MURPHY OIL CORP 10-Q

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK The Company is exposed to market risks associated with prices of crude oil, natural gas and petroleum products, foreign currency exchange rates, and interest rates. As described in Note L , Murphy periodically makes use of derivative financial and commodity instruments to manage risks associated with existing or anticipated transactions. Commodity Price Risk There were commodity-based derivative contracts in place as of September 30, 2025, covering certain future U.S. natural gas sales volumes in 2025. A 10% increase in the respective benchmark price of these commodities would have decreased the net receivable associated with these derivative contracts by approximately $1.8 million, while a 10% decrease in the respective benchmark price would have increased the recorded net receivable by a similar amount. Foreign Exchange Risk There were no derivative foreign exchange contracts in place at September 30, 2025. Interest Rate Risk The Company’s senior unsecured RCF provides for variable interest rate borrowings. As of September 30, 2025, we had $150.0 million of outstanding borrowings under the RCF. Assuming no change in the amount of borrowings outstanding under the RCF, a 10% increase in the average interest rate would have increased our quarterly interest expense by approximately $0.3 million. Actual results may vary due to changes in the amount of variable rate debt outstanding.