN Available Under Current Bank Revolver Average = 2.1x 2x Over 1.2 BN…
  6. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 6
    Continued Cost Focus Lease Operating Expense* /boe Focusing on Cost Reductions 15 Reduced LOE by 23% Q-O-Q 14.61 Reduced EFS LOE to 8.10/boe - 2 Reduction from 2Q 15 13 G&A Estimated Reduction Range of 35 - 55 MM Y-O-Y 11 23%…
  7. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 7
    NORTH AMERICA ONSHORE MURPHY OIL CORPORATION www.m urp h yo i lc o rp.c om NYSE: MUR 8
  8. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 8
    Onshore Canada - Montney Montney 9 New Wells Online to Date AECO Hedges New Completions Adding Upside with EURs 10-15 BCF 2015: 65 MMCFD C 4.13/MCF (AECO) Moved to 180T Fracs - Seeing Positive Performance 2016: 59 MMCFD C 3.19/MCF…
  9. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 9
    Onshore Eagle Ford Shale Running Room 688 Operated Wells Drilled to Date Remaining Resource Potential 800+ MMboe 2,055 per Acre: Early Entrant Price Advantaged Near GOM 45 API Gravity; Oil-Weighted 77% Oil WTI Hedges 4Q 15:…
  10. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 10
    EFS Maximizing Value per Acre 700 EUR, Mboe 600 +21% +164% Continuous Well Performance Improvement 500 +7% Drilling Tighter Spacing & Longer Laterals 400 leading to EUR Improvement 300 569 555 Increasing Sand Placement (1800…
  11. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 11
    Austin Chalk Upside Appraisal in Karnes Stacked Pay Potential Over EFS JOG Unit A 1H on Production at 1,500 boepd Expected EUR Above Type Curve: 570 Mboe Drilled, Cored & Logged Pilot Preliminary Net Resource & Locations 30 MMboe…
  12. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 12
    GLOBAL OFFSHORE MURPHY OIL CORPORATION www.m urp h yo i lc o rp.c om NYSE: MUR 13
  13. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 13
    Offshore Operations Malaysia Sarawak SK Gas QTD Record Gross Production of 298 MMcfd SK-314A Successfully Drilled Merapuh-5 and Marakas Wells Kakap-Gumusut Production Exceeding Forecast Started Gas Injection Malaysia Brunei…
  14. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 14
    Offshore Vietnam Su Tu Den Blk. Ruby / Topaz Blk. 400 MMBOE 130 MMBOE Lac Da Vang Blk. 15-1/05 Rang Dong Blk. Cuu Long Basin 260 MMBOE New Focus Area Thailand Laos 144 Bach Ho / Rong Blk. Signed Farm-in Agreement Te Giac…
  15. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 15
    Takeaways 1 Preserving Strong Balance Sheet 2 Continuing Cost Reduction Focus 3 Eagle Ford Shale a Legacy Asset 4 Gaining Efficiencies in Offshore & Onshore 5 Balanced Production Between Onshore/Offshore 6 Outstanding…
  16. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 16
    2015 2016 Hedging Positions Volumes Price Area Commodity Type (bbl/d) (USD/bbl) Start Date End Date United States WTI Fixed price derivative swap 15,000 63.30 10/01/2015 12/31/2015 United States WTI Fixed price derivative swap…
  17. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 17
    Flexible Bond Maturity Profile Debt Balance MM 1,500 Current Maturity Profile* Total Bonds 2,250.0 1,250 Outstanding MM Weighted Avg Fixed 4.07% 1,000 Coupon Weighted Avg Maturity May 2025 750 Date 500 Weighted Avg Years to 9.7…
  18. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 18
    Low Average Cost of Debt E&P Sector Weighted Average Years to Maturity & Weighted Average Fixed Coupon 20 7.00% 18 18.2 Murphy 6.00% 16 4.07% 15.9 14 15.1 5.00% 14.3 14 12 4.00% 11.8 10 10.6 10 9.8 9.8 3.00% 8 8.7 7.8 7.5 7.2…
  19. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 19
    2015 Plan 2015 Total Capex, 2.3 Billion 45% NA Onshore 2015 CAPEX Global Offshore 5% Total Capex 2.3 BN 8% 55% 34% Reduction from 2014 Pro forma* EFS 83% Development 11% 38% Montney 16% Exploration Seal/Syncrude GOM/E Canada…
  20. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 20
    Production Growth Net Production, MBOEPD 230 Malaysia 26 Sell-Down Guidance 210 205 - 209 Production 206 207 17% Growth 2012 to 2014 200 Predictable EFS 190 194 New Offshore Projects Malaysia & GOM Balanced NA Onshore at 50%…
  21. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 21
    Price Diversity Brent LLS Weighted 3Q 2015 Production Base Brent WTI Spread 70 65 60% 35% 23% 21% Oil 60 Gas /BBL 55 5% Brent 1% LLS* 50 11% WTI 31% Oil-Indexed Gas 8% Block K Gas 45 5% GOM Gas NGL NA Onshore…
  22. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 22
    Eagle Ford Shale - Running Room N TILDEN 144 Wells Planned for 2015 TILDEN 800+ MMBOE KARNES Proved & Net CATARINA Recoverable Resource 2,055 per Acre 0 10 mi Early Entrant Lower EFS Op & Lower EFS Spacing Proved Offset…
  23. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 23
    Offshore Gulf of Mexico Murphy Leasehold Murphy HBP Murphy Facility Dalmatian So. 2 Dalmatian So. 2 70% W.I. (Operator) Kodiak Expanding Dalmatian Infrastructure Thunder Spud 3Q 15; 1st Oil 4Q 15 Medusa Hawk Break-Even Flat…
  24. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 24
    Volume and Value Proved Reserves % Weighting by Product Proved Reserves High Value per BOE vs. R/P Ratio 100% 14 13 MUR APA 80% R/P Ratio Weighting (%) Reserve Value per BOE of Proved Reserves (PV10% AT, /BOE) 12 HES 60% 11…
  25. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 25
    Sorted by % Proved Oil Reserves 25 90% Oil Block H Gas SK Gas NGLs Gas PD =60% 80%…
  26. Wells Fargo Securities Energy Symposium – Murphy Oil Corp – slide 26
    R/P Ratio (Years) Low NGL Exposure 25 NGLs 20 15 R/P (Years) 10 5 0 RRC XEC PXD DVN EOG NFX APC WLL MRO COP HES APA NBL CHK SWN MUR COG Source: 2014 10-K reports, Bloomberg MURPHY OIL CORPORATION www.m urp…

From the store

Browse maps, data & reports in the Shale Experts store