Murphy Oil Corporation

Good morning, ladies and gentlemen. Welcome to the Murphy Oil Corporation third quarter 2023 earnings conference call and webcast. If at any time during this 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.

Thank you, Operator. Good morning, everyone, and thank you for joining us on our third quarter earnings call today. Joining us is Roger Jenkins, President and Chief Executive Officer, along with Tom Morales, Executive Vice President and Chief Financial Officer, and Eric Hambly, Executive Vice President, Operations. Please refer to the informational slides we've 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 non-controlling interest in the Gulf of Mexico. 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 1995. 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 discussions of risk factors, please see Murphy's 2022 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 Jenkins Thank you, Kelly. Good morning, everyone, and thank you for listening in to our call today. As we turn to slide three, I'd like to highlight Murphy's strong value proposition. We're a long-term, sustainable company with decades of future drilling in our onshore business and significant running room offshore with exploration upside and low carbon intensity. Offshore, Murphy holds a competitive advantage with our execution capabilities. Murphy continues to generate strong cash flow. We've been able to more than double our long-standing dividend since 2021, as well as significantly reduce debt. Since the end of 2020, we've reduced debt by approximately $1.4 billion and paid more than $330 million of dividends. And within the past quarter, we purchased $75 million of stock, all while maintaining our cash balances and replacing reserves. As we move to slide four, Murphy has remained focused on our priorities to deliver, execute, explore, and return. I'm excited to say we advanced Murphy 2.0 of our capital allocation framework in the third quarter through share repurchases and redemption of $249 million of 2025 senior notes, and we remain on track to achieve our $500 million debt reduction goal for the year. Third quarter production of 202,000 barrels equivalent per day, again, exceeded the upper end of our guidance range with oil production averaging 103,000 barrels per day. Our 2023 onshore program delivered strong well-performance improvements, with over 50% of our new wells achieving all-time highest well performance for their respective areas. I'm pleased to announce today that our board has sanctioned the Loc De Vang Field Development Project in Block 15-105, Vietnam, with first oil forecast in 2026. Also during the quarter, as previously announced, Murphy closed the divestiture of certain non-core assets in Canada, and a portion of those proceeds are redirected to fund our new country entry into Cote d'Ivoire, and advance our Lock Devane field development project. We have since commenced seismic reprocessing projects in Cote d'Ivoire and the Gulf, and our rig will resume drilling the Murphy-operated Oso No. 1 exploration well in the Gulf of Mexico in the very near term. In the third quarter, we repurchased $75 million of 1.7 million shares outstanding at an average price of $44.53 per share. Additionally, our board approved a $300 million increase in our share repurchase authorization today, and we have $525 million remaining. I look forward to further progressing through Murphy 2.0 as we continue delivering shareholder returns and reducing debt. On slide 5, Murphy produced an average of 202,000 barrels equivalent per day with 51% oil in the quarter. Production was nearly 10,000 barrels equivalent per day above the midpoint of our guidance. due to a combination of stronger onshore well performance, lower realized Tupper-Montigny royalty rates, and the absence of any hurricane events in the Gulf of Mexico. In the quarter, we realized $82.58 per barrel for our oil, while our realized NGL price was just over $21, and natural gas was just over $2 per thousand cubic feet. Strong oil price, in addition to our production outperformance, led to Murphy generating $900 million of revenue in the quarter, excluding NCI. I'll now turn the call over to our CFO, Tom Morales, for an update on our financial results.