Murphy spends USD 70m on dry Gulf of Mexico and Perth Basin offshore wells

Submitted by Paddy Harris on Tue, 2015-03-24 10:24

24th March 2015

Murphy Oil failed to find commercial hydrocarbons at three wells in its first quarter drilling campaign

Murphy is currently drilling the third well at the Munia prospect in the Perth Basin.

In the Gulf of Mexico, the Urca well in Mississippi Canyon Block 697 failed to encounter hydrocarbons and has been plugged and abandoned. Murphy will take a US dry hole expense of approximately USD 47m in the first quarter of 2015 for Urca.

Additionally, Murphy has finished two of its three wells in its Perth Basin drilling programme offshore Western Australia. The two wells, Koel and Cisticola, both located in Block WA-481-P, were unsuccessful and have been plugged and abandoned. The company will take a dry hole expense of approximately USD 23m in the first quarter of 2015 for these two wells.

Murphy is currently drilling the third well at the Munia prospect in the Perth Basin. This well will be finished in April. Depending on the outcome, the cost attributed to this well in the first quarter of 2015 is expected to be approximately USD 9m.