History
The company was founded in 1944 as CH Murphy & Co by Charles H. Murphy Sr. and incorporated in Louisiana in 1950.[2]
Mason Houghland opened the first Spur gas station in Old Hickory, Tennessee in 1928. After Wilhelm von Opel invested in the company, it became a chain, with 275 locations and annual sales of $40 million. In 1957, an appeals court ruled that von Opel's son Fritz von Opel was not entitled to the share of Spur Oil Company his father had owned. Houghland bought the shares and Equitable Securities handled the public offering. Equitable arranged the merger of Spur Oil Company with Murphy shortly after Houghland's death in 1959.[6][7]
In 1960, Murphy set up Murco Petroleum in the United Kingdom.
Murphy entered the Malaysia market in 1999 after a purchase of three offshore blocks, solidifying its position as a player in the offshore development space. The first discovery in this area, the West Patricia prospect, was announced in 2001 and followed by a significant discovery in the Kikeh in 2002 (went into production by 2007).[8]
In 2003, the company acquired acreage offshore Republic of Congo.[9]
In 2004, the company sold oil fields in Western Canada for US$633 million.[10]
In July 2011, the company sold its refinery in Superior, Wisconsin, to Calumet for $214 million.[11]
In September 2011, the company sold its refinery in Meraux, Louisiana, to Valero Energy for $325 million.[12]
In August 2013, the company distributed 100% of the shares in its retail marketing gasoline station chain, Murphy USA, to its shareholders via a corporate spin-off.[13][14]
In 2016, the company sold its 5% stake in Syncrude Canada Ltd., a joint venture located about 25 miles north of Fort McMurray, Alberta, for C$937 million.[15]
In 2017, the company acquired acreage offshore Brazil.[16]
Throughout 2018, Murphy Oil along with 91 other Fortune 500 companies had "paid an effective federal tax rate of 0% or less" due in part to the Tax Cuts and Jobs Act of 2017 passed by Congress and signed into law by President Trump.[17] Murphy Oil's Form 10-K[18] for 2018 indicated the company had a net operating loss carryforward of about $2.36 billion, in addition to depreciation and other factors which reduced their taxes paid in 2018.
In July 2019, Murphy sold its assets in Malaysia to PTT Exploration and Production for $2.035 billion.[19]
In May 2020, the company relocated to Houston and closed several offices.[20]
From 2024 to 2029, the company plans to allocate 10% of its budget to exploration. In 2024, the company's capital budget ranges from $920 million to $1.02 billion (up 6% from 2023). The exploration budget will reach $120 million, and projects will include two exploration wells in Vietnam and two more in the Gulf of Mexico.[21] Also in 2024, the company plans to allocate about $300 million for development drilling and field development projects, including operated and non-operated subsea tiebacks.[22]
