Skip to main content Scotia Howard Weil Energy Conference – Murphy Oil Corp Investor Presentation | Shale Experts
Loading...
Pm

Scotia Howard Weil Energy Conference – Murphy Oil Corp

Murphy Oil Corp · Mar 25, 2019 · 36 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. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 1
    SCOTIA HOWARD WEIL 2019 ENERGY CONFERENCE MARCH 25, 2019 ROGER W. JENKINS PRESIDENT & CHIEF EXECUTIVE OFFICER
  2. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 2
    Agenda 01 COMPANY UPDATE 02 OFFSHORE UPDATE 03 EXPLORATION UPDATE 04 ONSHORE UPDATE 05 LOOKING AHEAD 06 TAKEAWAYS
  3. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 3
    Accomplishing Our Strategic Objectives Develop DIFFERENTIATED PERSPECTIVES In Underexplored Basins & Plays • Drilled Successful Samurai-2 Sidetrack Increasing Resources • Executed Successful Deep Water Offshore Projects • Grew…
  4. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 4
    Sale of Murphy’s Malaysian Business for $2.127 BN All-Cash Positive Outcomes for Murphy • Further Benefit Shareholders with Share Repurchase & Debt Reduction • Simplifying Portfolio with Strategic Exit from Malaysia • Enhancing Focus…
  5. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 5
    Expected Use of Proceeds $500 MM Share Repurchase Authorization $750 MM Cash on Balance Sheet • Potential Oil-Weighted Acquisition • Accretive Deep Water/US Onshore Opportunities Returning Immediate Value Delivering Dividends &…
  6. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 6
    Cash Balance With Use of Proceeds Jan 01 2019 Cash Balance CF > CAPEX Before Dividend $387 MM Debt Reduction $750 MM Share Repurchase Auth. $500 MM > $1.5 BN Dividends $780 MM Cash to Balance Sheet ~$750 MM Cash In…
  7. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 7
    History of Benefitting Shareholders 0% 1% 2% 3% 4% MUR Source: Bloomberg, Close Price as of March 12, 2019 Peer Group: APA, APC, CHK, COG, CNX, DVN, ECA, HES, MRO, MTDR, NBL, NFX, RRC, SM, SWN, WLL, XEC 0% 10% 20% 30% 40%…
  8. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 8
    OFFSHORE PORTFOLIO REVIEW
  9. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 9
    Executing in Global Offshore Vietnam Block 15-01/05, LDV Field • Progressing Field Development Plan, Development Team in Place • Received Declaration of Commerciality 1Q 19 2019 Plan – US Gulf of Mexico • $140 MM CAPEX in 2019 for…
  10. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 10
    EXPLORATION UPDATE
  11. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 11
    Vietnam Exploration & Upside Cuu Long Basin – LDT-1X Exploration Well • Murphy 40% WI (Op), PVEP 35%, SKI 25% • Spud Date 1Q 19 • Gross Resource Potential – 30 MMBOE (Mean) to 250 MMBOE Upside • Test Depth of “G” Sequence • Deeper…
  12. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 12
    Offshore Mexico Exploration & Upside Block 5 Prospects Chol Block 5 • Murphy 30% WI (Op), PETRONAS 22.3%, Ophir 22.3% & Sierra Oil & Gas 22.3% • Equivalent to ~100 Gulf of Mexico Blocks • Reviewing Newly Processed Wide Azimuth…
  13. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 13
    US Gulf of Mexico Exploration & Upside Hoffe Park (MC 165) • Murphy 50% WI, Operator • Middle Miocene • Expected Spud 3Q 19 • Net Mean Resource Potential – 30 MMBOE to 48 MMBOE (Upside) • Multiple Nearby Tieback Opportunities • Net…
  14. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 14
    Brazil Exploration Update Renewed Exploration Portfolio with Low-Cost Entry & Long-Term Opportunities in Sergipe-Alagoas Basin • Murphy 20% (Non-Op), ExxonMobil 50% (Op), QGEP 30% • 6 Blocks, ~1.1 MM Acres • Progressing In-House…
  15. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 15
    Leading Offshore Drilling Execution 0 10 20 30 40 50 60 70 80 90 Drilling Days / 10,000 ft Global Exploration/Appraisal Wells 2008 – 2018 > 1,500 ft Water Depth US Gulf of Mexico Deep Water Drilling Days vs Total Depth…
  16. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 16
    ONSHORE ONSHORE PORTFOLIO UPDATE
  17. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 17
    Increasing Low Break-Even Locations for High Return Growth Over 60% Onshore Oil-Weighted Locations Break-Even < $45/BBL Eagle Ford Shale • ~60% of Remaining Locations with Break-Even of < $45/BBL Kaybob Duvernay • All Remaining…
  18. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 18
    Developing De-Risked Acreage in Eagle Ford • Acreage Completely De-Risked by Industry • > 80% of Remaining Locations Could be Characterized as PUD* • Successfully De-Risked Upper Eagle Ford Shale Co-Development with ~50 Wells • ~20…
  19. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 19
    2019 Plan • Operated Well Delivery – 90 Wells Online FY 2019 • ~$600 MM CAPEX Significant Development Across ~125,000 Net Acres • Conservative Inter-Well Spacing • Type Curves Account for Parent/Child Relationship • Completion Designs…
  20. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 20
    Delivering Low Cost Production in Tupper Montney *C$0.27 Transportation Cost to AECO Not Subtracted Successful AECO Price Mitigation • Realized 4Q 18 C$2.86/MCF* vs AECO Realized Avg of C$1.78/MCF • Realized FY 18 C$2.39/MCF* vs AECO…
  21. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 21
    Retaining Our Position in Proven Kaybob Duvernay Kaybob North MUR 165 Locations H H H H H H H H H H H H H H H H H H H H H HH HH HH H H H H HH H H H H H H H H H HH H H H H HH HH H H H HH…
  22. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 22
    LOOKING AHEAD
  23. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 23
    Long-Term Plan Post-Malaysia Asset Sale 2019 – 2023 Production Growth *$55/BBL WTI 2019 – 2023 Maintain > 65% Liquids Production Weighting • Production CAGR ~8% & Oil Production CAGR ~8% US Onshore – Focused on Oil-Weighted Growth •…
  24. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 24
    Continuing the Legacy of Rewarding Shareholders Spending Within Our Means & Maintaining Strong Free Cash Flow Yield Enhancing Financial Flexibility & Strengthening Balance Sheet Simplifying Portfolio With Strategic Exit From Malaysia…
  25. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 25
    APPENDIX
  26. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 26
    2019 Hedging Positions Area Commodity Type Volumes (MMCFD) Price (MCF) Start Date End Date Montney Natural Gas Fixed Price Forward Sales at AECO 59 C$2.81 1/1/2019 12/31/2020 Montney Natural Gas Fixed Price Forward Sales at AECO 10…
  27. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 27
    Financial Position as of December 31, 2018 Note Maturity Profile • $2.8 BN Total Notes (Excluding Capital Lease) • Total Liquidity $1.6 BN • ~$390 MM of Cash & Cash Equivalents • $325 MM of Borrowings on $1.6 BN Unsecured Senior…
  28. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 28
    Eagle Ford Shale – Peer Acreage Pioneer EOG EP Energy Murphy Pioneer Encana Marathon ConocoPhillips Lewis/BP Chesapeake Sanchez Carrizo OIL CONDENSATE GAS
  29. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 29
    Eagle Ford Shale – Murphy Spacing vs Peers Murphy BP Chesapeake Conoco Devon Encana EOG Equinor (Statoil) Inpex (Gulftex) Magnolia Marathon Pioneer Sanchez Catarina Typical Murphy Spacing LEFS ~300’ to 600’ Karnes Typical…
  30. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 30
    Growing & De-Risking Kaybob Duvernay Location Pad Wells Window Online ? A 01-12 1 Oil 1Q 2018 ? B 15-16 2 Oil 1Q 2018 ? C 12-29 2 Oil 1Q 2018 ? D 16-03 3 Condensate 1Q 2018 ? E 03-33 4 Oil 2Q 2018 ? F 16-06 2 Oil 3Q 2018 ? G 11-14…
  31. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 31
    Continuing Strong Execution in the Kaybob Duvernay Simonette Cumulative Production Saxon & Kaybob West Cumulative Production Kaybob East & Two Creeks Cumulative Production Kaybob West Cumulative Production Substantial Production…
  32. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 32
    Kaybob Duvernay – 2019 Activity to Date Keyera Simonette Semcams Kaybob 16-25 (1) Jan Frac Feb Prod Simonette Saxon Two Creeks Kaybob North Kaybob East Kaybob West Facility Battery Pipeline Pad Location 16-29 (2) Jan…
  33. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 33
    Kaybob Duvernay – Peer Acreage SAXON Fox Creek KAYBOB WEST KAYBOB EAST ENCANA SHELL CHEVRON PARAMOUNT
  34. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 34
    Placid Montney – Peer Acreage Fox Creek SAXON KAYBOB WEST KAYBOB EAST ENCANA CHEVRON PARAMOUNT XTO DELPHI PLACID CENOVUS 6 Miles RMP CNRL CIOC Condensate Limit SIMONETTE Dry Gas Limit
  35. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 35
    Tupper Montney – Peer Acreage
  36. Scotia Howard Weil Energy Conference – Murphy Oil Corp – slide 36
    Australia Exploration Update Murphy Santos EPP 43 BP EPP 38 BP EPP 37 Statoil EPP 39 Statoil EPP 40 Chevron EPP 44 Chevron EPP 45 Karoon EPP 46 Bight EPP 41 Bight EPP 42 AC/P-21 AC/P-58 AC/P-57 AC/P-59 Jurassic…

From the store

Browse maps, data & reports in the Shale Experts store