Q2 2022 Murphy Oil Corp Earnings Call

August 4, 2022

Please press star zero for the operator, I would now like to turn the conference over to Kelly Whitley, Vice President Investor Relations and Communications. Please go ahead.

Good morning, everyone and thank you for joining us on our second quarter earnings call today, joining us is Roger Jenkins, President and Chief Executive Officer, along with Tom <unk> Executive Vice President and Chief Financial Officer, and Eric Hambly Executive Vice President of operations. Please refer to the informational slides we have placed.

On the Investor Relations section of our website as you follow along with our webcast today throughout today's call production numbers reserves and financial amounts are adjusted to exclude noncontrolling interest in the Gulf of Mexico.

Good morning, ladies and gentlemen, and welcome to the Murphy Oil Corporation second quarter 2022 earnings Conference call. If at any time during the call you need assistance. Please press star zero for the operator I would now like to turn the conference over to Kelly Whitley, Vice President Investor Relations and Communications. Please go ahead.

Please keep in mind that some of the comments made during this call will be considered forward looking statements as defined in the private Securities Litigation Reform Act of 1095 as such no assurances can be given that these events will occur or that the projections will be attained a variety of factors exist that may cause actual results to differ.

For further discussion of risk factors see Murphy's 2021 annual report on Form 10-K on file with the SEC Murphy takes no duty to publicly update or revise any forward looking statements I will now turn the call over to Roger Jenkins Roger Thank.

Please refer to the informational slides, we have placed on the Investor Relations section of our website as you follow along with our webcast today throughout today's call production numbers reserves and financial amounts are adjusted to exclude noncontrolling interest in the Gulf of Mexico.

Thank you Kelly and good morning, everyone and thank you for listening to our call today.

On slide two Mercury continues to deliver a strong value proposition our ongoing execution excellence from our three producing areas proves that we are long term sustainable company as we disclosed in our 22 sustainability report released yesterday significant improvements and emissions intensity and water recycling.

Please keep in mind that some of the comments made during this call will be considered forward looking statements as defined in the private Securities Litigation Reform Act of 90 to 95 as such no assurances can be given that these events will occur or that the projections will be attained a variety of factors exist that may cause actual results to differ.

Excuse me our offshore competitive advantages continually reinforced most recently with the achievement of first store ahead of schedule from the <unk> more months MRI and King King's key projects in April we continued to generate strong cash flow with higher oil prices and well performance exceeding expectations as we've been able to incur.

Our shareholder returns through quarterly dividend raises as well as accelerate our debt reduction goals.

Thank you Kelly and good morning, everyone and thank you for listening to our call today.

On slide two Murphy continues to deliver a strong value proposition our ongoing execution excellence from our three producing areas proves that.

On to slide three.

Mercury remains focused in our three strategic priorities of Delever execute and explore in June we continue to advance our delevering plans with redemption of $200 million of our 202024 senior notes subsequent to quarter end when that's an additional $242 million in long term debt reduction which will take.

We are long term sustainable company as we disclosed in our 22 sustainability report released yesterday significant improvements and emissions intensity and water recycling.

Our offshore competitive advantages continually reinforced most recently with the achievement of first all ahead of schedule and likely see more much samurai and King King's key projects in April we continued to generate strong cash flow with higher oil prices and well performance exceeding expectations as we've been able to increase our shareholder return.

The last of our 24 notes along with reducing our maturities these transactions put us well on our way towards accomplishing our $600 million to $650 million debt reduction goal for 2022.

The Mercury team continues to have outstanding execution across all projects. We have now brought online four wells in our seven well khaleesi more months semi field development with the King's key floating production system, achieving 97% uptime.

Through quarterly dividend raises as well as accelerate our debt reduction goals.

On to slide three.

Murphy remains focused in our three strategic priorities of Delever execute and explore in June with continuing to advance our delevering plans with redemption of $200 million of our 202024 senior notes subsequent to quarter end when announced an additional $242 million in long term debt reduction which will take.

The fifth well of the <unk> project is expected to come online imminently.

Additionally.

We're also acquiring high return bolt on working interest in two non operated Gulf of Mexico fields, providing considerable upside to production with several planned development wells.

The last of our 24 notes along with reducing our maturities these transactions put us well on our way towards accomplishing our 600 to 650 million debt reduction goal for 2022.

Looking at our onshore assets recent online wells in the Eagle Ford shale in Tupper, Montney are exceeding production expectations due to enhanced completion designs and longer laterals with average forecast investment recovery, our payback of less than six months.

The Mercury team continues to have outstanding execution across all projects. We have now brought online four wells in our seven well clichy more months' semi field development with the King's key floating production system, achieving 97% uptime.

Our exploration program continues to advance where the drilling permit in hand bird to loom exploration well in Mexico. We are finalizing plans to spud in the fourth quarter of 2022.

The fifth well of the <unk> project is expected to come online imminently. Additionally.

Murphy also recently received offshore operator approval from regulators in Brazil, completing a necessary step in obtaining a partner's working interest and the portico our basin in the Gulf of.

Additionally.

We're also acquiring high return bolt on working interest in two non operated Gulf of Mexico fields, providing considerable upside to production with several planned development wells looking.

<unk>, we're progressing plans for 'twenty three operated exploration program overall.

Overall, our strong execution across our operations as supported ongoing debt reduction, allowing us to fully restore our dividend to <unk> 2020 levels of $1 per share on an annualized basis announced yesterday, representing a 100% increase from the fourth quarter of 2021 further the three components of our <unk>.

Exploration program continues to advance where the drilling permit in hand for to loom exploration well in Mexico. We are finalizing plans to spud in the fourth quarter of 2022.

Strategy together support our new capital allocation framework that we are disclosing here today.

As we target returns to shareholders through repurchases and potential dividend increases tied to debt levels with an ultimate long term debt goal of $1 billion.

Murphy also recently received offshore operator approval from regulators in Brazil, completing a necessary step in obtaining a partner's working interest in the port of Guar basin.

On slide four in the quarter, we produced 164000 barrels equivalent today per day comprised of 62% liquids I'm very pleased to see our production volumes at the high end of guidance as a result of the outperformance in the Gulf of Mexico in Eagle Ford Shale.

The Gulf of Mexico, We're progressing plans for our 'twenty three operate exploration program overall.

Realized prices remained strong this quarter with oil at 109 per barrel once again above WTS prices with Ngls.

At $41 per barrel and natural gas netback to us nearly $4 per thousand cubic feet.

Strategy together support our new capital allocation framework, we are disclosing here today.

On slide five we are excited to have published our 2022 sustainability report yesterday. The team has done an incredible job once again as they work within their teams and roles to improve Murphy's environmental footprint year after year.

As we target returns to shareholders through repurchases and potential dividend increases tied to debt levels with an ultimate long term debt goal of $1 billion.

On slide four.

Currently we have seen considerable improvement in various submissions intensities for 2019 to 2021 with a 20% reduction in greenhouse gas emissions, 28% reduction in methane an incredible 49% reduction in flaring intensity.

In the quarter, we produced 164000 barrels equivalent today per day comprised of 62% liquids very pleased to see our production volumes at the high end of guidance as a result of the outperformance in the Gulf of Mexico, and the Eagle Ford shale.

Our efforts are supported by receiving third party assurance for a second consecutive year and our greenhouse gases scope, one and two data.

Realized prices remained strong this quarter with oil at 109 per barrel once again above <unk> prices.

Ngls.

Their support also focuses on how we positively impact the lives of the people and communities where we work.

At $41 per barrel of natural gas netback to us nearly $4 per thousand cubic feet.

I'll now turn the call over to our CFO Tom morale.

On slide five we are excited to have published our 2022 sustainability report yesterday. The team has done an incredible job once again as they work within their teams enrolls to improve Murphy's environmental footprint, yes per year.

Give a financial update Tom.

Thank you Roger and good morning, everyone.

Turning to slide six in the second quarter, we reported net income of $351 million or $2 23.

Currently we have seen considerable improvement in our various submissions intensities for 2019 to 2021 with a 20% reduction in greenhouse gas emissions, 28% reduction in methane an incredible 49% reduction in flaring intensity.

Net income per diluted share, which is our highest quarterly earnings from continuing operations in nearly a decade.

After tax adjustments included a $70 million noncash mark to market gain on derivatives, and a $25 million noncash mark to market loss on contingent consideration as a result, we reported adjusted net income of $305 million.

Our efforts are supported by receiving third party assurance for a second consecutive year in a greenhouse gas scope, one and two data.

Their support also focus on how we positively impact the lives of the people and communities where we work.

Our $1 93, adjusted net income per diluted share.

Cash from operations, including Noncontrolling interest totaled $621 million for the quarter.

I will now turn the call over to our CFO Tom morale.

Give a financial update Tom.

After accounting for net property additions as well as $47 million for the acquisition of high returning non operated Kodiak working interest we achieved positive adjusted cash flow of $267 million.

Thank you Roger and good morning, everyone.

Turning to slide six in the second quarter, we reported net income of $351 million.

Our $2 23.

Net income per diluted share, which is our highest quarterly earnings from continuing operations in nearly a decade.

Murphy reported accrued capex of $266 million in the second quarter, which excluded noncontrolling interest in the Kodiak acquisition. Additionally, $25 million of contingent consideration payments were associated with achieving first oil at the King's Quay floating production system.

After tax adjustments included a $70 million noncash mark to market gain on derivatives and a <unk> million dollars noncash mark to market loss on contingent consideration as a result, we reported adjusted net income of $305 million or $1 93, adjusted net income per diluted share.

Slide seven.

Our delevering efforts over the past 18 months continue to strengthen the balance sheet during the second quarter, we redeemed another $200 million of our 2024 senior notes, resulting in $2 $3 billion of long term debt outstanding at the end of the quarter as of June 30, we had approximately $430 million of cash and equivalents on hand.

Cash from operations, including Noncontrolling interest totaled $621 million for the quarter.

After accounting for net property additions as well as $47 million for the acquisition of high returning non operating Kodiak working interest we achieved positive adjusted cash flow of $267 million.

Following quarter end, we announced an additional $242 million of debt reduction achieved by the redemption of the remaining $42 million.

2024, senior notes as well as the tender offer of up.

$200 million of senior notes due 2025, 2027% in 2028.

These transactions disclosed through today totaled nearly $450 million in debt reduction this year, putting us substantially closer to achieving our debt reduction goal for the year of $600 million to $650 million.

Slide seven.

With that I'll turn it over to Eric. Thank you Tom and good morning, everyone on slide nine we saw outstanding well performance from the Eagle Ford Shale. This quarter as we produced 36000 barrels of oil equivalent per day with 86% liquids as planned we brought online 17 wells in Karnes and six.

Following quarter end, we announced an additional $242 million of debt reduction achieved by the redemption of the remaining $42 million of 2024 senior notes as well as the tender offer of up to $200 million of senior notes due 2025, 2027% in 2028. These.

Wells in Catarina for a total of 23 operated wells in the quarter last quarter, we disclosed capex revisions in our 2022 program related to revised completion designs and I'm pleased at the great results, we have seen modifying to higher intensity fracs. These.

These transactions disclosed through today totaled nearly $450 million debt reduction this year, putting us substantially closer to achieving our debt reduction goal for the year of $600 million to $650 million.

These wells have exceeded forecast with karnes gross IP 30 rates, averaging 1900 barrels of oil equivalent per day, and Caterina gross IP <unk>, averaging 1100 barrels of oil equivalent per day, and all wells, averaging 93% liquids volumes.

Overall, our 2022 drilling and completion program is forecast to average $5 5 million per well, taking this into account as well as the strong production rates, we predict achieving full investment recovery or payout of three to five months for karnes and six to 11 months and counter arena, assuming an 80.

Wells in Catarina for a total of 23 operated wells in the quarter last quarter, we disclose capex revisions in our 2022 program related to revised completion designs and I'm pleased at the great results, we have seen for modifying to higher intensity fracs.

$5 per barrel of UTI price.

Our 2022 operated program concludes in the third quarter with four Catarina wells two of which will be in the Austin chalk formation and we look forward to reviewing those results slide 10.

And the Tupper Montney Murphy produced 275 million cubic feet per day in the second quarter 15 wells were brought online five of which were slightly ahead of schedule.

The remaining five wells were brought online in July wrapping up the 2022 program and we recently achieved a record high gross production peak of 415 million cubic feet per day across the entire asset.

Our team has done an incredible job this year of managing costs and regulatory challenges and we were able to bring on these wells for an average of $4 8 million per well overall, we are realizing average investment recovery in less than six months, assuming an acre price of $5 50 per million Btu.

$5 per barrel <unk> price.

Our 2022 operated program concludes in the third quarter with four Catarina wells two of which will be in the Austin chalk formation and we look forward to reviewing those results slide 10.

And the Tupper Montney Murphy produced 275 million cubic feet per day in the second quarter 15 wells were brought online five of which were slightly ahead of schedule.

Slide 12.

Our Gulf of Mexico assets continued to be a home run for us, particularly the fields and assets we purchased in 2018 in 2019.

The remaining five wells were brought online in July wrapping up 2022 program and we recently achieved a record high gross production peak of 415 million cubic feet per day across the entire asset.

Murphy produced 70000 barrels of oil equivalent per day in the second quarter with 79% oil volumes approximately 80% of our Gulf of Mexico, a capex budget for the year is dedicated to our major projects that could we see more month samurai and the non operated St. Malo waterflood and we are pleased that they remain on schedule.

The remainder of our capital plan for this asset is dedicated to the development and tie back wells with the operated del mission number one well and two non operated Lucius wells all being drilled this quarter, while our non op Kodiak well is being completed.

Slide 12.

Slide 13 as.

Our Gulf of Mexico assets continued to be a homerun for us, particularly the fields and assets we purchased in 2018 in 2019.

As announced today, we have executed a series of accretive highly economic bolt on transactions in our Gulf of Mexico business at the non operated Kodiak and Lucius fields together, the additional working interest and the three new wells online later this year, an estimated incremental production of approximately 1500 barrels oil equivalent per day.

Murphy produced 70000 barrels of oil equivalent per day in the second quarter was 79% oil volumes approximately 80% of our Gulf of Mexico, a capex budget for the year is dedicated to our major projects that could we see more and more samurai and the non operated St. Malo waterflood and we are pleased that they remain on schedule.

For the annualized full year, 2022, and 4100 barrels of oil equivalent per day estimated for the full year 2023.

The remainder of our capital plan for this asset is dedicated to the development and tie back wells with the operated Dalmatian number one well and two non operated Lucius wells all being drilled this quarter, while our non op Kodiak well is being completed.

Specifically in the second quarter, we closed the acquisition of 11% additional working interest in the Kodiak field for $47 million after closing adjustments with expected investment recovery within one year. We have also signed a purchase and sale agreement to acquire an additional three 4% working interest in the Lucius field <unk>.

Slide 13.

$77 million after estimated closing adjustments with closing expected in the third quarter and forecast full investment recovery within two years.

Following these transactions we have a total working interest of 59, 3% and Kodiak and 16, 1% in Lucius what we like most about these purchases is that they have active opportunities to further increase their value Murphy and partners have recently drilled a successful volatility which is now being completed and we are part of a two well.

For the annualized full year, 2022, and 4100 barrels of oil equivalent per day estimated for the full year 2023.

Graham at Lucius.

As we high grade our portfolio. We also disclosed today the divestiture of our 50% working interest in the operated Thunder Hawk field scheduled to occur in the third quarter Slide 14.

After achieving first oil at the Murphy operated King's key floating production system. In early April we have now brought online a total of four wells in the <unk> see more months Samurai field development project results from these wells continues to be above expectations with current combined gross volume of 70000 barrels of oil per day or 18000 barrels of oil equivalent per day net.

$77 million after estimated closing adjustments with closing expected in the third quarter and forecast full investment recovery within two years.

Following these transactions we have a total working interest of 59, 3% and Kodiak and 16, 1% in Lucius what we like most about these purchases is that they have active opportunities to further increase their value Murphy and partners have recently drilled a successful well at <unk>, which is now being completed and we are part of a two well.

Murphy and approximately 87% oil.

Floating production system continues to achieve significant upturn at 97% the fifth well in the last in the policing more months' yield is anticipated to flow imminently.

Program at Lucius.

As we high grade our portfolio. We also disclose today the divestiture of our 50% working interest in the operated Thunder Hawk field scheduled to occur in the third quarter Slide 14.

Rig will then move to the samurai field to complete the remaining two wells in the seven well.

Ill turn it back to Roger.

Thank you Eric I'll review exploration today on Slide 16 exploration remains the third pillar of our strategy. Our most near term opportunities located offshore Mexico, where we received a drilling per minute finalizing plans to spud the operated <unk> well in the fourth quarter of 'twenty two.

After achieving first oil at the Murphy operated King's key floating production system. In early April we have now brought online a total of four wells in the Khaleesi more months Samurai field development project results from these wells continues to be above expectations with current combined gross volume of 70000 barrels of oil per day or 18000 barrels of oil equivalent per day net.

The net cost to us of approximately $23 million were looking forward to the results of this well which is located on the western side of our block five acreage on.

Murphy and approximately 87% oil.

<unk> production system continues to achieve significant uptime at 97% the fifth well in the last in the Khaleesi more months' yield is anticipated to flow imminently.

On slide 17 in the Gulf of Mexico, we are advancing our exploration portfolio, there and are targeting a two well program in 'twenty three the first plan world as the <unk>, one well, which we operate and hold 50% working interest. This time, we're finalizing the second well with partners with several great choices among our 20 key prosper.

Rig will then move to the samurai field to complete the remaining two wells in the seven well.

Turn it back to Roger.

Thank you Eric I'll review exploration today on Slide 16 exploration remains the third pillar of our strategy.

<unk> in the Gulf.

I was looking at production on slide 19, as announced last quarter, we made several adjustments to enhance our onshore well completion designs, which have been reviewed today I'm pleased to say we have been seeing immediate positive results from that decision and our top tier execution as production has exceeded expectation changed.

Most near term opportunities located offshore Mexico, where we received a drilling per men are finalizing plans to spud the operated <unk> well in the fourth quarter of 'twenty two.

At a net cost to us of approximately $23 million were looking forward to the results of this well which is located on the western side of our block five acreage on.

Teams to elevate our forecast for the year and for the third quarter of 2020 to anticipate production range of 180 to 188000 barrels equivalent per day.

On slide 17 in the Gulf of Mexico, we're advancing our exploration portfolio, there and are targeting a two well program in 'twenty three the first plan world as the <unk>, one well, which we operate and hold 50% working interest. This time, we're finalizing the second well with partners with several great choices among our 20 key prosper.

With 49% oil and 55% liquids. This accounts for nearly 10000 barrels of oil equivalent a day of onshore and offshore downtime as well as 6000 barrels equivalent per day set aside for assume Gulf of Mexico Storm downtime.

<unk> in the Gulf.

I was looking at production on slide 19, as announced last quarter, we made several adjustments to enhance our onshore well completion designs, which have been reviewed today I'm pleased to say we've been seeing immediate positive results from that decision and our top tier execution as production has exceeded expectation changed.

Importantly, due to outstanding you for shale and Gulf of Mexico execution, as well as bolt on acquisitions.

We're increasing our full year 2022 production guidance today to a new range of 168 to 176000 barrels equivalent per day at 52% oil and 58% liquids. This.

Teams to elevate our forecast for the year and for the third quarter of 2022, we anticipate production range of 180 to 188000 barrels equivalent per day.

This represents a new midpoint of 172000 barrels equivalent per day compared to 168000 barrels equivalent per day previously.

On our capital plan on Slide 20, Murphy is maintaining our 2022 capex guidance range at $900 million to $950 million.

Excluding acquisitions and approximately 60% of our spending occurred in the first half of the year in part to support our onshore program is more than 90% of our operated wells are online year to date.

Importantly, due to outstanding Eagle Ford shale and Gulf of Mexico execution, as well as bolt on acquisitions.

We're increasing our full year 2022 production guidance today to a new range of 168 to 176000 barrels equivalent per day at 52% oil and 58% liquids.

Approximately 80% of the offshore Capex is dedicated to major projects in the Gulf.

By maintaining the spending level or increased production volumes and stronger oil prices provide a significant free cash flow to allocate toward our increasing dividend of $1 per share annualized as well as early $450 million in announced debt reduction transactions at this time with further debt reductions planned for the remainder of the year.

Represents a new midpoint of 172000 barrels equivalent per day compared to 168000 barrels equivalent per day previously.

On our capital plan on Slide 20, Murphy is maintaining our 2022 capex guidance range at $900 million to $950 million.

It's really important to us today as slide 21, our new capital allocation framework.

Excluding acquisitions.

To expand on our previously announced 2022 debt reduction goal of $600 million to $650 million. The board of directors has approved a multi tier capital allocation framework, allowing for additional shareholder returns beyond the quarterly base dividend of <unk> 25 per share while advancing toward a long term debt target of 1 billion.

60% of our spending occurred in the first half of the year in part to support our onshore program is more than 90% of our operated wells are online year to date further approximately 80% of the offshore Capex is dedicated to major projects in the Gulf.

Maintaining this spending level or increased production volumes and stronger oil prices provide a significant free cash flow to allocate toward our increasing dividend of $1 per share annualized as well as early $450 million and announced debt reduction transactions at this time with further debt reductions planned for the remainder of the year.

Additionally, the board has authorized an initial 300 million share repurchase program, allowing Murphy to repurchase shares through a variety of methods with no limited time.

Our framework disclosed today is three straightforward levels.

It is based on an adjusted free cash flow metric calculated as cash flow from activities before changes in working capital less capital spending accretive acquisitions, our dividend NCI distributions and other projected payments.

It's real important to us today as slide 21, our new capital allocation framework.

To expand on our previously announced 2022 debt reduction goal of $600 million to $650 million. The board of directors has approved a multi tier capital allocation framework, allowing for additional shareholder returns beyond the quarterly base dividend of <unk> 25 cents per share while advancing toward a long term debt target of 1 billion.

Murphy <unk> is where we stand today with long term debt exceeding $1 8 billion, we will allocate adjusted free cash flow to reducing debt, while maintaining our 25 cent quarterly dividend.

Yeah.

Additionally, the board has authorized an initial 300 million share repurchase program, allowing Murphy to repurchase shares through a variety of methods with no limited time.

Once that is between one and $1 8 billion.

We will be breached Murphy 2.0.

This time, we will adjust to allocating approximately 75% of adjusted free cash flow to debt reduction with the remaining 25% to distribute it to shareholders weighted toward repurchases with potential dividend increases.

Our framework disclosed today is three straightforward levels.

And it's based on an adjusted free cash flow metric calculated as cash flow from activities.

For changes in working capital less capital spending accretive acquisitions, our dividend NCI distributions and other projected payments.

Lastly, we'll achieve Murphy three point out when our long term debt is approximately $1 billion or less a framework shifts at this point is to seek to allocate up to 50% of adjusted free cash flow to our balance sheet.

Murphy, one porno as where we stand today with long term debt exceeding $1 8 billion, we will allocate adjusted free cash flow to reducing debt, while maintaining our 25 cent quarterly dividend.

Meanwhile, a minimum 50% of adjusted free cash flow will be allocated to shareholders through share repurchases and potential dividend increases.

Once that is between one and $1 8 billion and we are will be reached Murphy to point O.

Who are our plan is primarily repurchase shares at various stages of Murphy to point out three ponto at anytime.

This time, we will adjust to allocating approximately 75% of adjusted free cash flow to debt reduction with the remaining 25% distribute it to shareholders weighted toward repurchases with potential dividend increases.

We reserve the right to advance share repurchases should our equity value significantly dislocate from crude oil prices, while our company continues to exhibit outstanding execution.

Slide 22.

Lastly, we'll achieve Murphy three point out when our long term debt is approximately $1 billion or less a framework shifts at this point as to seek to allocate up to 50% of adjusted free cash flow to our balance sheet.

In summary today, our assets continued to perform well with enhanced completions are accretive acquisitions, resulting in fast paybacks higher volumes across all our operations. This leads to additional free cash flow, which allows us to advance our delevering goals are.

While a minimum 50% of adjusted free cash flow will be allocated to shareholders through share repurchases and potential dividend increases.

Our dividend, we're looking forward to the exploration opportunity in offshore Mexico as we drove there later this year as well as progressing our 'twenty three plans in the Gulf most.

Who are off Brian is primarily repurchase shares at various stages of Murphy to point out three ponto at anytime we reserve the right to advance share repurchases should our equity values significantly dislocate from crude oil prices, while our company continues to exhibit outstanding execution.

Most importantly, we were able to disclose an exciting capital allocation framework today as we target returns to shareholders through share repurchases and potential dividend increases that are tied to long term debt levels, while we will be seeking an investment grade credit rating.

In closing today I'd like to thank our employees for their outstanding efforts this past quarter.

Slide 22.

As this success and operational and financial execution.

Now have been possible without their contributions.

With that now I'll turn it over to people on the phone here for the call and I look forward to your questions. This morning.

Thank you.

Our dividend, we're looking forward to the exploration opportunity in offshore Mexico as we drove there later this year as well as progressing our 'twenty three plans in the Gulf.

Ladies and gentlemen, we will now begin the question and answer session. So do you have a question. Please press star followed by the one on your Touchtone phone.

I think telecom technology. Another question. Thank you.

The speaker phone please lift the handset before pressing any Keith.

First question comes from Paul Cheng with Scotiabank. Please go ahead.

Thank you Scott.

In closing today I'd like to thank our employees for their outstanding efforts this past quarter.

I wanted to just.

The first quick one just the Mackenzie.

As this success and operational and financial execution.

That you don't have a lot of that mature. So once you get to $1 8 billion in the.

Now have been possible without their contributions.

With that now I'll turn it over to people on the phone here for the call and I look forward to your questions. This morning.

Gross debt.

If we assume the debt repayment will be followed the maturities schedule or that you're just going to continue to use the tender offer or open market purchases to quickly get to that one partner or below if you have the excess free cash flow.

Thank you.

Ladies and gentlemen, we will now begin the question and answer session. So do you have a question. Please press star followed by the one on your Touchtone phone.

No actually telecom technology everquest. Thank.

And we will have our CFO .

If you are using a speaker phone please lift the handset before pressing any teeth.

CFO , Tom answer that for you Paul.

Hey, Paul Yeah, Thanks for that question.

First question comes from Paul Cheng with Scotiabank. Please go ahead.

A lot of this the timing will depend on the type of price environment that we have and at.

Thank you good morning.

Once you adjust.

At current prices.

First quick one you said Mr. Mckenzie.

It is likely that we would have to tender to get to those longer dated maturities.

That you don't have a lot of that mature. So once you get to $1 8 billion in gross debt.

If things change then.

We'll just have to see what the market offers at the time, but the tender offers what we're thinking.

<unk> assumed the.

Debt repayment will be followed the maturities schedule or that you're just going to continue to use the tender offer or open market purchase to quickly get to that one partner or below you have to access the cash flow.

Okay.

I think what you mentioned that you guys would be seeking full investment grade and what needs to be done in order for you to get there and more comp benefit.

Where we've seen ones that you are investment grade.

And we will have a seat.

CFO , Tom answer that for you Paul.

Okay.

Hey, Paul Yeah, Thanks for that question.

Okay. Good question, Paul Thanks for that so the way we think about it is.

You know a lot of this the timing will depend on the.

We need to.

The type of price environment that we have in it.

Execute on our operations as we have been.

At current prices.

And continue our debt reduction and what we think the benefits are over there is overall lower cost of capital.

It is likely that we would have to tender to get to those longer dated maturities.

If things change then.

Minimizes our requirements to post collateral with Counterparties Theres, a lot of advantages that we see with getting to it.

We'll just have to see what the market offers at the time, but the tinder offered what we're thinking.

Okay.

Mhm.

I think what you had mentioned that you guys will be seeking Poland.

Final question for me.

With the current commodity price.

Great and what needs to be done in order for you to get there and what kind of benefit you.

Outlook.

And then you think of unchanged investment pinned in copper.

Will we see ones that you are investment grade.

As well as the <unk> deal for me.

Thank you.

Okay. Good question, Paul Thanks for that so the way we think about it is.

Thank you for that question Paul right now as we look ahead and capital allocation, we have a plan of maintaining near the levels. We are in the Eagle Ford.

We need to.

Execute on our operations as we have been.

Each year, we have a capital plan to feel our Tupper Montney plant to a 500 million a day gross so from last year to this year to next year, there's no changes in our onshore plan and that's how we're thinking about it now as we.

And continue our debt reduction and what we think the benefits are over there is overall lower cost of capital.

Minimizes our requirements to post collateral with Counterparties. There are a lot of advantages that we see with getting to it.

Mhm.

Final question for me would you with the current commodity price.

Does it in any shape or form change your investment plan in copper.

As well as the Cape bulk deal for me.

The year at a very high rate and continue that owned into next year and we're very excited about getting close to 200000 barrels a day in our business.

Thank you.

Thank you for that question Paul right now as we look ahead and capital allocation, we have a plan of maintaining our near the levels. We are in the Eagle Ford next year, we have a capital plan to feel our Tupper Montney plant to a 500 million a day gross so from last year to this year to next year there is no.

Thank you.

Thank you. The next question comes from Leo Mariani.

Yes.

Please go ahead.

Good morning, Leo How're you doing.

Doing well good morning Roger.

Changes in our onshore plan.

Wanted to hear a little bit more about the acquisition environment in the Gulf of Mexico, Obviously, a couple of small deals that you guys were able to get together here it looks nice.

That's how we're thinking about it now as we.

Continue on with this framework and not focusing on large production increases, but we will have higher production next year as we add on a full year of these Gulf projects, an exit to the year with this guidance, we're providing today Paul we're exiting the year at a very high rate and continue that owned into next year and we're very excited about.

Theres, certainly kind of a handful of bigger deals floating around out there as well can you maybe just talk about kind of what youre seeing in the market and then kind of what Murphy's additional appetite is.

As for Gulf, M&A, and how competitive it is out there.

Getting close to 200000 barrels a day in our business.

Thank you so much for that question Leo Good question, something we do focus on a good bit because we really feel we have a competitive advantage in M&A in the Gulf and we've been in the business. So long and so many partners of so many fields that we have a good bit of data and it gives us a real advantage of analyzing data on occasion, one of the deals today.

Thank you.

Thank you. The next question comes from Leo Mariani.

Yes.

Please go ahead.

Good morning, Leo How're you doing.

I'm doing well good morning Roger.

Wanted to hear a little bit more about the acquisition environment in the Gulf of Mexico, Obviously, a couple of small deals that you guys were able to get together here it looks nice.

It was through a prep right that we were had which is very valuable and another is a purchase of a company strategically wanting to exit the Gulf and International Company, we were able to work with our partnership group and execute them. So we look and know about almost all deals.

I guess theres, certainly kind of a handful of bigger deals floating around out there as well can you maybe just talk about kind of what youre seeing in the market and then kind of what Murphy's additional appetite.

Very enter that business, what we like.

As for Gulf, M&A, and how competitive it is out there.

One Leo as high return accretive below two point EBITDA payout deals that pay out very quickly where we understand the assets and further we like M&A opportunities that have a growth component to it like when we bought more at Kodiak Theres a rig program there today drilled up.

Thank you so much for that question Leo Good question, something we do focus on a good bit because we really feel we have a competitive advantage in M&A in the Gulf and we've been in the business. So long and so many we're partners of so many fields that we have a good bit of data and it gives us a real advantage is analyzing data on occasion, one of the deals today.

Very successful well there were completing that well today with our partner.

It was through a prep right that we were had which is very valuable and another is through a purchase of a company strategically wanting to exit the Gulf and International Company, we were able to work with our partnership group and execute them. So we look and know about almost all deals.

We are able to purchase more of Lucius that's operated by Oxy. After oxy reorganization, they're operating that asset extremely well and there is a two well program there and possibly more so we're looking for things, where we have competitive advantage information a lot of knowledge about it with a good operator.

Very into that business, what we like.

With work to be done as to the other deals that come up when large PDP blowdown large abandonment obligation deals are not our favorite.

And we'll be treating that accordingly.

So that's kind of how we feel about Lee if that answers your question.

Alright, that's helpful for sure.

Just wanted to kind of talk about spending for next year. When you guys. Originally put out the multiyear plan there was a big step down in capital in 2023, I guess earlier on the call. You indicated there was no real change to your onshore plan.

Just wanted to get a sense of these high commodity prices.

We still intend to kind of step to capital down a fair bit in 2023 or are there other maybe projects any offshore they're interested you that Mike.

More capital on a relative basis.

Thanks Sure Leo question anticipated question day, Thanks for asking it in the first quarter on our call we disclosed and we had this capital range of $650 million for 'twenty, three 'twenty, four which youre greatly familiar we did increase debt on that call to near 700 with inflation at that time, So we will still need to recalibrate. These fig.

So some inflation information for 'twenty three that's dependent on several things as I stated earlier this morning.

Our plan to maintain our Eagle Ford and tougher plans at this time, so there's no changes to onshore plan.

Production will be higher due to Gulf wells being online so I need to work inflation and our teams in the middle of that and our final plans.

In the Gulf and as usual, we just really have no plans to disclose our spending until our customary time in January and I'm real pleased with our execution I'm real pleased that our production level I'm real pleased with the Capex, we've been spending in onshore and how we're able to do that and feel well positioned but.

Trying to keep Capex, where it was best we can without inflation is.

Is the main focus today Leah.

Yes.

Okay, and then just on the returns of capital I, just wanted to make sure I sort of understood I know you have these.

It targets to hit here and you are clearly paying off.

No more debt this year and next.

Just to be clear on the debt is that an absolute debt target you want to hit before you get to the kind of.

25% return of capital to shareholders is that more of a net debt target.

Thanks for that clarification Leo Thats very good question no. It's straightforward long term debt, we really don't use the term net debt here, our net debt in those scenarios would be very low but were talking about bonds long term bonds and trying to return capital to shareholders and Thats whats significant about daily.

<unk> return capital to shareholders as we paid down debt and I think prior it was stopped it wouldnt be additional returns to shareholders until we reach that level, but we have a way of returning more along that path today.

We're real excited about that and things can be very positive for our long term investors.

Okay. Thanks, guys.

Hello.

Thank you next question comes from Neal Dingmann at shows Securities. Please go ahead.

Good morning, Roger maybe Colin and good morning.

Thanks for all the details so far in my first question is on shareholder return, maybe looking at it a little bit different I'm. Just wondering could you discuss Roger your view on how you view the value creation as it pertains to rewarded investors with shareholder returns as you suggested going forward versus continued production reserve growth that you all are so great.

Thanks for that question Neal. It's a good question. We believe that we have a company that can be sustainable for a very long time, and a 200000, a day world slightly growing if we want to.

And we believe during that time, we can build we can have incredible balance sheet, which gives us incredible flexibility and de risks our company greatly and return a lot of money to shareholders and also be building cash, which can advance shareholder returns further argues and other needs at that time.

So we're really into into a dividend.

60 year dividend paying company, we've paid $1 6 billion in dividends over the last 10 years. So we see a strong dividend return to shareholders through buyback plan as our basis plan to create shareholder value.

No that makes a lot of sense and my second was on a that asked a little bit diverse of different land offshore I'm just wondering.

Can you talk about.

I know you've got a lot of things going on at Kings cake, you talked about potential. After these wells come on further incremental capacity and then if you also could talk offshore.

Maybe about potential more about more potential Gulf.

Gulf of Mexico, <unk> deals you might be seeing.

I'll handle the M&A piece, then Eric talk about specifics of the operation.

These are incredible deals that we're able to be a part of here. It speaks a lot about our company. It's always an advantage to have request to have a prep right. This was quite an old deal that came about.

Some months ago, when we were able to step in and then another deal with strategic X again by an international player in the strategic exits. These these companies seek an experienced company with long term ability in the Gulf great reputation of the goal great safety, great regulatory great balance.

I know you've got a lot of things going on at King's Quay could you talk about potential. After these wells come on further incremental capacity and then if you also could talk offshore.

Maybe about potential more about more potential Gulf.

Sheet and we've been there since the <unk> and it gives us a big advantage in buying things from people.

Gulf of Mexico, <unk> deals you might be seen up I'll handle the M&A piece, then Eric talk about specifics of the operation.

They will always be deals that come and go we obviously have a very senior and experienced BD team here. We hear about things ahead of time, we know what's going on in the business from 30 to 40 years experience really and puts us well positioned to know what's going on we have a lot of information and we're able to have a.

These are incredible deals that we're able to be a part of here. It speaks a lot about our company. It's always an advantage to have a pressed to have a prep right. This was quite an old deal that came about.

Some months ago, when we were able to step in and then another deal with strategic X again by an international player in in these strategic exits. These these companies seek an experienced company with long term ability in the Gulf great reputation in the Gulf Great safety, great regulatory great balance.

Unique ability to look at deals we pass on lots of them and we take some of them and have a high criteria, because we really want accretive outstanding deals and we've been able to do it and I think we will be able to continue to do it.

And then Eric can talk about King's Quay, yes, okay. Thanks, Neal first of all I just wanted to highlight I think that we're extremely proud of our team's execution on the king's key clue see more months' samurai production, it's really setting us apart in terms of our execution offshore.

Sheet and we've been there since the fifties and it gives us a big advantage in buying things from people.

As we highlighted in our release in our earlier discussion. We're currently producing about 70000 Boe per day from the facility that's on a gross basis.

We will soon start flowing the last well in the <unk> project and that will add significant production as we head toward the end of the year.

We will have a unique ability to look at deals we passed on lots of them and we take some of them and have a high criteria, because we really want accretive outstanding deals and we've been able to do it and I think we'll be able to continue to do it.

We expect to be approaching.

The name plate capacity of King's key facility, which is 85000 barrels of oil per day. So we've been doing some preliminary work on that to figure out what rate, we can achieve possibly beyond name plate capacity and we think if we continue to see outperformance of our wells as we deliver the remaining.

And then Eric can talk about King's Quay, yes, okay. Thanks, Neal first of all I just wanted to highlight I think that we're extremely proud of our team's execution on the King's key colussy more months' samurai production, it's really setting us apart in terms of our execution offshore.

As we highlighted in our release in our earlier discussion. We're currently producing about 70000 Boe per day from the facility. That's on a gross basis. We will soon start flowing the last well in the <unk> project and that will add significant production as we head toward.

Wells in the seven well program, we think we could very easily get to 100000 barrels per day from the facility capacity with minor adjustments to how we operate.

<unk>. So we're pretty excited about our trajectory as we head into the end of the year with the remaining wells to come online there.

At the end of the year.

Certainly it sounds like a lot of upside thanks, guys.

We expect to be approaching.

Thank you Neal Thanks Neal.

Thank you, ladies and gentlemen, as a reminder, should you have any questions. Please press star one.

Next question comes from Roger read at Wells Fargo. Please go ahead.

Yes, Hello, good morning.

Congrats on the quarter glad to see the dividend getting back.

In wells in the seven well program, we think we could very easily get to 100000 barrels per day from the facility capacity with minor adjustments to how we operate the facility. So we're pretty excited about our trajectory as we head into the end of the year with the remaining wells to come online there.

Yes, two things I'd like to ask you about one.

Just because it's topical with the.

I don't know if I'll call. It apply named if it lets call. It Ironically named inflation reduction act, but the potential for royalty increase and how we should think about that potentially impacting your Gulf of Mexico.

No. It certainly sounds like a lot of upside thanks, guys.

I'll hold up and then ask my second one.

Thank you Neal Thanks Neal.

Thank you, ladies and gentlemen, as a reminder, should you have any questions. Please press star one.

Thanks, Roger for that I'll take that question.

We see no impact on that we have all of our leases have an existing contract with the U S government.

Next question comes from Roger read at Wells Fargo. Please go ahead.

Held the test of time, there is no ability in those contracts to raise our royalty rates the royalty rates described in this.

Yeah, Hello, good morning.

Congrats on the quarter glad to see the dividend getting back.

I guess two things I'd like to ask you about one.

Ironically named Bill Good worrying for me is that it is for new leases.

Just because it's topical with the.

So it would only pertain to the Gulf new leases from the new plan, that's supposed to take place and as you know at Murphy, we have no federal onshore leases.

Uh huh.

One of I'll call. It App, we named it but lets call. It ironically named inflation reduction act, but the potential for royalty increase and how we should think about that potentially impacting your Gulf of Mexico.

As far as other things in the bills, such as methane taxes and things of that effect in our offshore environment. This will be very de minimus, and we see really no impacts.

I'll I'll hold up and then ask my second one.

Thanks, Roger for that I'll take that question.

This very de Minimis impact to this below Murphy oil Corporation.

We see no impact on that we have all of our leases have an existing contract with the U S government.

Oh good good to hear second question for you given the Murphy three point O goals on long term debt.

<unk> held the test of time Theres no ability in those contracts to raise our royalty rates the royalty rates described in this.

Yet today, you announced obviously you some acquisitions in the golf and a lot of the questions are focused on more how would you or how should we think about any future opportunities to do acquisitions within.

Ironically named Bill Good worrying for me is that it is for new leases.

So it would only pertain to the Gulf new leases from the new plan, that's supposed to take place and as you know at Murphy, we have no federal onshore leases.

That framework in other words, if you had to delay the achieve ability of Murphy three point O by six or nine months because of the.

Far as other things in the bills, such as methane taxes and things of that effect in our offshore environment. This will be very de minimus and we see really no impacts of this very de minimus impacts of this below Murphy oil Corporation.

Very attractive accretive transaction, just how should how should we think about that fitting into the overall system.

Thanks, Roger that question a good one.

Oh, good good to hear.

Really any company with the framework, it's a targeted framework and outstanding M&A that comes your way would have to be judged by you and your board do you want to forego a framework of a few months like you say to do so we also see many other name brand peers with frameworks occasionally buying assets as well.

Question for you given the Murphy three point O goals on long term debt.

Yet.

Day, you announced obviously some acquisitions in the golf and a lot of questions are focused on more how would you or how should we think about any future opportunities to do acquisitions within.

And so we would be no different.

So during that period, we would be building cash during that period, a significant amount at any kind of an oil price, there, which will give us loads of flexibility around further shareholder returns our M&A our exploration success.

That framework in other words, if you had to delay the achieve ability of Murphy three point O by six or nine months because of a very attractive.

<unk> accretive transaction, just how should how should we think about that fitting into the overall system.

But we have a high bar on M&A.

Thanks Rogers that question a good one naturally any company with the framework just a targeted framework and outstanding M&A that comes your way would have to be judged by you and your board do you want to forego a framework of a few months like you say to do so we also see many other named Brian .

We're not looking at M&A to grow or anything like that it must make unique investment criteria that we focus on and but sure any company that has incredible deal and we've had some incredible deals in these two today are very good you would have to delay that a few months as you as you state, but then during that time, there was a good bit of cash.

<unk> with frameworks occasionally buying assets as well.

On the balance sheet as well Roger.

Yes, I recognize that it was more just trying to it does appear to be a pretty fertile environment out there in the Gulf right now for for smaller transactions. So I was just curious how you think about it.

So we would be no different.

So during that period.

We would be building cash during that period, a significant amount at any kind of an oil price, there, which will give us loads of flexibility around further shareholder returns our M&A our exploration success.

One last one if I could sneak it in on the <unk> exploration well, what's the what's your expected timeline like when when should we spin.

But we have a high bar on M&A.

We're not looking at M&A to grow or anything like that it must make unique investment criteria that we focus on and but sure any company that has a incredible deal and we've had some incredible deals in these two today are very good you would have to delay that a few months as you as you state, but then during that time, there was a good bit of cash.

Anticipate.

Results come out of that.

The well should spud in October of 2022 the rig.

Actually working at Kodiak today with our non op partner the rig will then come to us or drilling a very nice well at Dalmatian.

Our field that we've had for a long time, it's very successful. We will then be taking the rig from the eastern Gulf to Mexico, and drill the well under our control and we anticipate that spending in October is probably a two month well that sort of a timing Roger.

On the balance sheet as well Roger.

That's great. Thank you.

Thank you.

One last one if I could sneak it in on the to loom exploration well, what's the what's the expected timeline like when once we spin.

Thank you. Our next question comes from Ivan Javan J P. Morgan. Please go ahead.

Good morning, Roger Good morning, Sir I was wondering if you could provide.

We anticipate.

Results come out of that.

The well should spud in October of 2022 the rig.

Some thoughts on how you expect that.

Actually working at Kodiak today with our non op partner of the rig will then come to us or drilling a very nice well at Dalmatian.

And maybe on a gross basis the production profile.

To play out at the Khaleesi more months.

Our field, we've had for a long time was very successful. We will then be taking the rig from the eastern Gulf to Mexico, and drill the well under our control and we anticipate that spending in October is probably a two month well that sort of a timing Roger.

<unk>, excluding any obviously youll have some hurricane risking in <unk>.

What type of kind of when do you expect to reach that kind of call. It plateau peak rate.

And I assume that you would expect that to stay relatively flat next year.

That's great. Thank you.

Side of any hurricane related impacts.

Thank you.

Thanks, Ron I'll have Eric take that operational question, yeah. Thanks Arun.

Thank you next question comes from Ivan Javan J P. Morgan. Please go ahead.

So I tried to highlight this in the discussion earlier with Neil.

Good morning, Roger Good morning, Sir I was wondering if you could provide.

We will soon bring online more amount to well, which is expected to add quite a bit of production.

Some thoughts on how you expect.

And as we head into the third quarter, we're probably not too far away from facility capacity, we will have very minor decline from the new wells.

Maybe on a gross basis the production profile.

To play out at the Khaleesi more months.

<unk>, excluding any obviously youll have some hurricane risking and three Q.

And then bring on the remaining two wells in the overall development in the fourth quarter.

And our exit rate for the fourth quarter.

And what type of kind of when do you expect to reach that kind of call. It plateau peak rate and I assume that you would expect that to stay relatively flat next year outside of any hurricane related impacts.

If we achieve the well results that we're predicting.

Should be bumps.

Understood. Thanks, Thanks for that.

Thanks, Rune will have Eric take that operational question, yeah. Thanks Arun.

And then Roger sorry, there's three other calls that I covered at the same time. So I apologize. If this has been asked but we wanted to get a sense of.

So I tried to highlight this in the discussion earlier with Neil.

We will soon bring online more Mont two well, which is expected to add quite a bit of production.

When do you expect to reach.

Some of your deleveraging targets and your.

As we head into the third quarter, we're probably not too far away from facility capacity, we will have very minor decline from the new wells and then bring on the remaining two wells in the overall development in the fourth quarter.

Your fresh capital returns.

Framework that we're excited to see this morning.

Well you know rune as you know more than anyone and thanks for that question depends on a lot of factors have bids on inflation going into 'twenty, three and you cover major service on that matter it depends on pricing.

And our exit rate for the fourth quarter.

If we achieve the well results that we're predicting.

<unk> been quite volatile lately, because we launch our plan is to one point, though we should be near the $1 8 billion at the end of the year because we've already.

It should be bumps.

Understood. Thanks, Thanks for that.

And then Roger sorry, there's three other calls that I cover at the same time. So I apologize. If this has been asked but we wanted to get a sense of.

Well on that way and we haven't finalized our plans for 'twenty three that Ive said or lose you would anticipate we would but at 75% to 85 oil we expect it will be close to achieving our long term debt target of 1% and 23 of course.

When do you expect to reach.

Some of your deleveraging targets and your.

So.

Your fresh capital returns a framework that we're excited to see this morning.

And we should be getting there next.

Next year without great difficulty as long as we keep executing and Eric teams are doing a great job of executing there.

Well you know rune as you know more than anyone and thanks for that question depends on a lot of factors of bids on inflation going into 'twenty, three and you cover major service on that matter it depends on pricing.

Great. Thanks, a lot Roger.

Thank you Brian .

Thank you next question comes from Paul Cheng of Scotiabank. Please go ahead.

Paul.

Yes.

Two quick follow up.

<unk> you talk about the opportunity in the Gulf of Mexico.

In Eagle Ford and the bolt on acquisition opportunity or do you even the interest.

Secondly that given the Poland.

Market condition.

Your going forward hedging strategy.

Are you winning need to hedge at all going forward. Thank you.

Thanks, Paul for that question on that you know Paul we do look our business development team again, I'm Blessed with a senior BD team has been very successful we do monitor bolt on in the Eagle Ford, but to be honest with you Paul with the with the plan that we have to keep Eagle Ford flattish, we have ample locations to go for long.

Tom and all of our areas of Eagle Ford and we are in the oil window, where heavily oil weighted with great differentials and net backs in the Eagle Ford and when we look at M&A. There. It's quite often heavily drilled are not really as good as the locations. We have left in our portfolio. The slowing of the Eagle Ford has made our <unk>.

Eagle Ford very advantaged us.

Incredible work on base production and production engineering and when we go to look at something else would have to stop what we're doing to do wells that are inferior quite frankly, and it hasn't passed the messenger, but offshore where we're part of the field we understand the field. It is upside we liked the operator, we like to work that's ongoing.

Just a totally different advantage with very low EBITDA multiples incredibly high rates of return.

And you have to be in that game and understand that game to make hay when the Sun shines and we just don't see that in the onshore today and Thats why we are well positioned with a diverse portfolio that allows us to move in and out of things in the golf that we make a lot of money on Paul.

Thank you Tom.

Tom go ahead on the hedging strategy for you Paul.

Yes, Paul so that we the way we think about it is the best hedge is to have a strong balance sheet, coupled with the strategy that can pretty much working multitude of prices and operational environments. So this allows us to execute through through these different commodity cycles at current prices our balance sheet is improving rapidly. So I think thats position as well.

To achieve our long term debt target now historically, we've considered hedges.

To ensure that we get a certain return on an acquisition so potentially under a future scenario we might consider it.

Strategically head and that kind of scenario hedge.

Thank you.

Okay.

Thank you there are no further questions from our phone lines I would now like to turn the call back over to Roger Jenkins for any closing remarks.

Thanks, everyone for calling in today real proud of our quarter and our team and I appreciate everyone for dialing in and answering questions and a contact Kelly and Megan if you have any follow ups and I appreciate it and we'll talk to you soon goodbye.

Ladies and gentlemen, this concludes your conference call for today, we thank you for participating and ask that you. Please disconnect your lines.

Q2 2022 Murphy Oil Corp Earnings Call

Request a DemoDemo

MUR

Murphy Oil

Earnings