The company has been trying to divest the 135,000bpd plant and the Murco petrol stations for around four years.
Murphy plans to sell the struggling refinery to the London-based Greybull Capital, which has agreed to fund a major planned maintenance at the plant within the next 18 months.
The maintenance turnaround at the refinery has been expected to cost around $75m, reports Reuters.
Murphy Oil Emma Murphy was quoted by the publication, as saying, "Discussions with regard to the sale of the Murco UK business by its U.S. parent, Murphy Oil Corporation, are ongoing and are at an advanced stage."
In addition, Murco operates three storage and distribution terminals in Britain that are supplied by rail from the refinery and handle around 2 million tonnes of oil product per year.
