Murphy Oil Updates Third Quarter Earnings Guidance.EL DORADO El Dorado, legendary country of South America El Dorado (ĕl`dərä`dō, –rā`–) [Span.,=the gilded man], legendary country of the Golden Man sought by adventurers in South America. , Ark. -- Murphy Oil Corporation (NYSE NYSE See: New York Stock Exchange :MUR Mur (m  r), Hung., Slovenian, and Croatian Mura (m `rä), river, c. ) expects income
for the third quarter of 2006 to be between $.95 and $1.05 per diluted
share. This range is above the Company's previous estimate due to
lower than anticipated dry hole costs and an exceptionally strong
contribution from the Company's refining and marketing segment.
Oil and natural gas production during the quarter is estimated to average 92,000 barrels of oil equivalent (BOE BOE Based on Experience BOE Board of Education BOE BoletÃn Oficial del Estado (Spanish) BOE Bank of England BOE Board of Equalization BOE Board of Elections BOE Barrel of Oil Equivalent BOE Bind on Equip ) per day with sales volumes of 85,000 BOE per day, slightly higher than previously estimated due to less than anticipated hurricane downtime in the Gulf of Mexico Noun 1. Gulf of Mexico - an arm of the Atlantic to the south of the United States and to the east of Mexico Golfo de Mexico Atlantic, Atlantic Ocean - the 2nd largest ocean; separates North and South America on the west from Europe and Africa on the east . Successful exploratory drilling continued in the third quarter in shallow-water Malaysia, therefore, dry hole costs for the quarter should be limited to a maximum of $25 million. One major exploratory well currently in progress at Thunder Ridge in the deepwater Gulf of Mexico constitutes the majority of the dry hole cost exposure. This well may be completed before the Company releases its third quarter earnings later this month. Total worldwide exploration expense, including dry hole costs, should be between $36 million and $61 million during the quarter. In the worldwide downstream business, the Company experienced a record quarter for retail gasoline profitability in the United States, along with a meaningful contribution from the refining segment following the restart of the Meraux, Louisiana refinery. Earnings from downstream operations are expected to be approximately $120 million. Corporate charges for the third quarter are expected to be approximately $25 million. Third quarter results also include an $18 million charge associated with a 10% tax rate increase on oil and natural gas profits in the U.K. North Sea which was enacted on July 19. Earnings may also vary based on prices and volumes from sale of the Company's crude oil production, and due to variances in projected and actual downstream operating margins. The forward-looking statements reflected in this release are made in reliance upon the safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. provisions of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. No assurance can be given that the results discussed herein will be attained, and certain important factors that may cause actual results to differ materially are contained in Murphy's January 15, 1997 Form 8-K Form 8-K The form required by the SEC when a publicly held company incurs any event that might affect its financial situation or the share value of its stock. Form 8-K See 8-K. report on file with the U.S. Securities and Exchange Commission. |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion