Tomahawk, WI 05/02/2014 (Basicsmedia) – The income from the Murphy Oil Corporation (NYSE:MUR) put a leash on its operations as it went down to $169.3 million in 1Q2014, down about 7% from a year before.

In Milford Haven, Wales, their crude oil refinery was the largest chunk of a $14 million loss from discontinued operations that had pulled down Murphy’s net income for 1Q down to $155.25 million. Revenue figures were around $1.28 billion, the company stated on April 30, which were flat from the 1Q2013.

Performing A Proverbial Appendectomy On Its Refinery Business

Murphy has since been trying to pawn off the refinery since 2010. More recently, the company broadcasted that it was experiencing a phase of consultation regarding the facility after conversations regarding a potential buyer did not lead to anything. According to release from the company, the consultation is taking place between certain employees and their representatives, including a few who at the work at the refinery in question, which is presently operated by a Murphy subsidiary called Murco Petroleum Limited. The release also mentioned that the consultation would undoubtedly be a rough time for everyone tied to it.

Back In 2010, Murphy had made its plans regarding its exit from refining business, public. Since that point, it sold off its refineries in Meraux, La. and Superior, Wisc., but has failed to sell the refinery in Milford Haven. In the past, Murphy Oil Corporation (NYSE:MUR) has the discussed closing down the refinery and converting it into a storage facility.

Struggling In The U.K

The release stated that refining in the U.K is still a particularly challenging market, caused partly by a declining level of demand and increasing competition from the international circuit. At present, the U.K has seven oil refineries down from a maximum of eighteen, back in the latter half of the 70’s. It is against this scenario that Murphy and the company have been attempting to try and find a solution that would permit the Milford Haven refinery to persist.

The organization stated that its next step is to meet with a few interested parties, which might or might not lead to allowing the refinery to persist functioning.

CEO Richard Jenkins mentioned in the release that the company was on track for record levels of production this year, emphasizing on the fact that it would be the third year in a row where they have achieved record volumes.

Murphy Oil Corporation (NYSE:MUR) had reported a net income of $360.6 million in the 1Q 2013, but in August of last year the company wound off its retail branch into a separate, publicly traded company called Murphy USA Inc.

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