Murphy Exploration lets subsea contract for Gulf of Mexico development

Murphy Exploration & Production Co. has let a contract to Subsea 7 SA for the String Music development in the US Gulf of Mexico.

The project includes engineering, procurement, construction, and offshore installation of a production flowline and related subsea infrastructure tied back to the Delta House development in Mississippi Canyon 431, in water depths of up to 1,850 m.

Project management and engineering activities will begin immediately at Subsea7’s office in Houston, Tex., with offshore operations scheduled for 2027.

Subsea7 values the contract at $50-150 million.

First-quarter Gulf of Mexico opportunities 

As part of its first-quarter 2026 earnings presentation, Murphy detailed additional Gulf of Mexico plans, noting a priority for infrastructure-led exploration. 

In the quarter, the company sanctioned development of the Banjo and Cello discoveries, targeting first oil in fourth-quarter 2027. Cello #1 and Banjo #1 delivered 30 ft and 50 ft of net pay, respectively, and are also expected to be developed as subsea tiebacks to Delta House.

Also in the quarter, Murphy noted it secured 14 exploration blocks in the Gulf of Mexico from the December 2025 federal lease sale.  

Overall, the company expects to allocate 26% of its $1.25-billion 2026 capital expenditure plan on Gulf of Mexico activities.