Murphy Oil Closes Sale of Canadian Assets

Murphy Oil's Canadian subsidiary, Murphy Oil Company Ltd., has agreed to sell its interests in various Scotian Shelf exploration licenses. Properties sold include interests in the Grand Pre, Musquodoboit, Margaree, Huckleberry and Highland licenses. The transaction is expected to close in the third quarter of 2003.

Murphy also announced the closing of a sale of various western Canadian oil and natural gas properties. The sale, announced earlier in the year, was for combined production of 1,500 barrels of oil equivalent a day.

Claiborne Deming, Murphy President and Chief Executive Officer, commented, "The sale of part of our Scotian Shelf acreage along with the sale of some of our western Canadian producing interests are part of our continuing effort to concentrate our capital in areas we feel have the most potential, such as Malaysia and the deepwater Gulf of Mexico. However, we have retained our interests in the prospective deepwater acreage on the Scotian Shelf, including the Annapolis block and plan to drill an offset to the Annapolis discovery next year."