DOW JONES NEWSWIRES
Murphy Oil Corp. (MUR) said it would book a $370 million
write-down in the fourth quarter of last year because output rates
and ultimate oil recovery at a field off the shore of the Republic
of the Congo were lower than expected.
By comparison, the integrated oil company reported $174.1
million in earnings in the fourth quarter of 2010. In the third
quarter, Murphy reported a profit of $406.1 million.
Murphy's exploration program had a slow start last year,
according to its chief executive in June. In 2011 and 2012, the
company had plans to drill 30 wells to evaluate prospects in
Brunei, Iraq and Indonesia, as well as off the coast of the
Congo.
A year ago, the company disappointed investors with fruitless
exploration results at three holes in Congo.
Recently, Murphy's earnings have surged thanks to climbing oil
prices, as well as the company's improvements in its refining and
marketing segment.
Shares were down 1.4% at $60.15 after hours.
-By Joan E. Solsman, Dow Jones Newswires; 212-416-2291;
joan.solsman@dowjones.com