DEF 14A of Murphy Oil Corp
Filed Mar 27, 2026 · FY20250001193125-26-127236
Charitable Gift Matching Program
| 2025 Director Compensation Table |
Charitable Gift Matching Program
| | Fees Earned or Paid in Cash ($) | Stock Awards(1)(2) ($) | Option Awards ($) | Non-Equity Incentive Plan Compensation ($) | Change in Pension Value and Nonqualified Deferred Compensation Earnings(3) ($) | All Other Compensation(4) ($) | Total ($) | | Claiborne P. Deming | 165,000(5) | 275,058(5) | — | — | — | 7,500 | 447,558 | | Lawrence R. Dickerson | 117,000 | 200,020 | — | — | — | — | 317,020 | | Michelle A. Earley | 90,000 | 200,020 | — | — | — | 104 | 290,124 | | Elisabeth W. Keller | 105,000 | 200,020 | — | — | — | — | 305,020 | | R. Madison Murphy | 110,000 | 200,020 | — | — | 18,288 | 30,000 | 358,308 | | Jeffrey W. Nolan | 99,375(6) | 200,020 | — | — | — | 30,000 | 329,395 | | Robert N. Ryan, Jr. | 90,000 | 200,020 | — | — | — | 30,000 | 320,020 | | Laura A. Sugg | 110,000 | 200,020 | — | — | — | 15,000 | 325,020 | | Robert B. Tudor, III | 90,000 | 200,020 | — | — | — | — | 290,020 |
Our 2025 Long-term Incentive Mix
| 1. | Grant date fair values are listed in the 2025 Grants of Plan-Based Awards Table |
Executive Officers
| 2025 Summary Compensation Table | | | | | | | | | | Name and Principal Position | Year | Salary ($) | Bonus ($) | Stock Awards(1) ($) | Non-Equity Incentive Plan Compensation(2) ($) | Change in Pension Value and Nonqualified Deferred Compensation Earnings(3) ($) | All Other Compensation(4) ($) | Total ($) | | Eric M. Hambly President and Chief Executive Officer | 2025 | 950,000 | — | 4,917,315 | 1,324,063 | 401,447 | 58,620 | 7,651,445 | | | 2024 | 647,347 | — | 3,183,179 | 755,950 | 150,318 | 38,836 | 4,775,630 | | | 2023 | 616,515 | — | 2,984,969 | 586,235 | 329,986 | 38,610 | 4,556,315 | | Thomas J. Mireles Executive Vice President and Chief Financial Officer | 2025 | 627,500 | — | 2,504,199 | 702,450 | 424,072 | 39,270 | 4,297,491 | | | 2024 | 597,931 | — | 2,917,752 | 697,800 | 252,899 | 35,996 | 4,502,378 | | | 2023 | 568,762 | — | 2,984,969 | 545,445 | 386,256 | 35,745 | 4,521,177 | | E. Ted Botner Executive Vice President, General Counsel and Corporate Secretary | 2025 | 524,308 | — | 1,457,112 | 469,192 | 563,279 | 33,079 | 3,046,970 | | | 2024 | 504,474 | — | 1,591,799 | 470,503 | 692,422 | 30,595 | 3,289,793 | | | 2023 | 488,958 | — | 1,610,176 | 413,927 | 847,137 | 30,921 | 3,391,119 | | Daniel R. Hanchera Senior Vice President | 2025 | 460,275 | — | 835,849 | 411,569 | 163,283 | 29,108 | 1,900,084 | | | 2024 | 446,463 | — | 944,105 | 416,726 | 326,206 | 26,573 | 2,160,073 | | | 2023 | 429,555 | — | 990,685 | 340,389 | 393,557 | 26,678 | 2,180,864 | | Maria A. Martinez Senior Vice President | 2025 | 423,242 | — | 557,220 | 343,420 | 124,923 | 26,766 | 1,475,571 |
Executive Officers
| 2025 Outstanding Equity Awards at Fiscal Year-End Table: Stock Awards | | | | | | Name | Number of Shares or Units of Stocks That Have Not Vested(1)(2) (#) | Market Value of Shares or Units of Stocks That Have Not Vested(2)(3)(4) ($) | Equity Incentive Plan Awards: Number of Unearned Shares, Units or Other Rights That Have Not Vested(1)(3) (#) | Equity Incentive Plan Awards: Market or Payout Value of Unearned Shares Units or Other Rights That Have Not Vested(3)(4) ($) | | Eric M. Hambly | 135,365 | 4,230,148 | 228,151 | 7,129,710 | | Thomas J. Mireles | 106,763 | 3,336,341 | 142,334 | 4,447,949 | | E. Ted Botner | 60,433 | 1,888,519 | 80,682 | 2,521,301 | | Daniel R. Hanchera | 45,478 | 1,421,175 | 37,281 | 1,165,031 | | Maria A. Martinez | 32,425 | 1,013,297 | 22,279 | 696,233 |
Executive Officers
| 2025 Option Exercises and Stock Vested Table | | | | | | | Option Awards | | Stock Awards | | | Name | Number of Shares Acquired on Exercise (#) | Value Realized on Exercise ($) | Number of Shares Acquired on Vesting (#) | Value Realized on Vesting ($)(1) | | Eric M. Hambly | — | — | 94,017 | 2,465,090 | | Thomas J. Mireles | — | — | 80,221 | 2,103,312 | | E. Ted Botner | — | — | 53,066 | 1,391,355 | | Daniel R. Hanchera | — | — | 32,647 | 856,011 | | Maria A. Martinez | — | — | 22,638 | 620,218 |
Executive Officers
| 2025 Pension Benefits Table |
Executive Officers
| 2025 Nonqualified Deferred Compensation Table |
2025 Potential Payments Upon Termination or Change in Control Table
2025 Potential Payments Upon Termination or Change in Control Table Long-term incentive grants made to the NEOs (including the CEO) will accelerate and become fully vested upon a modified, double-trigger termination event, which requires (i) a Change in Control (“CIC”) transaction, followed, within 24 months, by (ii) a Good Reason resignation by the NEO or a termination of the NEO’s employment by the Company other than for “Cause” or “Disability” or by reason of death. In addition, pursuant to the Severance Protection Agreements (“SPA”) described below, the Company provides competitive cash severance compensation should the employment of an NEO be terminated within twenty-four (24) months following a CIC by the NEO for Good Reason or by the Company other than for Cause or Disability or by reason of death. In 2019, the Company entered into SPAs with Messrs. Hambly and Mireles and Ms. Martinez. In 2020 and 2022, the Company entered into a SPA with Mr. Botner and Mr. Hanchera, respectively. Each agreement, as amended, has an initial term of three years and will automatically be extended for successive one-year periods unless either party provides 90 days’ prior written notice of non-renewal. Mr. Hambly’s initial three-year term recommenced on January 1, 2025, upon his entry into a new agreement as President and CEO. The SPAs with the NEOs provide that if, within 24 months following a CIC, the Company terminates the NEO’s employment for any reason other than for Cause or Disability or by reason of the NEO’s death, or the NEO resigns for Good Reason (as such terms are defined in the agreements), the NEO will be entitled to the following severance benefits, subject to the execution of a Release of Claims:
2025 Potential Payments Upon Termination or Change in Control Table
| · | Cash Severance: a lump-sum cash payment equal to three times for Messrs. Hambly and Mireles and two and one-half times for the other NEOs (increased from two times in 2025) the sum of (i) the NEO’s annual base salary in effect immediately prior to the Termination Date (or, if greater, the highest rate in effect at any time during the 90-day period before the CIC) and (ii) the average of the NEO’s annual cash bonus for the three full fiscal years prior to the Termination Date (or, if greater, the three full fiscal years prior to the CIC); |
2025 Potential Payments Upon Termination or Change in Control Table
| · | Equity Awards: full vesting of all outstanding equity awards; |
2025 Potential Payments Upon Termination or Change in Control Table
| · | Benefits Continuation: continued life, accident, and health insurance coverage for the NEO and dependents for the 30-month period (or the 36-month period for Messrs. Hambly and Mireles) following the Termination Date (or, if more favorable, the date immediately prior to the first occurrence of a Good Reason event/circumstance) substantially similar to those provided to the NEO and dependents immediately prior to such date at no greater cost than the cost to the NEO immediately prior to the such date; and |
2025 Potential Payments Upon Termination or Change in Control Table
| · | Relocation Benefits: certain relocation benefits, if applicable. |
2025 Potential Payments Upon Termination or Change in Control Table
The NEOs, including the CEO, are not entitled to any tax gross-up payments for any golden parachute excise tax that may be imposed on them as a result of a CIC and severance benefits resulting from a subsequent termination of employment and will be subject to certain non-competition and non-solicitation restrictive covenants for one year following a severance-qualifying employment termination that occurs within 24 months following a CIC. The following table presents estimated amounts that would have been payable to the applicable NEO if the described event had occurred on December 31, 2025:
2025 Potential Payments Upon Termination or Change in Control Table
| Name | Category | Normal Termination ($)(1) | Change of Control ($) | | Eric M. Hambly | Severance | — | 5,516,248 | | | Non-equity compensation(2) | 1,324,063 | 1,324,063 | | | Unvested & Accelerated(3) | | | | | Performance-Based Restricted Stock Units | 1,390,094 | 8,519,803 | | | Time-Based Restricted Stock Units | 2,840,054 | 2,840,054 | | | Stock Options | — | — | | | Retirement Plan(4)(5) | — | — | | | Total | 5,554,211 | 18,200,168 | | Thomas J. Mireles | Severance | — | 3,835,695 | | | Non-equity compensation(2) | 702,450 | 702,450 | | | Unvested & Accelerated(3) | | | | | Performance-Based Restricted Stock Units | 1,390,094 | 5,838,043 | | | Time-Based Restricted Stock Units | 1,946,247 | 1,946,247 | | | Stock Options | — | — | | | Retirement Plan(4)(5) | — | — | | | Total | 4,038,791 | 12,322,435 | | E. Ted Botner | Severance | — | 2,443,018 | | | Non-equity compensation(2) | 469,192 | 469,192 | | | Unvested & Accelerated(3) | | | | | Performance-Based Restricted Stock Units | 628,786 | 3,150,086 | | | Time-Based Restricted Stock Units | 1,259,734 | 1,259,734 | | | Stock Options | — | — | | | Retirement Plan(4) | 369,996 | 369,996 | | | Total | 2,727,708 | 7,692,026 | | Daniel R. Hanchera | Severance | — | 2,127,403 | | | Non-equity compensation(2) | 411,569 | 411,569 | | | Unvested & Accelerated(3) | | | | | Performance-Based Restricted Stock Units | 386,757 | 1,551,788 | | | Time-Based Restricted Stock Units | 1,034,418 | 1,034,418 | | | Stock Options | — | — | | | Retirement Plan(4) | 249,816 | 249,816 | | | Total | 2,082,560 | 5,374,994 | | Maria A. Martinez | Severance | — | 1,826,358 | | | Non-equity compensation(2) | 343,420 | 343,420 | | | Unvested & Accelerated(3) | | | | | Performance-Based Restricted Stock Units | 169,141 | 865,374 | | | Time-Based Restricted Stock Units | 844,156 | 844,156 | | | Stock Options | — | — | | | Retirement Plan(4)(5) | — | — | | | Total | 1,356,717 | 3,879,308 |
2025 Potential Payments Upon Termination or Change in Control Table
| 1. | Reflects benefits payable upon an executive’s death, disability or retirement. |
2025 Potential Payments Upon Termination or Change in Control Table
| 2. | Non-equity compensation is calculated under the terms of the Company’s Annual Incentive Plan effective January 1, 2022. |
2025 Potential Payments Upon Termination or Change in Control Table
| 3. | Reflects the accelerated vesting of LTI only in a double-trigger vesting change in control event. |
2025 Potential Payments Upon Termination or Change in Control Table
| 4. | NEOs may receive benefits under the Company’s defined benefit pension plan upon retirement, depending on date of hire, age and years of service at termination. The Pension Benefits Table reports the present value of each NEOs accumulated benefit at December 31, 2025 unadjusted for retirement earlier than age 62, and such benefits are not accelerated or otherwise enhanced in connection with any termination scenario. As of December 31, 2025, Messrs. Botner and Hanchera were retirement eligible. Monthly pension benefits are payable in one of the following options: 50% Joint and Survivor; 75% Joint and Survivor; 100% Joint and Survivor; and 10 Years Certain. For purposes of this table, the annual payment of the monthly pension benefits is shown. |
2025 Potential Payments Upon Termination or Change in Control Table
| 5. | As of December 31, 2025, Mr. Hambly, Mr. Mireles and Ms. Martinez were not eligible for retirement. |
Pay Ratio
Pay Ratio In accordance with the requirements of Section 953(b) of the Dodd-Frank Act and Item 402(u) of Regulation S-K (which we collectively refer to as the “Pay Ratio Rule”), we are providing the following estimated information for 2025:
Pay Ratio
| · | the median of the annual total compensation of all our employees (except our Chief Executive Officer) was $203,493; |
Pay Ratio
| · | the annual total compensation of Chief Executive Officer was $7,651,445; and |
Pay Ratio
| · | the ratio of these two amounts was 38 to 1. We believe that this ratio is a reasonable estimate calculated in a manner consistent with the requirements of the Pay Ratio Rule. |
Pay Ratio
SEC rules for identifying the median employee and calculating the pay ratio allow companies to apply various methodologies and assumptions and, as a result, the pay ratio reported by us may not be comparable to the pay ratio reported by other companies.
Pay Versus Performance
Pay Versus Performance The following table sets forth the compensation for our Chief Executive Officer, referred to as Principal Executive Officer (PEO) in the disclosure below, and the average compensation for our other named executive officers (Non-PEO), both as reported in the Summary Compensation Table on page 35, and with certain adjustments to reflect the “compensation actually paid” to such individuals, as defined under SEC rules, fo r ea ch of 2025, 2024, 2023, 2022 and 2021. The table also provides information on our cumulative TSR, the cumulative TSR of our peer group, Net Income and Return on Average Capital Employed over such years in accordance with SEC rules.
Pay Versus Performance
| Pay Versus Performance | | | | | | | | | | | | | | | Value of Initial Fixed $100 Investment Based On: | | | | | Year (a) | Summary Compensation Table Total for PEO 1 ($) (b) | Compensation Actually Paid to PEO 2 ($) (c) | Average Summary Compensation Table Total for Non-PEO Named Executive Officers 1 ($) (d) | Average Compensation Actually Paid to Non-PEO Named Executive Officers 2 ($) (e) | Total Shareholder Return 3 ($) (f) | Peer Group Total Shareholder Return 3 ($) (g) | Net Income (in Thousands) 4 ($) (h) | Return on Average Capital Employed 5 (%) (i) | | 2025 | 7,651,445 | 9,913,266 | 2,680,029 | 2,913,859 | 302.12 | 282.89 | 104,234 | 20.4% | | 2024 | 10,376,263 | 2,332,583 | 3,681,969 | 3,965,381 | 277.88 | 280.65 | 407,171 | 23.1% | | 2023 | 13,261,841 | 11,808,393 | 3,662,369 | 1,071,009 | 379.60 | 296.63 | 661,559 | 28.3% | | 2022 | 13,444,418 | 39,752,198 | 3,741,335 | 8,083,159 | 372.45 | 296.53 | 965,047 | 31.4% | | 2021 | 11,381,012 | 26,071,102 | 3,111,741 | 8,330,184 | 221.25 | 187.09 | (73,664) | 16.9% |
Pay Versus Performance
| 1. | Compensation for our PEO reflects the amounts reported in the Summary Compensation Table for the individual serving as PEO in each respective year. For 2025, the PEO was Eric M. Hambly. For 2024, 2023, 2022 and 2021, the PEO was Roger W. Jenkins. Average compensation for non-PEOs includes the following named executive officers: (i) in 2025, Thomas J. Mireles, E. Ted Botner, Daniel R. Hanchera and Maria A. Martinez, (ii) in 2024, Thomas J. Mireles, Eric M. Hambly, E. Ted Botner and Daniel R. Hanchera, (iii) in 2023, Thomas J. Mireles, Eric M. Hambly, E. Ted Botner and Daniel R. Hanchera, (iv) in 2022, Thomas J. Mireles, Eric M. Hambly, E. Ted Botner, Daniel R. Hanchera and David R. Looney and (v) in 2021, David R. Looney, Eric M. Hambly, E. Ted Botner and Thomas J. Mireles. |
Pay Versus Performance
| 2. | Compensation “actually paid” for the PEO and average compensation “ actually paid” for our non-PEOs for 2025 reflects the respective amounts set forth in columns (b) and (d) of the table above, adjusted as set forth in the table below, as determined in accordance with SEC rules (Item 402(v) of Regulation S-K). The dollar amounts reflected in columns (b) and (d) of the table above do not reflect the actual amount of compensation earned by or paid to the PEO and our non-PEOs during the applicable year. For information regarding the decisions made by our Compensation Committee in regards to the PEO’s and our non-PEOs compensation for fiscal year 2025, see “Compensation Discussion and Analysis” above. |
Pay Versus Performance
| | PEO 2025 | Non-PEOs 2025 | | Summary Compensation Table Total | 7,651,445 | 2,680,029 | | Less Stock Award Value Reported in Summary Compensation Table for the Covered Year | (4,917,315) | (1,338,595) | | Plus Fair Value for Awards Granted in the Covered Year | 8,271,784 | 2,215,766 | | Change in Fair Value of Outstanding Unvested Awards from Prior Years | (1,518,731) | (686,277) | | Change in Fair Value of Awards from Prior Years that Vested in the Covered Year | (1,100) | 2,820 | | Less Fair Value of Awards Forfeited during the Covered Year | — | — | | Plus Fair Value of Incremental Dividends or Earnings Paid on Stock Awards | 741,420 | 297,852 | | Less Aggregate Change in Actuarial Present Value of Accumulated Benefit Under Pension Plans | (401,447) | (318,889) | | Plus Aggregate Service Cost and Prior Service Cost for Pension Plans | 87,210 | 61,153 | | Compensation Actually Paid | 9,913,266 | 2,913,859 |
Pay Versus Performance
| Fair values of equity awards set forth in the table above are computed in accordance with FASB ASC Topic 718 as of the end of the respective fiscal year, other than fair values of equity awards that vest in the covered year, which are va lued as of the applicable vesting date. |
Pay Versus Performance
| The aggregate change in actuarial present value of accumulated benefit under pension plans reflects the amount rep orted fo r the applicable year in the Summary Compensation Table. Service cost is calculated as the actuarial present value of benefits under all pension plans attributable to services rendered during the applicable fiscal year. Prior service cost is calculated as the entire cost of benefits granted (or credit for benefits reduced) in a plan amendment (or initiation) during the covered fiscal year that are attributable by the benefit formula to services rendered in periods prior to the applicable amendment. |
Pay Versus Performance
| 3. | TSR is cumulative for the measurement periods beginning on December 31, 2020 and ending on December 31 of each of 2025, 2024, 2023, 2022 and 2021, respectively, calculated in accordance with Item 201(e) of Regulation S-K. The peer group for purposes of this table is the S&P Oil & Gas Exploration & Production Select Industry Index (XOP), which is the same peer group as for the Shareholder Return Performance Presentation of the 2025 Form 10-K for the year ended December 31, 2025. |
Pay Versus Performance
| 4. | Reflects “Net Income” in the Company’s Consolidated Statements of Income included in the Company’s Annual Reports on Form 10-K for each of the years ended December 31, 2025, 2024, 2023, 2022 and 2021. |
Pay Versus Performance
| 5. | The following table sets forth an unranked list of the performance measures which we view as the “most important” measures for linking our named executive officers’ compensation actually paid to Company performance, as specifically listed below. For additional details on how these measures are utilized in our compensation program to link pay with performance, see “Compensation Discussion and Analysis” above. |
Pay Versus Performance
| Performance Measure | | ROACE (EBITDA / ACE) | | AIP Free Cash Flow ($MM) | | Lifting Costs | | TRIR | | Spill Rate | | GHG Emissions Intensity (metric ton CO 2 e per MMBOE) | | Sustainability Basket |