EX-13 3 dex13.htm 2007 ANNUAL REPORT TO SECURITY HOLDERS 2007 Annual Report to Security Holders

Exhibit 13

Letter to Shareholders

LOGO

Claiborne P. Deming

President and Chief Executive Officer

Dear Fellow Shareholders,

I believe very strongly that 2007 will be viewed, especially in the fullness of time, as a pivotal and extraordinarily important year for our Company. The year will not only be identified with a significant individual event (the start-up of production from our Kikeh field (80%) in Malaysia) but also as the year the Company repositioned itself and charted the course for its future. We are in the midst of an intriguing but, more importantly, intense value-creation time, represented, in part, by the following: the start-up of Kikeh; frontier acreage acquisitions offshore Suriname and Australia; a potentially significant natural gas “new play” acquisition in British Columbia; the most successful Gulf of Mexico lease sale for Murphy in recent memory; the Murphy USA property acquisition; and the Milford Haven, Wales refinery purchase. In addition, we sold down the Company’s interest in the Azurite field in West Africa (picking up a “carry” on two exploration wells) and sold out of our position in Berkana Energy Corp., a Canadian junior company.

In brief, the realigned leadership group put in place at the end of 2006 consisting of David Wood, leader of a single worldwide Upstream operating group, and Harvey Doerr, head of worldwide Downstream operations, performed well in their expanded roles. I feel very confident with their leadership reflected by the opportunities already secured under their oversight.

Financial Results A healthy commodity price environment coupled with good execution by both the Upstream and Downstream operating units allowed the Company to turn in its second best year of net income with earnings of $766.5 million ($4.01 per diluted share). Cash flow from operations was $1,740.4 million and we ended the year with a healthy debt to capital employed ratio of 23%.

Exploration and Production Deservedly, Kikeh gets top billing. The start-up of production from this field on August 17, 2007 brought to fruition arguably the most meaningful discovery in the Company’s history. We believe the Kikeh development set a record for a deepwater development by going from discovery to first oil in just five years. Just as importantly, costs were controlled very efficiently during a period of escalating prices. We all owe a debt of gratitude to the first class team led by Roger Jenkins that made this happen.

Secondly, from the sanctioned development projects now in place, production is set to approximately double in the near term from the 2007 average production level of just under 102,000 barrels of oil equivalent per day. This industry leading organic growth is anchored by the Kikeh field, but also importantly from other developments scheduled to commence production beginning in 2008 and 2009, including: Tupper (100%); Sarawak natural gas (85%); Thunder Hawk (37.5%); and Azurite (50%). Also, our Kakap (14%) discovery offshore Sabah, Malaysia was sanctioned in December and will be part of a unitized development operated by another company with first production slated for late 2012.

As planned, 2007 was somewhat quiet on the exploration front. We made two natural gas discoveries in Block H offshore Malaysia, Rotan and Biris (both 80%). These fields provide a solid foundation as we pursue bringing another production center on in this region. Look for us to become much more active on the worldwide exploration front in 2008. Wildcats are planned for deepwater Block K and shallow water Blocks 309 and 311 in Malaysia, both the Mer Profonde Sud and Mer Profonde Nord blocks offshore Republic of Congo, the Gulf of Mexico, and offshore Australia. These prospects tend to be quite large and target both oil and gas. In the Congo, partners will be brought in and will pay disproportionately in order to mitigate risk.

 

2


Of considerable importance for the future and as noted at the outset, we were able to quietly position ourselves over the last year into new areas that will enhance an already robust exploration portfolio. Acreage was acquired in two new countries – Suriname and Australia. Block 37 in Suriname (80%) covers about two million acres and was picked up in June. We will be acquiring 3D seismic this year and should drill our first prospect in 2009. In November, we announced the acquisition, subject to government approval, of a 40% working interest and operatorship in permit AC/P36 located in the Browse Basin offshore northwestern Australia. The area covers approximately one million acres and has several quite large structures which are currently being evaluated ahead of drilling in the fourth quarter of 2008.

We were also able to pick up substantial acreage in a more familiar basin – the Gulf of Mexico. Twenty-six deepwater blocks in DeSoto Canyon and Lloyd Ridge were obtained in October’s OCS Sale 205. These blocks, 22 of which have never been leased before, will become a focal point in future Gulf of Mexico exploration plans beginning this year and complement our existing Green Canyon acreage position upon which we recently received encouraging preliminary results from a wide-azimuth 3D survey shoot.

Another significant addition during 2007 was the Tupper leases. Located in northeastern British Columbia, this tight gas sands play is part of the Triassic-aged Montney formation. Given our affinity toward high impact exploration, this resource play provides us with needed balance while making us more geographically diverse. The drilling program kicked off in November 2007 and results thus far have been promising. We will concentrate our effort this year on drilling and putting the infrastructure in place to bring first gas to market in the fourth quarter of 2008.

Refining and Marketing Turning to Downstream, 2007 resulted in record setting income for the group of nearly $206 million, approximately 27% of total company-wide net income. Considering the state of our downstream business post-Hurricane Katrina, this magnitude of earnings is certainly welcome. Naturally, more is expected.

Two distinguishing events occurred in 2007. Firstly, we acquired the real estate underlying most of our existing Murphy USA retail stations, and secondly, we purchased the remaining 70% interest in the Milford Haven, Wales refinery.

Owning the retail properties as opposed to leasing enhances the sustainability of this “best in class” retail offering. In the process of securing this deal, we were able to close 47 nonstrategic U.S. locations that were not performing as well as the remainder of the sites. In an effort to leverage our brand recognition, we are also in the early stages of implementing a new, larger convenience store model independent of our Wal-Mart Supercenter stronghold. It will be a “new launch” that should quickly gain scale and complement the highly successful Murphy USA format. We exited 2007 with 973 stations in operation and should top the 1,000 station threshold later this year.

Effective December 1, 2007, for a very attractive price, we became sole owner and operator of the Milford Haven refinery in which we previously held a 30% stake. Integration of this facility into our portfolio adds important diversity to our Downstream business and should be immediately accretive to earnings and cash flow. Having been a partner in the facility for over 26 years, we have experience in the local market and should be able to capture synergies afforded by having a focused, unitary ownership structure. While this acquisition makes us “long” on gasoline in the U.K., our retail network will look to expand and we will explore potential arbitrage opportunities to the United States.

On the United States refining front, much emphasis continues to be placed upon operating reliably. I am happy to say that Meraux’s operational performance during the final quarter of 2007 was excellent. Our Superior, Wisconsin refinery once again proved to be a steady performer eclipsing the profit record set in 2006.

Often not mentioned but critically important, our midstream business was strengthened as well in 2007 with the opening of a new terminal facility near Jonesboro, Arkansas. This terminal services a three-state region in the heartland of America. In 2008, we plan to equip all 12 of our company-owned U.S. terminals with ethanol blending capabilities.

 

3


LOGO

Closing Thoughts History tells us that high commodity prices are destined to retreat and low commodity prices are destined to climb. As an organization, it is imperative that we position ourselves wisely in the event of a downturn in the overall economy or commodity prices, while still taking the steps necessary to ensure future success in either pricing environment.

Quite candidly, I believe Murphy Oil is stronger today than ever and properly aligned to create value for our shareholders. Murphy is fortunate to have an extraordinary array of talented individuals at all levels of our organization that not only have the foresight necessary to chart the course but the willingness to roll up their sleeves and get there.

As our shareholders, we work for you and your continued support is greatly appreciated. In 2007 we took steps to chart the course of Murphy Oil; now it is time to make it happen. That is exactly what we are doing.

 

LOGO

Claiborne P. Deming
President and Chief Executive Officer

February 15, 2008

El Dorado, Arkansas

 

4


Financial and Operating Highlights

 

               % Change          % Change  

(Thousands of dollars except per share data)

   2007    2006    2007–2006     2005    2006–2005  

For the Year

             

Revenues

   $ 18,439,098    $ 14,307,387    29 %   $ 11,877,151    20 %

Net income

     766,529      644,669    19 %     854,742    -25 %

Income from continuing operations

     766,529      644,669    19 %     846,193    -24 %

Cash dividends paid

     127,353      98,162    30 %     83,198    18 %

Capital expenditures 1

     2,357,347      1,262,539    87 %     1,329,831    -5 %

Net cash provided by operating activities

     1,740,420      975,478    78 %     1,248,931    -22 %

Average common shares outstanding – diluted (thousands)

     191,141      189,158    1 %     187,889    1 %

At End of Year

             

Working capital

   $ 777,530    $ 795,986    -2 %   $ 551,938    44 %

Net property, plant and equipment

     7,109,822      5,106,282    39 %     4,374,229    17 %

Total assets

     10,535,849      7,483,161    41 %     6,410,396    17 %

Long-term debt

     1,516,156      840,275    80 %     609,574    38 %

Stockholders’ equity

     5,066,174      4,121,273    23 %     3,522,070    17 %

Per Share of Common Stock

             

Net income – diluted

   $ 4.01    $ 3.41    18 %   $ 4.55    -25 %

Income from continuing operations – diluted

     4.01      3.41    18 %     4.50    -24 %

Cash dividends paid

     .675      .525    29 %     .45    17 %

Stockholders’ equity

     26.70      21.97    22 %     18.94    16 %

Net Crude Oil and Gas Liquids Produced – barrels per day 1

     91,522      87,817    4 %     101,349    -13 %

United States

     12,989      21,112    -38 %     25,897    -18 %

Canada

     43,939      39,653    11 %     46,086    -14 %

Other International

     34,594      27,052    28 %     29,366    -8 %

Net Natural Gas Sold – thousands of cubic feet per day 1

     61,082      75,262    -19 %     90,198    -17 %

United States

     45,139      56,810    -21 %     70,452    -19 %

Canada

     9,922      9,752    2 %     10,323    -6 %

United Kingdom

     6,021      8,700    -31 %     9,423    -8 %

Crude Oil Refined – barrels per day

     175,183      119,231    47 %     135,122    -12 %

North America

     139,183      89,195    56 %     108,139    -18 %

United Kingdom

     36,000      30,036    20 %     26,983    -11 %

Petroleum Products Sold – barrels per day

     457,770      385,271    19 %     358,255    8 %

North America

     416,668      350,601    19 %     322,714    9 %

United Kingdom

     41,102      34,670    19 %     35,541    -2 %

Stockholder and Employee Data

             

Common shares outstanding (thousands) 2

     189,714      187,572    1 %     185,947    1 %

Number of stockholders of record 2

     2,655      2,758    -4 %     2,847    -3 %

Number of employees 2

     7,539      7,296    3 %     6,248    17 %

Average number of employees

     7,340      7,019    5 %     6,127    15 %
                                 

 

1 From continuing operations.
2 At December 31.

 

5


Exploration and Production Statistical Summary

 

     2007    2006    2005    2004    2003    2002    2001

Net crude oil, condensate and natural gas liquids production – barrels per day

                    

United States

     12,989    21,112    25,897    19,314    4,526    4,128    4,752

Canada – light

     596    443    563    650    1,213    1,567    2,521

      heavy

     11,524    12,613    11,806    5,838    4,705    3,609    4,521

      offshore

     18,871    14,896    23,124    25,407    28,534    24,037    9,535

      synthetic

     12,948    11,701    10,593    11,794    10,483    11,362    10,479

United Kingdom

     5,281    7,146    7,992    11,011    14,686    18,302    20,214

Malaysia

     20,367    11,298    13,503    11,885    7,301    —      —  

Ecuador

     8,946    8,608    7,871    7,735    5,172    4,544    5,319
                                    

Continuing operations

     91,522    87,817    101,349    93,634    76,620    67,549    57,341

Discontinued operations

     —      —      —      3,106    6,832    8,821    10,014
                                    

Total liquids produced

     91,522    87,817    101,349    96,740    83,452    76,370    67,355
                                    

Net crude oil, condensate and natural gas liquids sold – barrels per day

                    

United States

     12,989    21,112    25,897    19,314    4,526    4,128    4,752

Canada – light

     596    443    563    650    1,213    1,567    2,521

      heavy

     11,524    12,613    11,806    5,838    4,705    3,609    4,521

      offshore

     18,839    15,360    22,443    26,306    28,542    23,935    9,862

      synthetic

     12,948    11,701    10,593    11,794    10,483    11,362    10,479

United Kingdom

     5,218    6,678    8,303    10,924    14,722    18,358    20,354

Malaysia

     16,018    11,986    13,818    11,020    7,235    —      —  

Ecuador

     9,470    10,349    9,821    3,414    4,997    4,293    5,381
                                    

Continuing operations

     87,602    90,242    103,244    89,260    76,423    67,252    57,870

Discontinued operations

     —      —      —      3,106    6,832    8,821    10,014
                                    

Total liquids sold

     87,602    90,242    103,244    92,366    83,255    76,073    67,884
                                    

Net natural gas sold – thousands of cubic feet per day

                 

United States

     45,139    56,810    70,452    88,621    82,281    88,067    112,616

Canada

     9,922    9,752    10,323    13,972    19,946    12,709    25,701

United Kingdom

     6,021    8,700    9,423    6,859    9,564    6,973    13,125
                                    

Continuing operations

     61,082    75,262    90,198    109,452    111,791    107,749    151,442

Discontinued operations

     —      —      —      30,760    103,543    189,182    129,793
                                    

Total natural gas sold

     61,082    75,262    90,198    140,212    215,334    296,931    281,235
                                    

Net hydrocarbons produced – equivalent barrels1,2 per day

     101,702    100,361    116,382    120,109    119,341    125,859    114,228

Estimated net hydrocarbon reserves – million equivalent barrels1,2,3

     405.1    388.3    353.6    385.6    425.5    455.3    501.2
                                    

Weighted average sales prices4

                    

Crude oil, condensate and NGL – dollars per barrel

                    

United States

   $ 65.57    57.30    47.48    35.35    24.22    24.25    24.92

Canada5 – light

     50.98    50.45    44.27    32.96    26.02    20.38    21.75

        heavy

     32.84    25.87    21.30    20.26    12.36    16.83    11.21

        offshore

     69.83    62.55    51.37    36.60    27.08    25.36    23.77

        synthetic

     74.35    63.23    58.12    40.35    24.97    25.64    25.04

United Kingdom

     68.38    64.30    52.83    36.82    29.59    24.39    24.44

Malaysia6

     74.58    51.78    46.16    41.35    29.42    —      —  

Ecuador7

     36.47    33.79    32.54    24.78    22.99    19.64    17.00

Natural gas – dollars per thousand cubic feet

                 

United States

     7.38    7.76    8.52    6.45    5.29    3.37    4.64

Canada5

     6.34    6.49    7.88    5.64    4.47    2.59    3.54

United Kingdom5

     7.54    7.34    5.80    4.52    3.50    2.76    2.52

 

1

Natural gas converted at a 6:1 ratio.

2

Includes synthetic oil.

3

At December 31.

4

Includes intracompany transfers at market prices.

5

U.S. dollar equivalent.

6

Prices in 2007–2005 are net of payments under the terms of the production sharing contracts for Blocks SK 309 and K.

7

Includes prices attained in 2006 and 2005 for recoupment of a portion of 2004 Block 16 crude oil production formerly owed to the Company. The prices in 2007 and 2006 are adversely affected by revenue sharing with the Ecuadorian government beginning in April 2006 and further increased in October 2007.

 

6


Refining and Marketing Statistical Summary

 

     2007    2006    2005    2004    2003    2002    2001

Refining

                    

Crude capacity* of refineries – barrels per stream day

     268,000    192,400    192,400    192,400    192,400    167,400    167,400
                                    

Refinery inputs – barrels per day

                    

Crude – Meraux, Louisiana

     106,446    55,129    73,371    101,644    60,403    83,721    104,345

              Superior, Wisconsin

     32,737    34,066    34,768    31,598    30,466    30,468    35,869

              Milford Haven, Wales

     36,000    30,036    26,983    31,033    28,412    29,640    26,985

Other feedstocks

     10,805    6,423    9,131    12,170    10,113    11,013    9,901
                                    

Total inputs

     185,988    125,654    144,253    176,445    129,394    154,842    177,100
                                    

Refinery yields – barrels per day

                    

Gasoline

     74,395    48,314    54,869    68,663    52,162    63,409    73,217

Kerosine

     5,371    5,067    7,805    7,734    6,568    9,446    12,874

Diesel and home heating oils

     67,111    42,137    48,535    66,225    41,277    48,344    52,660

Residuals

     18,910    15,244    18,231    17,445    14,595    16,589    20,530

Asphalt, LPG and other

     17,546    12,855    13,268    14,693    11,986    12,651    13,467

Fuel and loss

     2,655    2,037    1,545    1,685    2,806    4,403    4,352
                                    

Total yields

     185,988    125,654    144,253    176,445    129,394    154,842    177,100
                                    

Average cost of crude inputs to refineries – dollars per barrel

                    

North America

   $ 69.40    59.54    49.73    40.00    29.79    24.76    23.44

United Kingdom

     81.53    66.66    56.15    39.60    30.24    25.83    24.86
                                    

Marketing

                    

Products sold – barrels per day

                    

North America – Gasoline

     298,833    266,353    233,191    207,786    162,911    112,281    96,597

                   Kerosine

     1,685    2,269    5,671    4,811    4,388    5,818    9,621

                   Diesel and home heating oils

     91,344    62,196    60,228    66,648    43,373    35,995    41,064

                   Residuals

     15,422    11,696    15,330    13,699    10,972    13,759    17,308

                   Asphalt, LPG and other

     9,384    8,087    8,294    8,857    8,232    8,574    9,666
                                    
     416,668    350,601    322,714    301,801    229,876    176,427    174,256
                                    

United Kingdom – Gasoline

     14,356    12,425    12,739    11,435    12,101    12,058    11,058

            Kerosine

     4,020    3,619    2,410    2,756    2,526    2,685    2,547

            Diesel and home heating oils

     14,785    11,803    14,910    14,649    13,506    14,574    11,798

            Residuals

     3,728    3,825    3,242    4,062    3,816    3,127    3,538

            LPG and other

     4,213    2,998    2,240    4,205    3,103    1,760    2,121
                                    
     41,102    34,670    35,541    37,107    35,052    34,204    31,062
                                    

Total products sold

     457,770    385,271    358,255    338,908    264,928    210,631    205,318
                                    

Branded retail outlets*

                    

North America – Murphy USA

     973    987    864    752    623    506    387

                   Other

     153    177    337    375    371    408    428

                   Total

     1,126    1,164    1,201    1,127    994    914    815

United Kingdom

     389    402    412    358    384    416    411
                                    

 

* At December 31.

LOGO

 

7


Board of Directors

 

LOGO

 

William C. Nolan, Jr.

Partner, Nolan & Alderson, Attorneys,

El Dorado, Arkansas.

Director since 1977.

Chairman of the Board and the Executive Committee, ex-officio member of all other committees

  

LOGO

 

R. Madison Murphy

Managing Member, Murphy Family

Management, LLC,

El Dorado, Arkansas.

Director since 1993; Chairman from 1994–2002.

Committees: Executive; Audit (Chairman)

LOGO

 

Claiborne P. Deming

President and Chief Executive Officer,

Murphy Oil Corporation,

El Dorado, Arkansas.

Director since 1993.

Committees: Executive

   LOGO  

Ivar B. Ramberg

Executive Officer, Ramberg Consulting AS,

Osteraas, Norway.

Director since 2003.

Committees: Nominating and Governance; Public Policy and Environmental

LOGO

 

Frank W. Blue

Attorney, Santa Barbara, California.

Director since 2003.

Committees: Audit; Nominating and Governance

   LOGO  

Neal E. Schmale

President and Chief Operating Officer,

Sempra Energy, San Diego, California.

Director since 2004.

Committees: Audit (Financial Expert); Executive Compensation

LOGO

 

Robert A. Hermes

Chairman of the Board, Retired,

Purvin & Gertz, Inc., Houston, Texas.

Director since 1999.

Committees: Executive; Nominating and Governance (Chairman);

Public Policy and Environmental

   LOGO  

David J. H. Smith

Chief Executive Officer, Retired,

Whatman plc, Maidstone, Kent, England.

Director since 2001.

Committees: Executive Compensation (Chairman); Public Policy and Environmental

LOGO

 

James V. Kelley

President and Chief Operating Officer,

BancorpSouth, Inc., Tupelo, Mississippi.

Director since 2006.

Committees: Audit; Executive Compensation

   LOGO  

Caroline G. Theus

President, Keller Enterprises, LLC, and President,

Inglewood Land and Development Co.,

Alexandria, Louisiana.

Director since 1985.

Committees: Executive; Public Policy and Environmental (Chairman)

 

8


PRINCIPAL SUBSIDIARIES

 

Murphy Exploration &

Production Company

Engages in worldwide crude oil and natural gas exploration and production.

  

16290 Katy Freeway

Suite 600

Houston, TX 77094

(281) 675-9000

  

David M. Wood

President

 

Roger W. Jenkins

Senior Vice President,

North America

 

Steven A. Cossé

Vice President and

General Counsel

  

Mindy K. West

Vice President and Treasurer

 

John W. Eckart

Vice President and Controller

 

Walter K. Compton

Secretary

Murphy Oil Company Ltd.

Engages in crude oil and natural gas exploration and production, and extraction and sale of synthetic crude oil.

  

1700-555-4th Avenue SW

Calgary, Alberta T2P 3E7

(403) 294-8000

 

Mailing Address:

P.O. Box 2721, Station M

Calgary, Alberta T2P 3Y3

Canada

  

Steve C. Crosby

President

 

W. Patrick Olson

Vice President, Production

  

Mindy K. West

Vice President and Treasurer

 

Heather J. Jones

Controller

 

Georg R. McKay

Secretary

Murphy Oil USA, Inc.

Engages in refining and marketing of petroleum products in the United States.

  

200 Peach Street

El Dorado, Arkansas 71730

(870) 862-6411

 

Mailing Address:

P.O. Box 7000

El Dorado, Arkansas

71731-7000

  

Harvey Doerr

President

 

Charles A. Ganus

Senior Vice President,

Marketing and President,

Murphy USA Marketing Company

 

Gary R. Bates

Vice President, Supply and Transportation

 

Ernest C. Cagle

Vice President, Manufacturing

 

John D. Edmunds

Vice President, Engineering

  

Henry J. Heithaus

Vice President, Retail Marketing

 

Steven A. Cossé

Vice President and

General Counsel

 

Mindy K. West

Vice President and Treasurer

 

John W. Eckart

Vice President and Controller

 

Walter K. Compton

Secretary

Murco Petroleum Limited

Engages in refining and marketing of petroleum products in the United Kingdom.

  

4 Beaconsfield Road

St. Albans, Hertfordshire

AL1 3RH, England

44-1727-892-400

  

Stephen R. Wylie

Managing Director

 

Jeremy Clarke

Marketing Director

 

Thomas McKinlay

Supply Director

  

Simon V. Rhodes

Financial Director

 

Patricia E. Haylock

Secretary


Corporate Information

 

Corporate Office

 

200 Peach Street

P.O. Box 7000

El Dorado, Arkansas 71731-7000

(870) 862-6411

 

Stock Exchange Listings

 

Trading Symbol: MUR

New York Stock Exchange

 

Transfer Agent and Registrar

 

Computershare Investor Services, L.L.C.

2 North LaSalle St.

Chicago, Illinois 60602

Toll-free (888) 239-5303

Local Chicago (312) 360-5303

 

Electronic Payment of Dividends

 

Shareholders may have dividends deposited directly into their bank accounts by electronic funds transfer. Authorization forms may be obtained from:

 

        Computershare Investor Services, L.L.C.

        2 North LaSalle St.

        Chicago, Illinois 60602

        Toll-free (888) 239-5303

        Local Chicago (312) 360-5303

  

Annual Meeting

 

The annual meeting of the Company’s shareholders will be held at 10:00 a.m. on May 14, 2008, at the South Arkansas Arts Center, 110 East 5th Street, El Dorado, Arkansas. A formal notice of the meeting, together with a proxy statement and proxy form, will be provided to all shareholders.

 

E-mail Address

 

murphyoil@murphyoilcorp.com

 

www.murphyoilcorp.com

 

Murphy Oil’s website provides frequently updated information about the Company and its operations, including:

 

•     News releases

 

•     Annual report

 

•     Quarterly reports

 

•     Live webcasts of quarterly conference calls

 

•     Links to the Company’s SEC filings

 

•     Stock quotes

 

•     Profiles of the Company’s operations

 

•     On-line stock investment accounts

 

•     Murphy USA station locator

  

Inquiries

 

Inquiries regarding shareholder account matters should be addressed to:

 

        Walter K. Compton

        Secretary

        Murphy Oil Corporation

        P.O. Box 7000

        El Dorado, Arkansas 71731-7000

 

Members of the financial community should direct their inquiries to:

 

        Dory J. Stiles

        Manager of Investor Relations

        Murphy Oil Corporation

        P.O. Box 7000

        El Dorado, Arkansas 71731-7000

        (870) 864-6496

 

Certifications

 

The Company has filed the required certifications under Section 302 of the Sarbanes-Oxley Act of 2002 regarding the quality of our public disclosures as Exhibits 31.1 and 31.2 to our annual report on Form 10-K for the fiscal year ended December 31, 2007. In 2007 after our annual meeting of stockholders, the Company filed with the New York Stock Exchange the CEO certification regarding its compliance with the NYSE corporate governance listing standards as required by NYSE Rule 303A.12(a).

Executive Officers

 

Claiborne P. Deming

 

President and Chief Executive Officer since October 1994 and Director and Member of the Executive Committee since 1993.

 

Steven A. Cossé

 

Executive Vice President since February 2005 and General Counsel since August 1991. Mr. Cossé was elected Senior Vice President in 1994 and Vice President in 1993.

 

Harvey Doerr

 

Executive Vice President and President of Murphy Oil USA, Inc. since January 2007. Mr. Doerr served as President of Murphy Oil Company Ltd. from September 1997 through December 2006.

  

David M. Wood

 

Executive Vice President and President of Murphy Exploration & Production Company since January 2007. Mr. Wood served as President of Murphy Exploration & Production Company-International from March 2003 through December 2006 and was Senior Vice President of Frontier Exploration & Production from April 1999 through February 2003.

 

Kevin G. Fitzgerald

 

Senior Vice President and Chief Financial Officer since January 2007. Mr. Fitzgerald was Treasurer from July 2001 through December 2006 and Director of Investor Relations from 1996 through June 2001.

  

Bill H. Stobaugh

 

Senior Vice President since February 2005. Mr. Stobaugh joined the Company as Vice President in 1995.

 

Mindy K. West

 

Vice President and Treasurer since January 2007. Ms. West was Director of Investor Relations from July 2001 through December 2006.

 

John W. Eckart

 

Vice President and Controller since January 2007. Mr. Eckart has been Controller since March 2000.

 

Walter K. Compton

 

Secretary since December 1996.