Murphy Oil plans to invest $840 million to $890 million in 2022, up from the $675 million to $725 million capital expenditure earmarked last year.

“Our 2022 budget is higher than 2021, with capital designated toward finalising key development projects in the Gulf of Mexico while maintaining oil volumes across the portfolio," said Roger Jenkins, Murphy's chief executive.

The company also forecast a $300 million reduction in long-term debt this year, assuming a $65 oil price.