Occidental’s loss narrows in Q1
US-based Occidental Petroleum reported May 10 that its net loss during the first quarter improved year over year, while its production volume came in better than expected.
Occidental took a $346mn loss during the three month period ending March 31, compared with the net loss of $2.2bn during the same period last year. CEO Vicki Hollub said the first quarter performance showed the company has a consistent record of strength.
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“Our commitment to capital discipline contributed to first quarter free cash flow of $1.6bn," she said. "Occidental is well positioned to continue to use excess cash flows, coupled with asset sales proceeds, to reduce debt and other financial obligations.”
The company reported an average 1.12mn barrels of oil equivalent/day in production from continuing worldwide operations, beating its guidance for the period. But it was nevertheless lower than the 1.44mn boe/d realised during the same period last year.
Occidental last year committed to spending $140mn on exploration onshore Abu Dhabi after securing a concession from Emirati national oil company Adnoc. In the event of a commercial discovery, Occidental has a right to a production concession to develop the find, while Adnoc has an option for a 60% interest in the project.
In the US, the company in March said it wants to build what will be the world's largest CO2 direct air capture plant in the Permian basin, capable of capturing up to 1mn metric tons/year of atmospheric CO2.