Occidental Petroleum · Earnings release

PRESS RELEASE

Occidental Announces 4th Quarter 2024 Results

•Progressed on Occidental's deleveraging priorities:

–Completed our near-term debt repayment target of $4.5 billion

–Announced additional $1.2 billion of divestitures in the first quarter of 2025

•Increased quarterly dividend by 9% to $0.24 per share, payable April 15, 2025, to stockholders of record as of March 10, 2025

•Strong operational performance drove operating cash flow of $3.6 billion and operating cash flow before working capital of $3.1 billion

•Capital spending of $1.8 billion and contributions from noncontrolling interest of $54 million resulted in quarterly free cash flow before working capital of $1.4 billion

•Total company production of 1,463 Mboed exceeded the mid-point of guidance by 13 Mboed

•Midstream and marketing and Chemical segments exceeded income guidance

•Worldwide year-end proved reserves of 4.6 billion BOE with reserves replacement - all-in of 230% and reserves replacement - organic of 112%

HOUSTON — February 18, 2025 — Occidental (NYSE: OXY) today announced a net loss attributable to common stockholders of $297 million, or $0.32 per diluted share, and adjusted income attributable to common stockholders of $792 million, or $0.80 per diluted share, for the fourth quarter of 2024. Fourth quarter of 2024 after-tax items affecting comparability of $1.1 billion mainly comprised of booking a long-term environmental liability increase based on a recent federal court ruling. Occidental has appealed the ruling and will seek cost recovery from all potentially responsible parties. It is expected that the cash outlay for remediation costs will be expended over 10 to 20 years, or more.

"Our teams continued to demonstrate industry-leading performance during the fourth quarter of 2024, outperforming guidance across all three segments and delivering record U.S. production while improving our capital efficiency," said President and Chief Executive Officer Vicki Hollub. "Our operational excellence translated to another quarter of strong financial results, highlighted by our fourth quarter operating cash flow, enabling us to achieve our near-term debt repayment target of $4.5 billion. Additional key differentiators for Occidental are our 2024 all-in reserve replacement of 230% and organic reserves replacement of 112%, which are indicators of our long-term sustainability."

QUARTERLY RESULTS

Oil and Gas

Oil and gas pre-tax income for the fourth quarter of 2024 was $1.2 billion, compared to pre-tax income of $1.2 billion for the third quarter of 2024. For the fourth quarter of 2024, average WTI and Brent marker prices were $70.27 per barrel and $73.97 per barrel, respectively. Average worldwide realized crude oil prices decreased by 7% from the prior quarter to $69.73 per barrel. Average worldwide realized natural gas liquids prices increased by 6% from the prior quarter to $21.80 per barrel. Average domestic realized gas prices increased by 215% from the prior quarter to $1.26 per thousand cubic feet (Mcf).

Total average global production of 1,463 thousand barrels of oil equivalent per day (Mboed) for the fourth quarter of 2024 exceeded the mid-point of guidance by 13 Mboed, led by Permian and Rockies & Other Domestic, while Gulf of America and International average daily production both came within guidance.

Oil and Gas Proved Reserves

As of December 31, 2024, Occidental's worldwide proved reserves totaled 4.6 billion barrels of oil equivalent (BOE), compared to 4.0 billion BOE for the same period in the prior year. Proved reserve additions were mainly driven by purchases of 623 million BOE, primarily from the CrownRock Acquisition, extensions and discoveries of 326 million BOE, mostly in the Permian Basin, and positive revisions associated with infill development projects of 112 million BOE, primarily in the DJ and Permian Basins. The 2024 Reserves Replacement - All-In was 230% and the three-year average Reserves Replacement - All-In was 181%. The 2024 Reserves Replacement - Organic was 112% and the three-year average Reserves Replacement - Organic was 137%.

OxyChem

OxyChem pre-tax income exceeded guidance at $270 million for the fourth quarter of 2024. The decrease in fourth quarter OxyChem income, compared to third quarter of 2024 income, resulted primarily from lower realized polyvinyl chloride (PVC) pricing and lower seasonal fourth quarter demand across most product lines. This decrease was partially offset by advantageous commercial thresholds triggered in the fourth quarter.

Midstream and Marketing

Midstream and marketing pre-tax results for the fourth quarter of 2024 reflected a loss of $134 million, which included net derivative losses of $88 million. WES equity method investment income for the fourth quarter was $142 million.

Supplemental Non-GAAP Measures

This press release refers to adjusted income (loss), operating cash flow before working capital, capital expenditures, net of noncontrolling interest, free cash flow before working capital and adjusted selling, general and administrative (SG&A), other operating and non-operating expenses, which are supplemental measures not calculated in accordance with generally accepted accounting principles in the United States (GAAP). These non-GAAP financial measures have limitations as analytical tools and should not be considered in isolation or as an alternative to the comparable GAAP financial measures. Definitions of adjusted income (loss) and a reconciliation to net income (loss), along with operating cash flow from continuing operations before working capital, capital expenditures, net of noncontrolling interest, free cash flow before working capital and adjusted SG&A, other operating and non-operating expenses and a reconciliation to the comparable GAAP financial measures, are included in the financial schedules of this press release.

Occidental’s definition of adjusted income (loss), operating cash flow from continuing operations before working capital, capital expenditures, net of noncontrolling interest, free cash flow before working capital and adjusted SG&A, other operating and non-operating expenses may differ from similarly titled measures provided by other companies in our industry and as a result may not be comparable.

This press release also refers to F&D Costs and reserves replacement ratio, which are non-GAAP measures that Occidental believes are widely used in our industry, as well as by analysts and investors, to measure and evaluate the cost of replacing annual production and adding proved reserves. Occidental's definitions of these non-GAAP measures may differ from similarly titled

measures provided by other companies and as a result may not be comparable. F&D Costs - All-In is calculated by dividing total costs incurred for the year as defined by GAAP by the sum of proved reserves revisions, improved recovery, extensions and discoveries and purchases of minerals in place for the year. F&D Costs - Organic excludes from F&D Costs - All-In both the property acquisition costs and purchases of minerals in place, and F&D Costs - Program Additions further excludes price and other revisions that are not infills. Reserves Replacement - All-In is calculated by dividing the sum of proved reserves revisions, improved recovery, extensions and discoveries and purchases and sales of minerals in place for the year by current year production.

Reserves Replacement - Organic excludes from Reserves Replacement - All-In purchases and sales of minerals in place for the year. Reserves Replacement - Program Additions further excludes price and other revisions that are not infills.

About Occidental

Occidental is an international energy company with assets primarily in the United States, the Middle East and North Africa. We are one of the largest oil and gas producers in the U.S., including a leading producer in the Permian and DJ basins, and offshore Gulf of America. Our midstream and marketing segment provides flow assurance and maximizes the value of our oil and gas, and includes our Oxy Low Carbon Ventures subsidiary, which is advancing leading-edge technologies and business solutions that economically grow our business while reducing emissions. Our chemical subsidiary OxyChem manufactures the building blocks for life-enhancing products. We are dedicated to using our global leadership in carbon management to advance a lower-carbon world. Visit oxy.com for more information.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements about Occidental’s expectations, beliefs, plans or forecasts. All statements other than statements of historical fact are “forward-looking statements” for purposes of federal and state securities laws, including, but not limited to: any projections of earnings, revenue or other financial items or future financial position or sources of financing; any statements of the plans, strategies and objectives of management for future operations or business strategy; any statements regarding future economic conditions or performance; any statements of belief; and any statements of assumptions underlying any of the foregoing.

Words such as “estimate,” “project,” “predict,” “will,” “would,” “should,” “could,” “may,” “might,” “anticipate,” “plan,” “intend,” “believe,” “expect,” “aim,” “goal,” “target,” “objective,” "commit," "advance," “likely” or similar expressions that convey the prospective nature of events or outcomes are generally indicative of forward-looking statements. You should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release unless an earlier date is specified. Unless legally required, Occidental does not undertake any obligation to update, modify or withdraw any forward-looking statements as a result of new information, future events or otherwise.

Forward-looking statements involve estimates, expectations, projections, goals, forecasts, assumptions, risks and uncertainties. Actual outcomes or results may differ from anticipated results, sometimes materially. Factors that could cause results to differ from those projected or assumed in any forward-looking statement include, but are not limited to: general economic conditions, including slowdowns and recessions, domestically or internationally; Occidental’s indebtedness and other payment obligations, including the need to generate sufficient cash flows to fund operations; Occidental’s ability to successfully monetize select assets and repay or refinance debt and the impact of changes in Occidental’s credit ratings or future increases in interest rates; assumptions about energy markets; global and local commodity and commodity-futures pricing fluctuations and volatility; supply and demand considerations for, and the prices of, Occidental’s products and services; actions

by the Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC oil producing countries; results from operations and competitive conditions; future impairments of Occidental's proved and unproved oil and gas properties or equity investments, or write-downs of productive assets, causing charges to earnings; unexpected changes in costs; inflation, its impact on markets and economic activity and related monetary policy actions by governments in response to inflation; availability of capital resources, levels of capital expenditures and contractual obligations; the regulatory approval environment, including Occidental's ability to timely obtain or maintain permits or other government approvals, including those necessary for drilling and/or development projects; Occidental's ability to successfully complete, or any material delay of, field developments, expansion projects, capital expenditures, efficiency projects, acquisitions or divestitures; risks associated with acquisitions, mergers and joint ventures, such as difficulties integrating businesses, uncertainty associated with financial projections or projected synergies, restructuring, increased costs and adverse tax consequences; uncertainties and liabilities associated with acquired and divested properties and businesses; uncertainties about the estimated quantities of oil, NGL and natural gas reserves; lower-than-expected production from development projects or acquisitions; Occidental’s ability to realize the anticipated benefits from prior or future streamlining actions to reduce fixed costs, simplify or improve processes and improve Occidental’s competitiveness; exploration, drilling and other operational risks; disruptions to, capacity constraints in, or other limitations on the pipeline systems that deliver Occidental’s oil and natural gas and other processing and transportation considerations; volatility in the securities, capital or credit markets, including capital market disruptions and instability of financial institutions; government actions (including geopolitical, trade, tariff and regulatory uncertainties), war (including the Russia-Ukraine war and conflicts in the Middle East) and political conditions and events; health, safety and environmental (HSE) risks, costs and liability under existing or future federal, regional, state, provincial, tribal, local and international HSE laws, regulations and litigation (including related to climate change or remedial actions or assessments); legislative or regulatory changes, including changes relating to hydraulic fracturing or other oil and natural gas operations, retroactive royalty or production tax regimes, and deep-water and onshore drilling and permitting regulations; Occidental's ability to recognize intended benefits from its business strategies and initiatives, such as Occidental's low-carbon ventures businesses or announced greenhouse gas emissions reduction targets or net-zero goals; potential liability resulting from pending or future litigation, government investigations and other proceedings; disruption or interruption of production or manufacturing or facility damage due to accidents, chemical releases, labor unrest, weather, power outages, natural disasters, cyber-attacks, terrorist acts or insurgent activity; the scope and duration of global or regional health pandemics or epidemics, and actions taken by government authorities and other third parties in connection therewith; the creditworthiness and performance of Occidental's counterparties, including financial institutions, operating partners and other parties; failure of risk management; Occidental’s ability to retain and hire key personnel; supply, transportation and labor constraints; reorganization or restructuring of Occidental’s operations; changes in state, federal or international tax rates; and actions by third parties that are beyond Occidental's control.

Additional information concerning these and other factors that may cause Occidental's results of operations and financial position to differ from expectations can be found in Occidental’s other filings with the U.S. Securities and Exchange Commission, including Occidental’s Annual Report on Form 10-K for the year ended December 31, 2024, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.

Contacts

Media

Investors

Eric Moses

R. Jordan Tanner

eric_moses@oxy.com

investors@oxy.com

Occidental Petroleum Corporation

Earnings Release Schedules Index

Schedule # and Description

1.Summary Highlights

2.Items Affecting Comparability Detail

•Before Tax Allocations

•After Tax Allocations

3.Segment Results Before Tax Allocations

•Reported Results

•Items Affecting Comparability

•Adjusted Results (non-GAAP)

4.Segment Results After Tax Allocations

•Reported Results

•Items Affecting Comparability

•Adjusted Results (non-GAAP)

•Reconciliation - Diluted EPS

5.Consolidated Condensed Statements of Operations

6.Consolidated Condensed Balance Sheets

7.Consolidated Condensed Statements of Cash Flows

•Detail of Capital Expenditures and Depreciation, Depletion and Amortization

•Free Cash Flow (non-GAAP)

8.Oil & Gas Net Production Volumes Per Day

•MBOE/D

•By Commodity

9.Oil & Gas Net Sales Volumes Per Day and Realized Prices

•MBOE/D

•Realized Prices and Related Index Prices

10.Oil and Gas Metrics

11.Reserves Replacement and Multi-Year Data - Worldwide

12.Reserves Replacement and Multi-Year Data - United States Only

13.Total Proved Reserves

14.Proved Oil Reserves

15.Proved NGL Reserves

16.Proved Natural Gas Reserves

17.Costs Incurred

SCHEDULE 1

Occidental Petroleum Corporation

Summary Highlights

Quarterly

Qtr 1

Qtr 2

Qtr 3

Qtr 4

TY

Qtr 1

Qtr 2

Qtr 3

Qtr 4

TY

Net Income ($ millions)

Reported income attributable to common stockholders

$

$

$

$

$

$

$

$

$

Reported EPS - Diluted ($/share)

$

$

$

$

$

$

$

$

$

$

Effective tax rate on reported income (loss) (%)

%

%

%

%

%

%

%

%

%

(a)

%

Adjusted income attributable to common stockholders (Non-GAAP) (b)

$

$

$

$

$

$

$

$

$

Adjusted EPS - Diluted (Non-GAAP) ($/share) (c)

$

$

$

$

$

$

$

$

$

$

Effective tax rate on adjusted income (loss) (%)

%

%

%

%

%

%

%

%

%

%

Average Shares Outstanding - Reported Income

Basic (millions)

Diluted (millions)

Average Shares Outstanding - Adjusted Income (Non-GAAP)

Basic (millions)

Diluted (millions)

Daily Production Volumes

Total US (MBOE/D)

US Oil (MBBL/D)

Worldwide Production (MBOE/D)

Worldwide Sales (MBOE/D)

Commodity Price Realizations

Worldwide Oil ($/BBL)

$

$

$

$

$

$

$

$

$

$

Worldwide NGL ($/BBL)

$

$

$

$

$

$

$

$

$

$

Domestic Gas ($/MCF)

$

$

$

$

$

$

$

$

$

$

Cash Flows ($ millions)

Operating cash flow before working capital (Non-GAAP) (d)

$

$

$

$

$

$

$

$

$

Working capital changes

$

$

$

$

$

$

$

$

$

Operating cash flow

$

$

$

$

$

$

$

$

$

Capital expenditures, net of noncontrolling interest (Non-GAAP) (d)

$

$

$

$

$

$

$

$

$

Year-to-date

Mar

Jun

Sep

Dec

Mar

Jun

Sep

Dec

Net Income ($ millions)

Reported income attributable to common stockholders

$

$

$

$

$

$

$

$

Reported EPS - Diluted ($/share)

$

$

$

$

$

$

$

$

Effective tax rate on reported income (loss) (%)

%

%

%

%

%

%

%

%

Adjusted income attributable to common stockholders (Non-GAAP) (b)

$

$

$

$

$

$

$

$

Adjusted EPS - Diluted (Non-GAAP) ($/share) (c)

$

$

$

$

$

$

$

$

Effective tax rate on adjusted income (loss) (%)

%

%

%

%

%

%

%

%

Average Shares Outstanding - Reported Income

Basic (millions)

Diluted (millions)

Average Shares Outstanding - Adjusted Income

Basic (millions)

Diluted (millions)

Daily Production Volumes

Total US (MBOE/D)

US Oil (MBBL/D)

Worldwide Production (MBOE/D)

Worldwide Sales (MBOE/D)

Commodity Price Realizations

Worldwide Oil ($/BBL)

$

$

$

$

$

$

$

$

Worldwide NGL ($/BBL)

$

$

$

$

$

$

$

$

Domestic Gas ($/MCF)

$

$

$

$

$

$

$

$

Cash Flows ($ millions)

Operating cash flows before working capital (Non-GAAP) (d)

$

$

$

$

$

$

$

$

Working capital changes

$

$

$

$

$

$

$

$

Operating cash flow

$

$

$

$

$

$

$

$

Capital expenditures, net of noncontrolling interest (Non-GAAP) (c)

$

$

$

$

$

$

$

$

(a) Percentage impacted by reported net loss.

(b) See schedule 3 for non-GAAP reconciliation.

(c) See schedule 4 for non-GAAP reconciliation.

(d) See schedule 7 for non-GAAP reconciliation.

SCHEDULE 2

Occidental Petroleum Corporation

Items Affecting Comparability Detail

(amounts in millions)

Before Tax Allocations

Qtr 1

Qtr 2

Qtr 3

Qtr 4

TY

Qtr 1

Qtr 2

Qtr 3

Qtr 4

TY

Oil & Gas

Domestic

Gains (losses) on sales of assets and other, net

$

—

$

—

$

$

—

$

$

—

$

—

$

$

$

Legal settlement gain

—

—

—

—

—

—

—

—

Asset impairments

—

—

—

—

—

—

Total Domestic

—

—

—

International

Legal reserves

—

—

—

—

—

—

—

Asset sales gains, net

—

—

—

—

—

—

—

—

Total International

—

—

—

—

—

Total Oil and Gas

Chemical

Legal reserves

—

—

—

—

—

(6)

—

—

Total Chemical

—

—

—

—

—

(6)

—

—

Midstream & Marketing

Gains on sales of assets and other, net (a)

—

—

—

—

Asset impairments and other charges (a)

—

—

—

—

—

TerraLithium fair value gain

—

—

—

—

—

—

—

—

Carbon Engineering fair value gain

—

—

—

—

—

—

—

—

Acquisition-related costs

—

—

—

—

—

—

—

—

Derivative gains (losses), net (a)

(8)

5

Total Midstream & Marketing

Corporate

Acquisition-related costs (b)

—

—

—

(6)

(6)

(9)

Gains on sales of assets and other, net

—

—

—

—

—

—

—

—

Passaic environmental reserve

—

—

—

—

—

—

—

—

Environmental receivable valuation allowance adjustment

—

—

—

—

—

—

Total Corporate

—

—

(6)

State tax rate revaluation

—

—

—

—

—

—

Income tax impact on Algeria contract renewal

—

3

—

—

—

—

Income tax impact on items affecting comparability

2

—

7

(9)

4

Preferred stock redemption premium

—

—

—

—

—

—

Discontinued operations, net of taxes

—

—

—

—

—

—

—

—

Total

$

$

$

$

$

$

$

(1)

$

$

$

After Tax Allocations

Qtr 1

Qtr 2

Qtr 3

Qtr 4

TY

Qtr 1

Qtr 2

Qtr 3

Qtr 4

TY

Oil & Gas

Domestic

Gains (losses) on sales of assets and other, net

$

—

$

—

$

$

—

$

$

—

$

—

$

$

$

Legal settlement gain

—

—

—

—

—

—

—

—

Asset impairments

—

—

—

—

—

—

Total Domestic

—

—

—

International

Legal reserves

—

—

—

—

—

—

—

Asset sales gains, net

—

—

—

—

—

—

—

—

Total International

—

—

—

—

—

Total Oil and Gas

(8)

Chemical

Legal reserves

—

—

—

—

—

(5)

—

—

(8)

Total Chemical

—

—

—

—

—

(5)

—

—

(8)

Midstream & Marketing

Gains on sale of assets and other, net (a)

—

—

—

—

Asset impairments and other charges (a)

—

—

—

—

—

TerraLithium fair value gain

—

—

—

—

—

—

—

—

Carbon Engineering fair value gain

—

—

—

—

—

—

—

—

Acquisition-related costs

—

—

—

—

—

—

—

—

Derivative gains (losses), net (a)

(6)

3

Total Midstream & Marketing

Corporate

Acquisition-related costs (b)

—

—

—

(4)

(4)

(7)

Gains on sales of assets and other, net

—

—

—

—

—

—

—

—

Passaic environmental reserve

—

—

—

—

—

—

—

—

Environmental receivable valuation allowance adjustment

—

—

—

—

—

—

Total Corporate

—

—

(4)

State tax rate revaluation

—

—

—

—

—

—

Income tax impact on Algeria contract renewal

—

3

—

—

—

—

Preferred stock redemption premium

—

—

—

—

—

—

Discontinued operations, net of taxes

—

—

—

—

—

—

—

—

Total

$

$

$

$

$

$

$

(1)

$

$

$

(a) Included gains on sales, charges and derivative gains (losses) from income from equity investments and other.

(b) Included debt issuance costs from interest and debt expense, net.

SCHEDULE 3

Occidental Petroleum Corporation

Segment Results Before Tax Allocations

(amounts in millions, except per share and effective tax rate amounts)

Reported Income

Qtr 1

Qtr 2

Qtr 3

Qtr 4

TY

Qtr 1

Qtr 2

Qtr 3

Qtr 4

TY

Oil & Gas

Domestic

$

$

$

$

$

$

$

$

$

$

International

Exploration

Total Oil & Gas

Chemical

Midstream & Marketing

2

Segment income

Corporate

Interest

Other

Income from continuing operations before taxes

Taxes

Federal and state

International

Income from continuing operations

Discontinued operations, net of taxes

—

—

—

—

—

—

—

—

Net income

Less: Net income attributable to noncontrolling interest

—

—

—

—

—

—

(8)

(7)

(7)

Less: Preferred stock dividends and redemption premiums

Net income attributable to common stockholders

$

$

$

$

$

$

$

$

$

$

Reported diluted income per share

$

$

$

$

$

$

$

$

$

$

Effective Tax Rate

%

%

%

%

%

%

%

%

%

%

Items Affecting Comparability

Oil & Gas

Domestic

$

$

$

$

—

$

$

—

$

—

$

$

$

International

—

—

—

—

—

Exploration

—

—

—

—

—

—

—

—

—

—

Total Oil & Gas

Chemical

—

—

—

—

—

(6)

—

—

Midstream & Marketing

Segment income (loss)

(8)

Corporate

Interest

—

—

—

—

—

(6)

3

Other

—

—

(6)

Income (loss) from continuing operations before taxes

(8)

Taxes

Federal and state

2

7

(9)

4

International

—

3

—

—

—

—

Income (loss) from continuing operations

(6)

9

(1)

Discontinued operations, net of taxes

—

—

—

—

—

—

—

—

Net income (loss)

(6)

9

(1)

Less: Net income attributable to noncontrolling interest

—

—

—

—

—

—

—

—

—

—

Less: Preferred stock redemption premiums

—

—

—

—

—

—

Net income (loss) attributable to common stockholders

$

$

$

$

$

$

$

(1)

$

$

$

Adjusted Income (Non-GAAP) (a)

Oil & Gas

Domestic

$

$

$

$

$

$

$

$

$

$

International