Murphy Oil intends to sell its interest in various conventional oil and gas properties in western Canada. The interests are held via a wholly owned subsidiary Murphy Oil Company, Ltd. The sale is expected to include proved reserves of approximately 40 million barrels of oil equivalent from heavy oil, light oil and natural gas properties which currently produce 20,000 barrels a day on an oil equivalent basis. Murphy anticipates completing the sale by the end of the second quarter of 2004 and has retained professional advisors to assist in the process.
Claiborne P. Deming, Murphy's President and Chief Executive Officer commented, "Now is the right time to monetize our investment in many of our assets in western Canada in order to position the Company to access opportunities in higher growth areas. This sale will bolster our balance sheet strength so that we can reallocate capital to further enhance the Company's financial returns."