R
Annual Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
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¨
Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
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For the fiscal year ended December 31, 2012
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For the transition period from to
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State or other jurisdiction of incorporation or organization
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Delaware
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I.R.S. Employer Identification No.
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95-4035997
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Address of principal executive offices
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10889 Wilshire Blvd., Los Angeles, CA
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Zip Code
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90024
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Registrant's telephone number, including area code
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(310) 208-8800
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Title of Each Class
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Name of Each Exchange on Which Registered
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9 1/4% Senior Debentures due 2019
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New York Stock Exchange
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Common Stock
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New York Stock Exchange
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Large Accelerated Filer
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R
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Accelerated Filer
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£
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Non-Accelerated Filer
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£
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Smaller Reporting Company
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£
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TABLE OF CONTENTS
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Page
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Part I
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Items 1 and 2
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Business and Properties
.........................................................................................................................................................
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General
..............................................................................................................................................................................
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Oil and Gas Operations
.....................................................................................................................................................
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Chemical Operations
.........................................................................................................................................................
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Midstream, Marketing and Other Operations
....................................................................................................................
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Capital Expenditures
.........................................................................................................................................................
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Employees
.........................................................................................................................................................................
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Environmental Regulation
.................................................................................................................................................
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Available Information
.........................................................................................................................................................
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Item 1A
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Risk Factors
............................................................................................................................................................................
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Item 1B
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Unresolved Staff Comments
...................................................................................................................................................
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Item 3
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Legal Proceedings
..................................................................................................................................................................
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Item 4
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Mine Safety Disclosures
........................................................................................................................................................
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Executive Officers...................................................................................................................................................................
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Part II
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Item 5
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Item 6
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Selected Financial Data
..........................................................................................................................................................
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Item 7 and 7A
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Management’s Discussion and Analysis of Financial Condition and Results of Operations (MD&A)
.....................................
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Strategy
.............................................................................................................................................................................
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Oil and Gas Segment
........................................................................................................................................................
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Chemical Segment
............................................................................................................................................................
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Midstream, Marketing and Other Segment
........................................................................................................................
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Segment Results of Operations
.........................................................................................................................................
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Significant Items Affecting Earnings
..................................................................................................................................
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Taxes
.................................................................................................................................................................................
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Consolidated Results of Operations
..................................................................................................................................
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Consolidated Analysis of Financial Position
......................................................................................................................
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Liquidity and Capital Resources
........................................................................................................................................
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Off-Balance-Sheet Arrangements
......................................................................................................................................
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Contractual Obligations
.....................................................................................................................................................
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Lawsuits, Claims and Contingencies
.................................................................................................................................
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Environmental Liabilities and Expenditures
.......................................................................................................................
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Foreign Investments
..........................................................................................................................................................
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Critical Accounting Policies and Estimates
........................................................................................................................
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Significant Accounting and Disclosure Changes
...............................................................................................................
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Derivative Activities and Market Risk
.................................................................................................................................
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Safe Harbor Discussion Regarding Outlook and Other Forward-Looking Data
................................................................
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Item 8
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Financial Statements and Supplementary Data
......................................................................................................................
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Management's Annual Assessment of and Report on Internal Control Over Financial Reporting
.....................................
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Report of Independent Registered Public Accounting Firm on Consolidated Financial Statements
.................................
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Consolidated Balance Sheets
...........................................................................................................................................
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Consolidated Statements of Income
..................................................................................................................................
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Consolidated Statements of Comprehensive Income
.......................................................................................................
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Consolidated Statements of Stockholders' Equity
.............................................................................................................
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Consolidated Statements of Cash Flows
...........................................................................................................................
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Notes to Consolidated Financial Statements
.....................................................................................................................
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Quarterly Financial Data (Unaudited)
................................................................................................................................
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Supplemental Oil and Gas Information (Unaudited)
..........................................................................................................
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Schedule II – Valuation and Qualifying Accounts
..............................................................................................................
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Item 9
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Changes in and Disagreements with Accountants on Accounting and Financial Disclosure
..................................................
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Item 9A
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Controls and Procedures
........................................................................................................................................................
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Disclosure Controls and Procedures
.................................................................................................................................
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Item 9B
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Other Information....................................................................................................................................................................
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Part III
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Item 10
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Directors, Executive Officers and Corporate Governance
......................................................................................................
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Item 11
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Executive Compensation
........................................................................................................................................................
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Item 12
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Security Ownership of Certain Beneficial Owners and Management
.....................................................................................
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Item 13
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Certain Relationships and Related Transactions and Director Independence
........................................................................
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Item 14
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Principal Accountant Fees and Services
.................................................................................................................................
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Part IV
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Item 15
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Exhibits and Financial Statement Schedules
..........................................................................................................................
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ITEMS 1 AND 2
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BUSINESS AND PROPERTIES
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2012
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2011
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2010
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||||||||||||||||||||||||||||||
Proved Reserves
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Oil
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NGLs
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Gas
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BOE
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(a)
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Oil
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NGLs
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Gas
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BOE
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(a)
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Oil
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NGLs
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Gas
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BOE
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(a)
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||||||||||||
United States
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1,567
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216
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2,889
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2,265
|
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1,526
|
|
|
225
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|
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3,365
|
|
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2,313
|
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1,460
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237
|
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3,034
|
|
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2,203
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International
(b,c)
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469
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116
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2,679
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1,031
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482
|
|
|
55
|
|
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1,958
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863
|
|
|
552
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|
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61
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|
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2,104
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964
|
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Total
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2,036
|
|
|
332
|
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5,568
|
|
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3,296
|
|
(d)
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2,008
|
|
|
280
|
|
|
5,323
|
|
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3,176
|
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(d)
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2,012
|
|
|
298
|
|
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5,138
|
|
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3,167
|
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(d)
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Sales Volumes
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||||||||||||
United States
|
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93
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|
|
27
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|
|
300
|
|
|
170
|
|
|
84
|
|
|
25
|
|
|
285
|
|
|
156
|
|
|
80
|
|
|
19
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|
|
247
|
|
|
140
|
|
|
International
(b,c)
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78
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|
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3
|
|
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170
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|
|
110
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|
|
80
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|
|
4
|
|
|
162
|
|
|
111
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|
|
83
|
|
|
5
|
|
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172
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|
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117
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Total
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171
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|
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30
|
|
|
470
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|
|
280
|
|
|
164
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29
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|
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447
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|
|
267
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|
|
163
|
|
|
24
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|
|
419
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|
|
257
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|
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(a)
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Natural gas volumes have been converted to BOE based on energy content of six thousand cubic feet (Mcf) of gas to one barrel of oil. Barrels of oil equivalence does not necessarily result in price equivalence. The price of natural gas on a barrel of oil equivalent basis is currently substantially lower than the corresponding price for oil and has been similarly lower over the recent past. For example, in 2012, the average prices of West Texas Intermediate (WTI) oil and New York Mercantile Exchange (NYMEX) natural gas were $94.21 per barrel and $2.81 per Mcf, respectively, resulting in an oil to gas ratio of over 30.
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(b)
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Excludes volumes from the Argentine operations sold in February 2011 and classified as discontinued operations.
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(c)
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Reserves exclude the former noncontrolling interest in a Colombian subsidiary because, on December 31, 2010, Occidental restructured its Colombian operations to take a direct working interest in the related assets. The 2010 sales volumes include the noncontrolling interest in the Colombian subsidiary, while the 2012 and 2011 sales volumes exclude such amounts.
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(d)
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Stated on a net basis after applicable royalties. Includes proved reserves related to production-sharing contracts (PSCs) and other similar economic arrangements of 0.9 billion BOE in 2012, 1.0 billion BOE in 2011 and 1.1 billion BOE in 2010.
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Principal Products
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Major Uses
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Annual Capacity
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Basic Chemicals
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Chlorine
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Raw material for ethylene dichloride (EDC), water treatment and pharmaceuticals
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4.0 million tons
(a)
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Caustic soda
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Pulp, paper and aluminum production
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4.2 million tons
(a)
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Chlorinated organics
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Refrigerants, silicones and pharmaceuticals
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0.9 billion pounds
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Potassium chemicals
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Fertilizers, batteries, soaps, detergents and specialty glass
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0.4 million tons
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EDC
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Raw material for vinyl chloride monomer (VCM)
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2.4 billion pounds
(a)
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Chlorinated isocyanurates
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Swimming pool sanitation and disinfecting products
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131 million pounds
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Sodium silicates
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Catalysts, soaps, detergents and paint pigments
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0.6 million tons
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Calcium chloride
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Ice melting, dust control, road stabilization and oil field services
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0.7 million tons
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Vinyls
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VCM
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Precursor for polyvinyl chloride (PVC)
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6.2 billion pounds
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PVC
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Piping, building materials, and automotive and medical products
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3.7 billion pounds
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Other Chemicals
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Resorcinol
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Tire manufacture, wood adhesives and flame retardant synergist
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50 million pounds
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(a)
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Includes gross capacity of a joint venture in Brazil, owned 50 percent by Occidental.
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Location
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Description
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Capacity
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Gas Plants
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California, Texas, New Mexico and Colorado
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Occidental- and third-party-operated natural gas gathering, compression and processing systems, and CO
2
processing
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3.1 billion cubic feet per day
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Pipelines
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Texas, New Mexico and Oklahoma
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Common carrier oil pipeline and storage system
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365,000 barrels of oil per day
5.8 million barrels of oil storage
2,700 miles of pipeline
|
Texas, New Mexico and Colorado
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CO
2
fields and pipeline systems transporting CO
2
to oil and gas producing locations
|
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2.4 billion cubic feet per day
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Dolphin Pipeline - Qatar and United Arab Emirates
|
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Equity investment in a natural gas pipeline
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3.2 billion cubic feet of natural gas per day
(a)
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Western and Southern United States and Canada
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Equity investment in entity involved in pipeline transportation, storage, terminalling and marketing of oil, gas and related petroleum products
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18,800 miles of pipeline and gathering systems
(b)
Storage for 135 million barrels of oil and other petroleum products and 93 billion cubic feet of natural gas
(b)
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Marketing and Trading
|
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Texas, Connecticut, United Kingdom, Singapore and other
|
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Trades around its assets, including transportation and storage capacity, and purchases, markets and trades oil, NGLs, gas, power and other commodities
|
|
Not applicable
|
Power Generation
|
|
|
|
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California, Texas and Louisiana
|
|
Occidental-operated power and steam generation facilities
|
|
1,800 megawatts per hour
and 1.6 million pounds of steam per hour
|
(a)
|
Pipeline currently transports 2.3 Bcf per day. Additional gas compression and customer contracts are required to reach capacity.
|
(b)
|
Amounts are gross, including interests held by third parties.
|
Ø
|
Forms 10-K, 10-Q, 8-K and amendments to these forms as soon as reasonably practicable after they are electronically filed with, or furnished to, the Securities and Exchange Commission (SEC);
|
Ø
|
Other SEC filings, including Forms 3, 4 and 5; and
|
Ø
|
Corporate governance information, including its corporate governance guidelines, board-committee charters and Code of Business Conduct. (See Part III, Item 10, of this report for further information.)
|
Ø
|
new or amended laws and regulations, or interpretations of such laws and regulations, including those related to drilling, manufacturing or production processes (including hydraulic fracturing), labor and employment, taxes, royalty rates, permitted production rates, entitlements, import, export and use of equipment, use of land, water and other natural resources, safety, security and environmental protection, all of which may increase Occidental’s costs or reduce the demand for its products; and
|
Ø
|
refusal of, or delay in, the extension or grant of exploration, development or production contracts.
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ITEM 1B
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UNRESOLVED STAFF COMMENTS
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Name
|
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Age at
February 26, 2013
|
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Positions with Occidental and Subsidiaries and Employment History
|
|
|
|
|
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Stephen I. Chazen
|
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66
|
|
Chief Executive Officer since 2011 and President since 2007; 2010-2011, Chief Operating Officer; 1999-2010, Chief Financial Officer; Director since 2010.
|
|
|
|
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|
|
|
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Dr. Ray R. Irani
|
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78
|
|
Executive Chairman since 2011; 1990-2011, Chairman and Chief Executive Officer; Director since 1984.
|
|
|
|
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Cynthia L. Walker
|
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36
|
|
Executive Vice President and Chief Financial Officer since 2012; Goldman, Sachs & Co.: 2010-2012, Managing Director; 2005-2010, Vice President.
|
|
|
|
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|
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Donald P. de Brier
|
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72
|
|
Corporate Executive Vice President and Corporate Secretary since 2012; 1993-2012, Executive Vice President, General Counsel and Secretary.
|
|
|
|
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|
|
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William E. Albrecht
|
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61
|
|
Vice President since 2008; Occidental Oil and Gas Corporation (OOGC): President — Oxy Oil & Gas, Americas since 2011; OOGC: President — Oxy Oil & Gas, USA 2008-2011; 2007-2008, Vice President, California Operations.
|
|
|
|
|
|
|
|
|
|
|
Edward A. "Sandy" Lowe
|
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61
|
|
Vice President since 2008; OOGC: President — Oxy Oil & Gas, International Production since 2009; 2008-2009, Executive Vice President — Oxy Oil & Gas, International Production and Engineering; 2008, Executive Vice President — Oxy Oil & Gas, Major Projects.
|
|
|
|
|
|
|
|
|
|
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Willie C.W. Chiang
|
|
52
|
|
Executive Vice President, Operations since 2012; ConocoPhillips: 2011-2012, Senior Vice President, Refining, Marketing, Transportation and Commercial; 2008-2011, Senior Vice President, Refining, Marketing and Transportation.
|
|
|
|
|
|
|
|
|
|
|
James M. Lienert
|
|
60
|
|
Executive Vice President — Business Support since 2012; 2010-2012, Executive Vice President and Chief Financial Officer; 2006-2010, Executive Vice President — Finance and Planning.
|
|
|
|
|
|
|
|
|
|
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John C. Ale
|
|
58
|
|
Vice President and General Counsel since 2012; Skadden, Arps, Slate, Meagher & Flom LLP: 2002-2012, Partner.
|
|
|
|
|
|
|
|
|
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Roy Pineci
|
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50
|
|
Vice President, Controller and Principal Accounting Officer since 2008; 2007-2008, Senior Vice President, Finance — Oil and Gas.
|
|
|
|
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|
|
|
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B. Chuck Anderson
|
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53
|
|
Vice President since 2012; President of Occidental Chemical Corporation since 2006.
|
|
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|
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ITEM 5
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MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES
|
a)
|
Number of securities to be issued upon exercise of outstanding options, warrants and rights
|
|
b)
|
Weighted-average exercise price of outstanding options, warrants and rights
|
|
c)
|
Number of securities remaining available for future issuance under equity compensation plans (excluding securities in column (a))
|
|
|
|
|
|
|
|
|
3,502,857
(1)
|
|
31.88
(2)
|
|
19,251,258
(3)
|
(1)
|
Includes shares reserved to be issued pursuant to stock options (Options), stock appreciation rights (SARs) and performance-based awards. Shares for performance-based awards are included assuming maximum payout, but may be paid out at lesser amounts, or not at all, according to achievement of performance goals.
|
(2)
|
Price applies only to the Options and SARs included in column (a). Exercise price is not applicable to the other awards included in column (a).
|
(3)
|
A plan provision requires each share covered by an award (other than Options and SARs) to be counted as if three shares were issued in determining the number of shares that otherwise would have been available for future awards. Accordingly, the number of shares available for future awards may be less than the amount shown depending on the type of award granted. Additionally, under the plan, the amount shown may increase by the number of shares currently unvested or forfeitable, or three times that number as applicable, that (i) fail to vest, (ii) are forfeited or cancelled, or (iii) correspond to the portion of any stock-based awards settled in cash.
|
Period
|
|
Total
Number
of Shares
Purchased
(a)
|
|
Average
Price
Paid
per Share
|
|
Total Number of Shares Purchased as Part of Publicly Announced
Plans or Programs
|
|
Maximum Number of Shares that May Yet Be Purchased Under the
Plans or Programs
|
||||||||||||
First Quarter 2012
|
|
|
144,542
|
|
|
|
|
$
|
104.84
|
|
|
|
|
—
|
|
|
|
|
|
|
Second Quarter 2012
|
|
|
1,760,000
|
|
|
|
|
$
|
81.19
|
|
|
|
|
1,760,000
|
|
|
|
|
|
|
Third Quarter 2012
|
|
|
583,072
|
|
|
|
|
$
|
86.58
|
|
|
|
|
470,000
|
|
|
|
|
|
|
October 1-31, 2012
|
|
|
620,000
|
|
|
|
|
$
|
80.24
|
|
|
|
|
620,000
|
|
|
|
|
|
|
November 1-30, 2012
|
|
|
2,860,000
|
|
|
|
|
$
|
75.90
|
|
|
|
|
2,860,000
|
|
|
|
|
|
|
December 1-31, 2012
|
|
|
1,520,000
|
|
|
|
|
$
|
74.92
|
|
|
|
|
1,520,000
|
|
|
|
|
|
|
Fourth Quarter 2012
|
|
|
5,000,000
|
|
|
|
|
$
|
76.14
|
|
|
|
|
5,000,000
|
|
|
|
|
|
|
Total 2012
|
|
|
7,487,614
|
|
|
|
|
$
|
78.69
|
|
|
|
|
7,230,000
|
|
|
|
|
17,255,575
(b)
|
|
(a)
|
Includes shares purchased from the trustee of Occidental's defined contribution savings plan that are not part of publicly announced plans or programs.
|
(b)
|
Occidental has had a 95 million share repurchase program authorized since 2008; however, the program does not obligate Occidental to acquire any specific number of shares and may be discontinued at any time.
|
|
12/31/2007
|
|
12/31/2008
|
|
12/31/2009
|
|
12/31/2010
|
|
12/31/2011
|
|
12/31/2012
|
||||||
|
$
|
100
|
|
$
|
79
|
|
$
|
110
|
|
$
|
135
|
|
$
|
131
|
|
$
|
110
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
100
|
|
|
75
|
|
|
82
|
|
|
93
|
|
|
102
|
|
|
104
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
100
|
|
|
63
|
|
|
80
|
|
|
92
|
|
|
94
|
|
|
109
|
(1)
|
The cumulative total return of the peer group companies' common stock includes the cumulative total return of Occidental's common stock.
|
ITEM 6
|
SELECTED FINANCIAL DATA
|
As of and for the years ended December 31,
|
|
2012
|
|
2011
|
|
2010
|
|
2009
|
|
2008
|
||||||||||
RESULTS OF OPERATIONS
(a)
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net sales
|
|
$
|
24,172
|
|
|
$
|
23,939
|
|
|
$
|
19,045
|
|
|
$
|
14,814
|
|
|
$
|
23,713
|
|
Income from continuing operations
(b)
|
|
$
|
4,635
|
|
|
$
|
6,640
|
|
|
$
|
4,569
|
|
|
$
|
3,151
|
|
|
$
|
7,183
|
|
Net income attributable to common stock
|
|
$
|
4,598
|
|
|
$
|
6,771
|
|
|
$
|
4,530
|
|
|
$
|
2,915
|
|
|
$
|
6,857
|
|
Basic earnings per common share from continuing operations
(b)
|
|
$
|
5.72
|
|
|
$
|
8.16
|
|
|
$
|
5.62
|
|
|
$
|
3.88
|
|
|
$
|
8.77
|
|
Basic earnings per common share
(b)
|
|
$
|
5.67
|
|
|
$
|
8.32
|
|
|
$
|
5.57
|
|
|
$
|
3.59
|
|
|
$
|
8.37
|
|
Diluted earnings per common share
(b)
|
|
$
|
5.67
|
|
|
$
|
8.32
|
|
|
$
|
5.56
|
|
|
$
|
3.58
|
|
|
$
|
8.34
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
FINANCIAL POSITION
(a)
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total assets
|
|
$
|
64,210
|
|
|
$
|
60,044
|
|
|
$
|
52,432
|
|
|
$
|
44,229
|
|
|
$
|
41,537
|
|
Long-term debt, net
|
|
$
|
7,023
|
|
|
$
|
5,871
|
|
|
$
|
5,111
|
|
|
$
|
2,557
|
|
|
$
|
2,049
|
|
Stockholders’ equity
|
|
$
|
40,048
|
|
|
$
|
37,620
|
|
|
$
|
32,484
|
|
|
$
|
29,159
|
|
|
$
|
27,325
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
MARKET CAPITALIZATION
(c)
|
|
$
|
61,710
|
|
|
$
|
75,992
|
|
|
$
|
79,735
|
|
|
$
|
66,050
|
|
|
$
|
48,607
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
CASH FLOW
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash provided by operating activities
|
|
$
|
11,312
|
|
|
$
|
12,281
|
|
|
$
|
9,566
|
|
|
$
|
5,946
|
|
|
$
|
10,765
|
|
Investing:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Capital expenditures
|
|
$
|
(10,226
|
)
|
|
$
|
(7,518
|
)
|
|
$
|
(3,940
|
)
|
|
$
|
(3,245
|
)
|
|
$
|
(4,126
|
)
|
Cash used by all other investing activities, net
|
|
$
|
(2,429
|
)
|
|
$
|
(2,385
|
)
|
(d)
|
$
|
(5,355
|
)
|
|
$
|
(2,221
|
)
|
|
$
|
(5,314
|
)
|
Financing:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Cash dividends paid
|
|
$
|
(2,128
|
)
|
(e)
|
$
|
(1,436
|
)
|
|
$
|
(1,159
|
)
|
|
$
|
(1,063
|
)
|
|
$
|
(940
|
)
|
Cash provided (used) by all other financing activities, net
|
|
$
|
1,282
|
|
|
$
|
261
|
|
|
$
|
2,242
|
|
|
$
|
30
|
|
|
$
|
(570
|
)
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
DIVIDENDS PER COMMON SHARE
|
|
$
|
2.16
|
|
|
$
|
1.84
|
|
|
$
|
1.47
|
|
|
$
|
1.31
|
|
|
$
|
1.21
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
WEIGHTED AVERAGE BASIC SHARES OUTSTANDING (thousands)
|
|
809,345
|
|
|
812,075
|
|
|
812,472
|
|
|
811,305
|
|
|
817,635
|
|
(a)
|
See the MD&A section of this report and the Notes to Consolidated Financial Statements for information regarding acquisitions and dispositions, discontinued operations and other items affecting comparability.
|
(b)
|
Represent amounts attributable to common stock after deducting noncontrolling interest amounts of $72 million in 2010, $51 million in 2009 and $116 million in 2008. There were no noncontrolling interests in 2012 and 2011.
|
(c)
|
Market capitalization is calculated by multiplying the year-end total shares of common stock outstanding, net of shares held as treasury stock, by the year-end closing stock price.
|
(d)
|
Includes $2.6 billion of cash received from the sale of the Argentine operations.
|
(e)
|
Includes the accelerated fourth quarter 2012 dividend payment, which normally would have been accrued as of year end but paid in the first quarter of the following year.
|
Ø
|
Grow oil and gas production through development programs focused on large, long-lived conventional and unconventional oil and gas assets with long-term growth potential, and acquisitions;
|
Ø
|
Allocate and deploy capital with a focus on achieving returns well in excess of Occidental's cost-of-capital;
|
Ø
|
Provide consistent dividend growth; and
|
Ø
|
Maintain financial discipline and a strong balance sheet.
|
Ø
|
Maintenance capital
|
Ø
|
Dividends
|
Ø
|
Growth capital
|
Ø
|
Acquisitions
|
Ø
|
Share repurchases
|
Ø
|
Deploying capital to fully develop areas where reserves are known to exist and increase production from mature fields by applying appropriate technology and advanced reservoir-management practices;
|
Ø
|
Adding reserves through a combination of focused exploration and development programs conducted in Occidental's core areas, which are the United States, the Middle East/North Africa and Latin America; and
|
Ø
|
Maintaining a disciplined approach to acquisitions and divestitures with an emphasis on transactions at attractive prices.
|
Ø
|
Cash margin per barrel;
|
Ø
|
Free-cash-flow yield;
|
Ø
|
Dividend growth;
|
Ø
|
Return on equity (ROE) and return on capital employed (ROCE).
|
|
|
Annual 2012
(a)
|
|
Three-Year Annual
Average 2010 - 2012
(b)
|
ROE
|
|
14.6%
|
|
15.2%
|
|
{11.8%}
|
|
||
ROCE
|
|
12.6%
|
|
13.5%
|
|
{10.3%}
|
|
(a)
|
The top figures for ROE and ROCE for
2012
were calculated by dividing Occidental's
2012
income after removing the effect of Significant Items Affecting Earnings described on page 24 (while adding back after-tax interest expense for the ROCE calculation) by its average equity and capital employed, respectively, during
2012
. We provide this adjusted measure because we believe it would be useful to investors in evaluating and comparing Occidental's performance between periods, not as a substitute for the measure calculated using net income. The bottom figure is the same calculation but using net income attributable to common stock in the numerator (while adding back after-tax interest expense for the ROCE calculation).
|
(b)
|
The three-year average ROE and ROCE were calculated by dividing Occidental's average net income attributable to common stock (while adding back after-tax interest expense for the ROCE calculation) over the three-year period 2010-2012 by its average equity and capital employed, respectively, over the same period.
|
|
|
2012
|
|
2011
|
||||
WTI oil ($/barrel)
|
|
$
|
94.21
|
|
|
$
|
95.12
|
|
Brent oil ($/barrel)
|
|
$
|
111.70
|
|
|
$
|
110.90
|
|
NYMEX gas ($/Mcf)
|
|
$
|
2.81
|
|
|
$
|
4.11
|
|
|
|
2012
|
|
2011
|
||
Worldwide oil as a percentage of average WTI
|
|
106
|
%
|
|
103
|
%
|
Worldwide oil as a percentage of average Brent
|
|
89
|
%
|
|
88
|
%
|
Worldwide NGLs as a percentage of average WTI
|
|
48
|
%
|
|
58
|
%
|
Domestic natural gas as a percentage of NYMEX
|
|
93
|
%
|
|
99
|
%
|
•
|
Includes average production volumes per day of 5 thousand barrels (mbbl), 6 mbbl and 6 mbbl for 2010, 2009 and 2008, respectively, related to the noncontrolling interest in a Colombian subsidiary.
|
•
|
Excludes volumes from the Argentine operations sold in February 2011 and classified as discontinued operations.
|
1.
|
Permian
|
2.
|
California
|
3.
|
Midcontinent and Other interests
|
1.
|
Bahrain
|
2.
|
Iraq
|
3.
|
Libya
|
4.
|
Oman
|
5.
|
Qatar
|
6.
|
United Arab Emirates
|
7.
|
Yemen
|
|
|
Latin America
1. Bolivia
2. Colombia |
In millions of BOE
|
|
|
|
Improved recovery
|
|
257
|
|
Extensions and discoveries
|
|
232
|
|
Purchases
|
|
94
|
|
Revisions of previous estimates
|
|
(183
|
)
|
Total additions
|
|
400
|
|
In millions,
except per share amounts
|
|
||||||||||||
For the years ended December 31,
|
|
2012
|
|
2011
|
|
2010
|
|
||||||
NET SALES
(a)
|
|
|
|
|
|
|
|
||||||
Oil and Gas
|
|
$
|
18,906
|
|
|
$
|
18,419
|
|
|
$
|
14,276
|
|
|
Chemical
|
|
4,580
|
|
|
4,815
|
|
|
4,016
|
|
|
|||
Midstream and Marketing
|
|
1,399
|
|
|
1,447
|
|
|
1,471
|
|
|
|||
Eliminations
(a)
|
|
(713
|
)
|
|
(742
|
)
|
|
(718
|
)
|
|
|||
|
|
$
|
24,172
|
|
|
$
|
23,939
|
|
|
$
|
19,045
|
|
|
EARNINGS
|
|
|
|
|
|
|
|
||||||
Oil and Gas
(b,c)
|
|
$
|
7,095
|
|
|
$
|
10,241
|
|
|
$
|
7,151
|
|
|
Chemical
|
|
720
|
|
|
861
|
|
|
438
|
|
|
|||
Midstream and Marketing
|
|
439
|
|
|
448
|
|
|
472
|
|
|
|||
|
|
8,254
|
|
|
11,550
|
|
|
8,061
|
|
|
|||
Unallocated corporate items
|
|
|
|
|
|
|
|
||||||
Interest expense, net
(d)
|
|
(117
|
)
|
|
(284
|
)
|
|
(93
|
)
|
|
|||
Income taxes
(e)
|
|
(3,118
|
)
|
|
(4,201
|
)
|
|
(2,995
|
)
|
|
|||
Other
|
|
(384
|
)
|
|
(425
|
)
|
|
(404
|
)
|
|
|||
Income from continuing operations
(b)
|
|
4,635
|
|
|
6,640
|
|
|
4,569
|
|
|
|||
Discontinued operations, net
(f)
|
|
(37
|
)
|
|
131
|
|
|
(39
|
)
|
|
|||
Net Income
(b)
|
|
$
|
4,598
|
|
|
$
|
6,771
|
|
|
$
|
4,530
|
|
|
Basic Earnings per Common Share
|
|
$
|
5.67
|
|
|
$
|
8.32
|
|
|
$
|
5.57
|
|
|
(a)
|
Intersegment sales eliminate upon consolidation and are generally made at prices approximating those that the selling entity would be able to obtain in third-party transactions.
|
(b)
|
Oil and gas segment earnings, income from continuing operations and net income represent amounts attributable to common stock after deducting a noncontrolling interest amount of $72 million for 2010.
|
(c)
|
The 2012 amount includes pre-tax charges of $1.7 billion for the impairment of domestic gas assets and related items. The 2011 amount includes pre-tax charges of $35 million related to exploration write-offs in Libya and $29 million related to a Colombian net worth tax, and a pre-tax gain for the sale of an interest in a Colombian pipeline of $22 million. The 2010 amount includes a $275 million pre-tax charge for asset impairments, predominately of gas properties in the Rocky Mountain region.
|
(d)
|
The 2011 amount includes a pre-tax charge of $163 million related to the premium on debt extinguishment.
|
(e)
|
The 2011 amount includes a net $21 million charge for out-of-period state income taxes. The 2010 amount includes an $80 million benefit related to foreign tax credit carryforwards.
|
(f)
|
The 2011 amount includes a $144 million after-tax gain from the sale of the Argentine operations.
|
|
|
2012
|
|
2011
|
|
2010
|
||||||
Segment Sales
|
|
$
|
18,906
|
|
|
$
|
18,419
|
|
|
$
|
14,276
|
|
Segment Earnings
|
|
$
|
7,095
|
|
(a)
|
$
|
10,241
|
|
|
$
|
7,151
|
|
(a)
|
Includes pre-tax charges of $1.7 billion for the impairment of domestic gas assets and related items.
|
Production per Day
|
|
2012
|
|
2011
|
|
2010
|
|||
United States
|
|
|
|
|
|
|
|||
Oil (MBBL)
|
|
|
|
|
|
|
|||
California
|
|
88
|
|
|
80
|
|
|
76
|
|
Permian
|
|
142
|
|
|
134
|
|
|
136
|
|
Midcontinent and Other
|
|
25
|
|
|
16
|
|
|
7
|
|
Total
|
|
255
|
|
|
230
|
|
|
219
|
|
NGLs (MBBL)
|
|
|
|
|
|
|
|||
California
|
|
17
|
|
|
15
|
|
|
16
|
|
Permian
|
|
39
|
|
|
38
|
|
|
29
|
|
Midcontinent and Other
|
|
17
|
|
|
16
|
|
|
7
|
|
Total
|
|
73
|
|
|
69
|
|
|
52
|
|
Natural gas (MMCF)
|
|
|
|
|
|
|
|||
California
|
|
256
|
|
|
260
|
|
|
280
|
|
Permian
|
|
155
|
|
|
157
|
|
|
199
|
|
Midcontinent and Other
|
|
410
|
|
|
365
|
|
|
198
|
|
Total
|
|
821
|
|
|
782
|
|
|
677
|
|
Latin America
(a)
|
|
|
|
|
|
|
|||
Oil (MBBL) – Colombia
(b)
|
|
29
|
|
|
29
|
|
|
37
|
|
Natural gas (MMCF) – Bolivia
|
|
13
|
|
|
15
|
|
|
16
|
|
Middle East/North Africa
|
|
|
|
|
|
|
|||
Oil (MBBL)
|
|
|
|
|
|
|
|||
Bahrain
|
|
4
|
|
|
4
|
|
|
3
|
|
Dolphin
|
|
8
|
|
|
9
|
|
|
11
|
|
Oman
|
|
67
|
|
|
67
|
|
|
62
|
|
Qatar
|
|
71
|
|
|
73
|
|
|
76
|
|
Other
|
|
36
|
|
|
38
|
|
|
46
|
|
Total
|
|
186
|
|
|
191
|
|
|
198
|
|
NGLs (MBBL)
|
|
|
|
|
|
|
|||
Dolphin
|
|
8
|
|
|
10
|
|
|
13
|
|
Other
|
|
1
|
|
|
—
|
|
|
1
|
|
Total
|
|
9
|
|
|
10
|
|
|
14
|
|
Natural gas (MMCF)
|
|
|
|
|
|
|
|||
Bahrain
|
|
232
|
|
|
173
|
|
|
169
|
|
Dolphin
|
|
163
|
|
|
199
|
|
|
236
|
|
Oman
|
|
57
|
|
|
54
|
|
|
48
|
|
Total
|
|
452
|
|
|
426
|
|
|
453
|
|
Total Production (MBOE)
(a,c)
|
|
766
|
|
|
733
|
|
|
711
|
|
(See footnotes following the Average Sales Price table)
|
Sales Volumes per Day
|
|
2012
|
|
2011
|
|
2010
|
|||
United States
|
|
|
|
|
|
|
|||
Oil (MBBL)
|
|
255
|
|
|
230
|
|
|
219
|
|
NGLs (MBBL)
|
|
73
|
|
|
69
|
|
|
52
|
|
Natural gas (MMCF)
|
|
819
|
|
|
782
|
|
|
677
|
|
Latin America
(a)
|
|
|
|
|
|
|
|||
Oil (MBBL) – Colombia
(b)
|
|
28
|
|
|
29
|
|
|
36
|
|
Natural gas (MMCF) – Bolivia
|
|
13
|
|
|
15
|
|
|
16
|
|
Middle East/North Africa
|
|
|
|
|
|
|
|||
Oil (MBBL)
|
|
|
|
|
|
|
|||
Bahrain
|
|
4
|
|
|
4
|
|
|
3
|
|
Dolphin
|
|
8
|
|
|
9
|
|
|
12
|
|
Oman
|
|
66
|
|
|
69
|
|
|
61
|
|
Qatar
|
|
71
|
|
|
73
|
|
|
76
|
|
Other
|
|
36
|
|
|
34
|
|
|
42
|
|
Total
|
|
185
|
|
|
189
|
|
|
194
|
|
NGLs (MBBL)
|
|
|
|
|
|
|
|||
Dolphin
|
|
8
|
|
|
10
|
|
|
12
|
|
Other
|
|
1
|
|
|
—
|
|
|
1
|
|
Total
|
|
9
|
|
|
10
|
|
|
13
|
|
Natural gas (MMCF)
|
|
452
|
|
|
426
|
|
|
453
|
|
Total Sales Volumes (MBOE)
(a,c)
|
|
764
|
|
|
731
|
|
|
705
|
|
(See footnotes following the Average Sales Prices table)
|
|
|
2012
|
|
2011
|
|
2010
|
||||||
Average Sales Prices
|
|
|
|
|
|
|
||||||
Oil Prices
($ per bbl)
|
|
|
|
|
|
|
||||||
United States
|
|
$
|
93.72
|
|
|
$
|
92.80
|
|
|
$
|
73.79
|
|
Latin America
(a)
|
|
$
|
98.35
|
|
|
$
|
97.16
|
|
|
$
|
75.29
|
|
Middle East/North Africa
|
|
$
|
108.76
|
|
|
$
|
104.34
|
|
|
$
|
76.67
|
|
Total worldwide
(a)
|
|
$
|
99.87
|
|
|
$
|
97.92
|
|
|
$
|
75.16
|
|
NGL Prices
($ per bbl)
|
|
|
|
|
|
|
||||||
United States
|
|
$
|
46.07
|
|
|
$
|
59.10
|
|
|
$
|
48.86
|
|
Middle East/North Africa
|
|
$
|
37.74
|
|
|
$
|
32.09
|
|
|
$
|
30.64
|
|
Total worldwide
|
|
$
|
45.18
|
|
|
$
|
55.53
|
|
|
$
|
45.08
|
|
Gas Prices
($ per Mcf)
|
|
|
|
|
|
|
||||||
United States
|
|
$
|
2.62
|
|
|
$
|
4.06
|
|
|
$
|
4.53
|
|
Latin America
(a)
|
|
$
|
11.85
|
|
|
$
|
10.11
|
|
|
$
|
7.73
|
|
Total worldwide
(a)
|
|
$
|
2.06
|
|
|
$
|
3.01
|
|
|
$
|
3.11
|
|
Expensed Exploration
|
|
$
|
345
|
|
|
$
|
258
|
|
|
$
|
262
|
|
Capital Expenditures
|
|
|
|
|
|
|
||||||
Development
|
|
$
|
7,554
|
|
|
$
|
5,686
|
|
|
$
|
2,955
|
|
Exploration
|
|
$
|
622
|
|
|
$
|
421
|
|
|
$
|
194
|
|
Other
|
|
$
|
44
|
|
|
$
|
38
|
|
|
$
|
17
|
|
(a)
|
For all periods presented, excludes volumes and amounts from the Argentine operations sold in February 2011 and classified as discontinued operations.
|
(b)
|
Includes production and sales volumes per day of 5 mbbl and 4 mbbl, respectively, for the year ended December 31, 2010, related to the noncontrolling interest in a Colombian subsidiary.
|
(c)
|
Natural gas volumes have been converted to BOE based on energy content of six Mcf of gas to one barrel of oil.
|
In millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
Segment Sales
|
|
$
|
4,580
|
|
|
$
|
4,815
|
|
|
$
|
4,016
|
|
Segment Earnings
|
|
$
|
720
|
|
|
$
|
861
|
|
|
$
|
438
|
|
Capital Expenditures
|
|
$
|
357
|
|
|
$
|
234
|
|
|
$
|
237
|
|
In millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
Segment Sales
|
|
$
|
1,399
|
|
|
$
|
1,447
|
|
|
$
|
1,471
|
|
Segment Earnings
|
|
$
|
439
|
|
|
$
|
448
|
|
|
$
|
472
|
|
Capital Expenditures
|
|
$
|
1,558
|
|
|
$
|
1,089
|
|
|
$
|
501
|
|
Significant Items Affecting Earnings
|
||||||||||||
Benefit (Charge) (in millions)
|
|
2012
|
|
2011
|
|
2010
|
||||||
OIL AND GAS
|
|
|
|
|
|
|
||||||
Asset impairments and related items
|
|
$
|
(1,731
|
)
|
|
$
|
—
|
|
|
$
|
(275
|
)
|
Libya exploration write-off
|
|
—
|
|
|
(35
|
)
|
|
—
|
|
|||
Gains on sale of Colombian pipeline interest
|
|
—
|
|
|
22
|
|
|
—
|
|
|||
Foreign tax
|
|
—
|
|
|
(29
|
)
|
|
—
|
|
|||
Total Oil and Gas
|
|
$
|
(1,731
|
)
|
|
$
|
(42
|
)
|
|
$
|
(275
|
)
|
CHEMICAL
|
|
|
|
|
|
|
||||||
No significant items affecting earnings
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Total Chemical
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
MIDSTREAM AND MARKETING
|
|
|
|
|
|
|
||||||
No significant items affecting earnings
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Total Midstream and Marketing
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
CORPORATE
|
|
|
|
|
|
|
||||||
Litigation reserves
|
|
$
|
(20
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
Premium on debt extinguishments
|
|
—
|
|
|
(163
|
)
|
|
—
|
|
|||
State income tax charge
|
|
—
|
|
|
(33
|
)
|
|
—
|
|
|||
Foreign tax credit carry-forwards
|
|
—
|
|
|
—
|
|
|
80
|
|
|||
Tax effect of pre-tax adjustments
|
|
636
|
|
|
50
|
|
|
100
|
|
|||
Discontinued operations, net of tax
(a)
|
|
(37
|
)
|
|
131
|
|
|
(39
|
)
|
|||
Total Corporate
|
|
$
|
579
|
|
|
$
|
(15
|
)
|
|
$
|
141
|
|
(a)
|
The 2011 amount includes a $144 million after-tax gain from the sale of the Argentine operations.
|
$ in millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
EARNINGS
|
|
|
|
|
|
|
||||||
Oil and Gas
|
|
$
|
7,095
|
|
|
$
|
10,241
|
|
|
$
|
7,151
|
|
Chemical
|
|
720
|
|
|
861
|
|
|
438
|
|
|||
Midstream and Marketing
|
|
439
|
|
|
448
|
|
|
472
|
|
|||
Unallocated Corporate Items
|
|
(501
|
)
|
|
(709
|
)
|
|
(497
|
)
|
|||
Pre-tax income
|
|
7,753
|
|
|
10,841
|
|
|
7,564
|
|
|||
Income tax expense
|
|
|
|
|
|
|
||||||
Federal and State
|
|
694
|
|
|
1,795
|
|
|
1,087
|
|
|||
Foreign
|
|
2,424
|
|
|
2,406
|
|
|
1,908
|
|
|||
Total income tax expense
|
|
3,118
|
|
|
4,201
|
|
|
2,995
|
|
|||
Income from continuing operations
|
|
$
|
4,635
|
|
|
$
|
6,640
|
|
|
$
|
4,569
|
|
Worldwide effective tax rate
|
|
40
|
%
|
|
39
|
%
|
|
40
|
%
|
In millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
Net sales
|
|
$
|
24,172
|
|
|
$
|
23,939
|
|
|
$
|
19,045
|
|
Interest, dividends and other income
|
|
$
|
81
|
|
|
$
|
180
|
|
|
$
|
112
|
|
In millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
Cost of sales
(a)
|
|
$
|
7,844
|
|
|
$
|
7,385
|
|
|
$
|
6,112
|
|
Selling, general and administrative and other operating expenses
|
|
$
|
1,602
|
|
|
$
|
1,523
|
|
|
$
|
1,396
|
|
Depreciation, depletion and amortization
|
|
$
|
4,511
|
|
|
$
|
3,591
|
|
|
$
|
3,153
|
|
Taxes other than on income
|
|
$
|
680
|
|
|
$
|
605
|
|
|
$
|
484
|
|
Exploration expense
|
|
$
|
345
|
|
|
$
|
258
|
|
|
$
|
262
|
|
Asset impairments and related items
|
|
$
|
1,751
|
|
|
$
|
—
|
|
|
$
|
275
|
|
Interest and debt expense, net
|
|
$
|
130
|
|
|
$
|
298
|
|
|
$
|
116
|
|
(a)
|
Excludes DD&A of
$4,504 million
in
2012
,
$3,584 million
in
2011
and
$3,145 million
in
2010
.
|
Income/(expense) (in millions)
|
|
2012
|
|
2011
|
|
2010
|
||||||
Provision for income taxes
|
|
$
|
(3,118
|
)
|
|
$
|
(4,201
|
)
|
|
$
|
(2,995
|
)
|
Income from equity investments
|
|
$
|
363
|
|
|
$
|
382
|
|
|
$
|
277
|
|
Discontinued operations, net
|
|
$
|
(37
|
)
|
|
$
|
131
|
|
|
$
|
(39
|
)
|
Net income attributable to noncontrolling interest
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
72
|
|
In millions
|
|
2012
|
|
2011
|
||||
CURRENT ASSETS
|
|
|
|
|
||||
Cash and cash equivalents
|
|
$
|
1,592
|
|
|
$
|
3,781
|
|
Trade receivables, net
|
|
4,916
|
|
|
5,395
|
|
||
Inventories
|
|
1,344
|
|
|
1,069
|
|
||
Other current assets
|
|
1,640
|
|
|
1,297
|
|
||
Total current assets
|
|
$
|
9,492
|
|
|
$
|
11,542
|
|
|
|
|
|
|
||||
Investments in unconsolidated entities
|
|
$
|
1,894
|
|
|
$
|
2,072
|
|
Property, plant and equipment, net
|
|
$
|
52,064
|
|
|
$
|
45,684
|
|
Long-term receivables and other assets, net
|
|
$
|
760
|
|
|
$
|
746
|
|
|
|
|
|
|
||||
CURRENT LIABILITIES
|
|
|
|
|
||||
Current maturities of long-term debt
|
|
$
|
600
|
|
|
$
|
—
|
|
Accounts payable
|
|
4,708
|
|
|
5,304
|
|
||
Accrued liabilities
|
|
1,966
|
|
|
2,533
|
|
||
Domestic and foreign income taxes
|
|
16
|
|
|
110
|
|
||
Total current liabilities
|
|
$
|
7,290
|
|
|
$
|
7,947
|
|
|
|
|
|
|
||||
Long-term debt, net
|
|
$
|
7,023
|
|
|
$
|
5,871
|
|
Deferred credits and other liabilities-income taxes
|
|
$
|
6,039
|
|
|
$
|
4,846
|
|
Deferred credits and other liabilities-other
|
|
$
|
3,810
|
|
|
$
|
3,760
|
|
Stockholders’ equity
|
|
$
|
40,048
|
|
|
$
|
37,620
|
|
In millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
Net cash provided by operating activities
|
|
$
|
11,312
|
|
|
$
|
12,281
|
|
|
$
|
9,566
|
|
In millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
Capital expenditures
|
|
|
|
|
|
|
||||||
Oil and Gas
|
|
$
|
(8,220
|
)
|
|
$
|
(6,145
|
)
|
|
$
|
(3,166
|
)
|
Chemical
|
|
(357
|
)
|
|
(234
|
)
|
|
(237
|
)
|
|||
Midstream and Marketing
|
|
(1,558
|
)
|
|
(1,089
|
)
|
|
(501
|
)
|
|||
Corporate
|
|
(91
|
)
|
|
(50
|
)
|
|
(36
|
)
|
|||
Total
|
|
(10,226
|
)
|
|
(7,518
|
)
|
|
(3,940
|
)
|
|||
Other investing activities, net
|
|
(2,429
|
)
|
|
(4,955
|
)
|
|
(4,940
|
)
|
|||
Net cash used by investing activities – continuing operations
|
|
(12,655
|
)
|
|
(12,473
|
)
|
|
(8,880
|
)
|
|||
Investing cash flow from discontinued operations
|
|
—
|
|
|
2,570
|
|
|
(415
|
)
|
|||
Net cash used by investing activities
|
|
$
|
(12,655
|
)
|
|
$
|
(9,903
|
)
|
|
$
|
(9,295
|
)
|
In millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
Net cash (used) provided by financing activities
|
|
$
|
(846
|
)
|
|
$
|
(1,175
|
)
|
|
$
|
1,083
|
|
Contractual Obligations
(in millions)
|
|
|
|
Payments Due by Year
|
||||||||||||||||
|
Total
|
|
2013
|
|
2014
and
2015
|
|
2016
and
2017
|
|
2018
and
thereafter
|
|||||||||||
On-Balance Sheet
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Long-term debt (Note 5)
(a)
|
|
$
|
7,654
|
|
|
$
|
600
|
|
|
$
|
—
|
|
|
$
|
2,700
|
|
|
$
|
4,354
|
|
Other long-term liabilities
(b)
|
|
2,202
|
|
|
276
|
|
|
477
|
|
|
200
|
|
|
1,249
|
|
|||||
Off-Balance Sheet
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating leases (Note 6)
|
|
976
|
|
|
158
|
|
|
211
|
|
|
147
|
|
|
460
|
|
|||||
Purchase obligations
(c)
|
|
8,723
|
|
|
2,745
|
|
|
2,065
|
|
|
923
|
|
|
2,990
|
|
|||||
Total
|
|
$
|
19,555
|
|
|
$
|
3,779
|
|
|
$
|
2,753
|
|
|
$
|
3,970
|
|
|
$
|
9,053
|
|
(a)
|
Excludes unamortized debt discount and interest on the debt. As of
December 31, 2012
, interest on long-term debt totaling $1.7 billion is payable in the following years (in millions): 2013 - $230, 2014 and 2015 - $443, 2016 and 2017 - $341, 2018 and thereafter - $658.
|
(b)
|
Includes obligations under postretirement benefit and deferred compensation plans, as well as certain accrued liabilities.
|
(c)
|
Amounts include payments which will become due under long-term agreements to purchase goods and services used in the normal course of business to secure terminal and pipeline capacity, drilling rigs and services, CO
2,
electrical power, steam and certain chemical raw materials. Amounts exclude certain oil purchase obligations related to marketing and trading activities for which there are no minimum purchase requirements. Long-term purchase contracts are discounted at a 3.0-percent discount rate.
|
$ amounts
in millions
|
|
2012
|
|
2011
|
|
2010
|
|||||||||||||||
|
|
# of
Sites
|
|
Reserve
Balance
|
|
# of
Sites
|
|
Reserve
Balance
|
|
# of
Sites
|
|
Reserve
Balance
|
|||||||||
NPL sites
|
|
35
|
|
|
$
|
54
|
|
|
36
|
|
|
$
|
63
|
|
|
38
|
|
|
$
|
56
|
|
Third-party sites
|
|
75
|
|
|
84
|
|
|
73
|
|
|
88
|
|
|
83
|
|
|
91
|
|
|||
Occidental-operated sites
|
|
22
|
|
|
123
|
|
|
22
|
|
|
120
|
|
|
20
|
|
|
122
|
|
|||
Closed or non-operated Occidental sites
|
|
29
|
|
|
83
|
|
|
29
|
|
|
89
|
|
|
29
|
|
|
97
|
|
|||
Total
|
|
161
|
|
|
$
|
344
|
|
|
160
|
|
|
$
|
360
|
|
|
170
|
|
|
$
|
366
|
|
In millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
Balance — Beginning of Year
|
|
$
|
360
|
|
|
$
|
366
|
|
|
$
|
403
|
|
Remediation expenses and interest accretion
|
|
56
|
|
|
53
|
|
|
26
|
|
|||
Changes from acquisitions/dispositions
|
|
—
|
|
|
14
|
|
|
3
|
|
|||
Payments
|
|
(72
|
)
|
|
(73
|
)
|
|
(66
|
)
|
|||
Balance — End of Year
|
|
$
|
344
|
|
|
$
|
360
|
|
|
$
|
366
|
|
In millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
Operating Expenses
|
|
|
|
|
|
|
||||||
Oil and Gas
|
|
$
|
160
|
|
|
$
|
158
|
|
|
$
|
108
|
|
Chemical
|
|
70
|
|
|
68
|
|
|
72
|
|
|||
Midstream and Marketing
|
|
20
|
|
|
21
|
|
|
13
|
|
|||
|
|
$
|
250
|
|
|
$
|
247
|
|
|
$
|
193
|
|
Capital Expenditures
|
|
|
|
|
|
|
||||||
Oil and Gas
|
|
$
|
122
|
|
|
$
|
110
|
|
|
$
|
72
|
|
Chemical
|
|
18
|
|
|
15
|
|
|
19
|
|
|||
Midstream and Marketing
|
|
12
|
|
|
15
|
|
|
13
|
|
|||
|
|
$
|
152
|
|
|
$
|
140
|
|
|
$
|
104
|
|
Remediation Expenses
|
|
|
|
|
|
|
||||||
Corporate
|
|
$
|
56
|
|
|
$
|
52
|
|
|
$
|
25
|
|
Ø
|
Commodity derivatives – Occidental values exchange-cleared commodity derivatives using closing prices provided by the exchange as of the balance sheet date. These derivatives are classified as Level 1. Over-the-Counter (OTC) bilateral financial commodity contracts, foreign exchange contracts, options and physical commodity forward purchase and sale contracts are generally valued using quotations provided by brokers or industry-standard models that consider various inputs, including quoted forward prices for commodities, time value, volatility factors, credit risk and current market and contractual prices for the underlying instruments, as well as other relevant economic measures. Substantially all of these inputs are observable in the marketplace throughout the full term of the instrument, and can be derived from observable data or are supported by observable prices at which transactions are executed in the marketplace. Occidental generally classifies these measurements as Level 2.
|
Ø
|
Embedded commodity derivatives – Occidental values embedded commodity derivatives based on a market approach that considers various assumptions, including quoted forward commodity prices and market yield curves. The assumptions used include inputs that are observable and unobservable in the marketplace, and the fair value is designated as Level 3 within the valuation hierarchy.
|
|
|
Maturity Periods
|
|
|
||||||||||||||||
Source of Fair Value
Assets/(liabilities)
(in millions)
|
|
2013
|
|
2014 and 2015
|
|
2016 and 2017
|
|
2018
and
thereafter
|
|
Total
|
||||||||||
Prices actively quoted
|
|
$
|
9
|
|
|
$
|
(1
|
)
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
8
|
|
Prices provided by other external sources
|
|
(60
|
)
|
|
(27
|
)
|
|
1
|
|
|
—
|
|
|
(86
|
)
|
|||||
Total
|
|
$
|
(51
|
)
|
|
$
|
(28
|
)
|
|
$
|
1
|
|
|
$
|
—
|
|
|
$
|
(78
|
)
|
Year of Maturity
(in millions of
U.S. dollars)
|
|
U.S. Dollar
Fixed-Rate Debt
|
|
U.S. Dollar
Variable-Rate Debt
|
|
Grand Total
(a)
|
||||||
2013
|
|
$
|
600
|
|
|
$
|
—
|
|
|
$
|
600
|
|
2014
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
2015
|
|
—
|
|
|
—
|
|
|
—
|
|
|||
2016
|
|
1,450
|
|
|
—
|
|
|
1,450
|
|
|||
2017
|
|
1,250
|
|
|
—
|
|
|
1,250
|
|
|||
Thereafter
|
|
4,286
|
|
|
68
|
|
|
4,354
|
|
|||
Total
|
|
$
|
7,586
|
|
|
$
|
68
|
|
|
$
|
7,654
|
|
Weighted-average interest rate
|
|
3.03
|
%
|
|
0.13
|
%
|
|
3.01
|
%
|
|||
Fair Value
|
|
$
|
8,164
|
|
|
$
|
68
|
|
|
$
|
8,232
|
|
(a)
|
Excludes unamortized debt discounts of $31 million.
|
Consolidated Balance Sheets
|
Occidental Petroleum Corporation
and Subsidiaries
|
In millions
|
Assets at December 31,
|
|
2012
|
|
2011
|
||||
CURRENT ASSETS
|
|
|
|
|
||||
Cash and cash equivalents
|
|
$
|
1,592
|
|
|
$
|
3,781
|
|
Trade receivables, net of reserves of $16 in both 2012 and 2011
|
|
4,916
|
|
|
5,395
|
|
||
Inventories
|
|
1,344
|
|
|
1,069
|
|
||
Other current assets
|
|
1,640
|
|
|
1,297
|
|
||
Total current assets
|
|
9,492
|
|
|
11,542
|
|
||
|
|
|
|
|
||||
INVESTMENTS IN UNCONSOLIDATED ENTITIES
|
|
1,894
|
|
|
2,072
|
|
||
|
|
|
|
|
||||
PROPERTY, PLANT AND EQUIPMENT
|
|
|
|
|
||||
Oil and gas segment
|
|
65,417
|
|
|
56,682
|
|
||
Chemical segment
|
|
6,054
|
|
|
5,715
|
|
||
Midstream, marketing and other segment
|
|
7,191
|
|
|
5,664
|
|
||
Corporate
|
|
1,434
|
|
|
1,310
|
|
||
|
|
80,096
|
|
|
69,371
|
|
||
Accumulated depreciation, depletion and amortization
|
|
(28,032
|
)
|
|
(23,687
|
)
|
||
|
|
52,064
|
|
|
45,684
|
|
||
|
|
|
|
|
||||
LONG-TERM RECEIVABLES AND OTHER ASSETS, NET
|
|
760
|
|
|
746
|
|
||
|
|
|
|
|
||||
TOTAL ASSETS
|
|
$
|
64,210
|
|
|
$
|
60,044
|
|
Consolidated Balance Sheets
|
Occidental Petroleum Corporation
and Subsidiaries
|
In millions, except share and per-share amounts
|
Liabilities and Stockholders’ Equity at December 31,
|
|
2012
|
|
2011
|
||||
CURRENT LIABILITIES
|
|
|
|
|
||||
Current maturities of long-term debt
|
|
$
|
600
|
|
|
$
|
—
|
|
Accounts payable
|
|
4,708
|
|
|
5,304
|
|
||
Accrued liabilities
|
|
1,966
|
|
|
2,533
|
|
||
Domestic and foreign income taxes
|
|
16
|
|
|
110
|
|
||
Total current liabilities
|
|
7,290
|
|
|
7,947
|
|
||
|
|
|
|
|
||||
LONG-TERM DEBT, NET
|
|
7,023
|
|
|
5,871
|
|
||
|
|
|
|
|
||||
DEFERRED CREDITS AND OTHER LIABILITIES
|
|
|
|
|
||||
Deferred domestic and foreign income taxes
|
|
6,039
|
|
|
4,846
|
|
||
Other
|
|
3,810
|
|
|
3,760
|
|
||
|
|
9,849
|
|
|
8,606
|
|
||
CONTINGENT LIABILITIES AND COMMITMENTS
|
|
|
|
|
||||
STOCKHOLDERS' EQUITY
|
|
|
|
|
||||
Common stock, $0.20 par value, authorized 1.1 billion shares, outstanding shares:
2012 — 888,801,436 and 2011 — 886,808,654
|
|
178
|
|
|
177
|
|
||
Treasury stock: 2012 — 83,287,187 shares and 2011 — 75,799,573 shares
|
|
(5,091
|
)
|
|
(4,502
|
)
|
||
Additional paid-in capital
|
|
7,441
|
|
|
7,286
|
|
||
Retained earnings
|
|
37,990
|
|
|
35,142
|
|
||
Accumulated other comprehensive loss
|
|
(502
|
)
|
|
(483
|
)
|
||
Total equity attributable to common stock
|
|
40,016
|
|
|
37,620
|
|
||
Noncontrolling interest
|
|
32
|
|
|
—
|
|
||
Total equity
|
|
40,048
|
|
|
37,620
|
|
||
|
|
|
|
|
||||
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY
|
|
$
|
64,210
|
|
|
$
|
60,044
|
|
Consolidated Statements of Income
|
Occidental Petroleum Corporation
and Subsidiaries
|
In millions, except per-share amounts
|
Consolidated Statements of Comprehensive Income
|
Occidental Petroleum Corporation
and Subsidiaries
|
In millions
|
For the years ended December 31,
|
|
2012
|
|
2011
|
|
2010
|
||||||
Net income attributable to common stock
|
|
$
|
4,598
|
|
|
$
|
6,771
|
|
|
$
|
4,530
|
|
Other comprehensive income (loss) items:
|
|
|
|
|
|
|
||||||
Foreign currency translation (losses) gains
|
|
(25
|
)
|
|
(11
|
)
|
|
4
|
|
|||
Unrealized gains on derivatives
(a)
|
|
16
|
|
|
14
|
|
|
37
|
|
|||
Pension and postretirement gains (losses)
(b)
|
|
14
|
|
|
(60
|
)
|
|
(52
|
)
|
|||
Reclassification to income of realized (gains) losses on derivatives
(c)
|
|
(24
|
)
|
|
98
|
|
|
83
|
|
|||
Other comprehensive income (loss), net of tax
(d)
|
|
(19
|
)
|
|
41
|
|
|
72
|
|
|||
Comprehensive income attributable to common stock
|
|
$
|
4,579
|
|
|
$
|
6,812
|
|
|
$
|
4,602
|
|
(a)
|
Net of tax of
$(9)
,
$(7)
and
$(20)
in
2012
,
2011
and
2010
, respectively.
|
(b)
|
Net of tax of
$(8)
,
$34
and
$30
in
2012
,
2011
and
2010
, respectively.
|
(c)
|
Net of tax of
$14
,
$(56)
and
$(47)
in
2012
,
2011
and
2010
, respectively.
|
(d)
|
There were no other comprehensive income (loss) items related to noncontrolling interests in
2012
,
2011
and
2010
.
|
(a)
|
On
December 31, 2010
, Occidental restructured its Colombian operations to take a direct working interest in the related assets.
|
(b)
|
Reflects contributions from the noncontrolling interest in a pipeline company.
|
Consolidated Statements of Cash Flows
|
Occidental Petroleum Corporation
and Subsidiaries
|
In millions
|
For the years ended December 31,
|
|
2012
|
|
2011
|
|
2010
|
||||||
CASH FLOW FROM OPERATING ACTIVITIES
|
|
|
|
|
|
|
||||||
Net income
|
|
$
|
4,598
|
|
|
$
|
6,771
|
|
|
$
|
4,602
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
|
|
|
||||||
Discontinued operations, net
|
|
37
|
|
|
(131
|
)
|
|
39
|
|
|||
Depreciation, depletion and amortization of assets
|
|
4,511
|
|
|
3,591
|
|
|
3,153
|
|
|||
Deferred income tax provision
|
|
1,128
|
|
|
1,436
|
|
|
406
|
|
|||
Other noncash charges to income
|
|
195
|
|
|
190
|
|
|
231
|
|
|||
Asset impairments and related items
|
|
1,751
|
|
|
—
|
|
|
275
|
|
|||
Undistributed earnings from equity investments
|
|
(30
|
)
|
|
(33
|
)
|
|
(60
|
)
|
|||
Dry hole expenses
|
|
279
|
|
|
160
|
|
|
139
|
|
|||
Changes in operating assets and liabilities:
|
|
|
|
|
|
|
||||||
Decrease (increase) in receivables
|
|
472
|
|
|
(360
|
)
|
|
(929
|
)
|
|||
(Increase) decrease in inventories
|
|
(265
|
)
|
|
(50
|
)
|
|
(42
|
)
|
|||
Decrease in other current assets
|
|
127
|
|
|
95
|
|
|
210
|
|
|||
(Decrease) increase in accounts payable and accrued liabilities
|
|
(1,086
|
)
|
|
657
|
|
|
1,146
|
|
|||
Increase (decrease) in current domestic and foreign income taxes
|
|
1
|
|
|
(174
|
)
|
|
186
|
|
|||
Other operating, net
|
|
(370
|
)
|
|
154
|
|
|
—
|
|
|||
Operating cash flow from continuing operations
|
|
11,348
|
|
|
12,306
|
|
|
9,356
|
|
|||
Operating cash flow from discontinued operations, net of taxes
|
|
(36
|
)
|
|
(25
|
)
|
|
210
|
|
|||
Net cash provided by operating activities
|
|
11,312
|
|
|
12,281
|
|
|
9,566
|
|
|||
|
|
|
|
|
|
|
||||||
CASH FLOW FROM INVESTING ACTIVITIES
|
|
|
|
|
|
|
||||||
Capital expenditures
|
|
(10,226
|
)
|
|
(7,518
|
)
|
|
(3,940
|
)
|
|||
Payments for purchases of assets and businesses
|
|
(2,490
|
)
|
|
(4,909
|
)
|
|
(4,924
|
)
|
|||
Sales of assets, net
|
|
4
|
|
|
50
|
|
|
20
|
|
|||
Other, net
|
|
57
|
|
|
(96
|
)
|
|
(36
|
)
|
|||
Investing cash flow from continuing operations
|
|
(12,655
|
)
|
|
(12,473
|
)
|
|
(8,880
|
)
|
|||
Investing cash flow from discontinued operations
|
|
—
|
|
|
2,570
|
|
|
(415
|
)
|
|||
Net cash used by investing activities
|
|
(12,655
|
)
|
|
(9,903
|
)
|
|
(9,295
|
)
|
|||
|
|
|
|
|
|
|
||||||
CASH FLOW FROM FINANCING ACTIVITIES
|
|
|
|
|
|
|
||||||
Proceeds from long-term debt
|
|
1,736
|
|
|
2,111
|
|
|
2,584
|
|
|||
Payments of long-term debt
|
|
—
|
|
|
(1,523
|
)
|
|
(311
|
)
|
|||
Proceeds from issuance of common stock
|
|
85
|
|
|
50
|
|
|
10
|
|
|||
Purchases of treasury stock
|
|
(583
|
)
|
|
(274
|
)
|
|
(67
|
)
|
|||
Contributions from (distributions to) noncontrolling interest
|
|
32
|
|
|
(121
|
)
|
|
—
|
|
|||
Cash dividends paid
|
|
(2,128
|
)
|
|
(1,436
|
)
|
|
(1,159
|
)
|
|||
Other, net
|
|
12
|
|
|
18
|
|
|
26
|
|
|||
Net cash (used) provided by financing activities
|
|
(846
|
)
|
|
(1,175
|
)
|
|
1,083
|
|
|||
(Decrease) increase in cash and cash equivalents
|
|
(2,189
|
)
|
|
1,203
|
|
|
1,354
|
|
|||
Cash and cash equivalents — beginning of year
|
|
3,781
|
|
|
2,578
|
|
|
1,224
|
|
|||
Cash and cash equivalents — end of year
|
|
$
|
1,592
|
|
|
$
|
3,781
|
|
|
$
|
2,578
|
|
Notes to Consolidated Financial Statements
|
Occidental Petroleum Corporation
and Subsidiaries
|
|
NOTE 1
|
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
|
In millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
Balance — Beginning of Year
|
|
$
|
182
|
|
|
$
|
73
|
|
|
$
|
51
|
|
Additions to capitalized exploratory well costs pending the determination of proved reserves
|
|
400
|
|
|
334
|
|
|
112
|
|
|||
Reclassifications to property, plant and equipment based on the determination of proved reserves
|
|
(407
|
)
|
|
(204
|
)
|
|
(73
|
)
|
|||
Capitalized exploratory well costs charged to expense
|
|
(77
|
)
|
|
(21
|
)
|
|
(17
|
)
|
|||
Balance — End of Year
|
|
$
|
98
|
|
|
$
|
182
|
|
|
$
|
73
|
|
Ø
|
Commodity derivatives – Occidental values exchange-cleared commodity derivatives using closing prices provided by the exchange as of the balance sheet date. These derivatives are classified as Level 1. Over-the-Counter (OTC) bilateral financial commodity contracts, foreign exchange contracts, options and physical commodity forward purchase and sale contracts are generally valued using quotations provided by brokers or industry-standard models that consider various inputs, including quoted forward prices for commodities, time value, volatility factors, credit risk and current market and contractual prices for the underlying instruments, as well as other relevant economic measures. Substantially all of these inputs are observable in the marketplace throughout the full term of the instrument and can be derived from observable data or are supported by observable prices at which transactions are executed in the marketplace. Occidental classifies these measurements as Level 2.
|
Ø
|
Embedded commodity derivatives – Occidental values embedded commodity derivatives based on a market approach that considers various assumptions, including quoted forward commodity prices and market yield curves. The assumptions used include inputs that are observable and unobservable in the marketplace, and the fair value is designated as Level 3 within the valuation hierarchy.
|
For the years ended December 31, (in millions)
|
|
2012
|
|
2011
|
||||
Beginning balance
|
|
$
|
1,089
|
|
|
$
|
800
|
|
Liabilities incurred – capitalized to PP&E
|
|
86
|
|
|
74
|
|
||
Liabilities settled and paid
|
|
(58
|
)
|
|
(53
|
)
|
||
Accretion expense
|
|
61
|
|
|
48
|
|
||
Acquisitions and other – capitalized to PP&E
|
|
50
|
|
|
177
|
|
||
Revisions to estimated cash flows – capitalized to PP&E
|
|
38
|
|
|
43
|
|
||
Ending balance
|
|
$
|
1,266
|
|
|
$
|
1,089
|
|
NOTE 2
|
ACQUISITIONS, DISPOSITIONS AND OTHER TRANSACTIONS
|
NOTE 3
|
ACCOUNTING AND DISCLOSURE CHANGES
|
NOTE 4
|
INVENTORIES
|
Balance at December 31, (in millions)
|
|
2012
|
|
2011
|
||||
Raw materials
|
|
$
|
70
|
|
|
$
|
69
|
|
Materials and supplies
|
|
612
|
|
|
443
|
|
||
Finished goods
|
|
763
|
|
|
655
|
|
||
|
|
1,445
|
|
|
1,167
|
|
||
LIFO reserve
|
|
(101
|
)
|
|
(98
|
)
|
||
Total
|
|
$
|
1,344
|
|
|
$
|
1,069
|
|
NOTE 5
|
LONG-TERM DEBT
|
Balance at December 31, (in millions)
|
|
2012
|
|
2011
|
||||
4.10% senior notes due 2021
|
|
$
|
1,300
|
|
|
$
|
1,300
|
|
1.75% senior notes due 2017
|
|
1,250
|
|
|
1,250
|
|
||
2.70% senior notes due 2023
|
|
1,250
|
|
|
—
|
|
||
3.125% senior notes due 2022
|
|
900
|
|
|
900
|
|
||
4.125% senior notes due 2016
|
|
750
|
|
|
750
|
|
||
2.5% senior notes due 2016
|
|
700
|
|
|
700
|
|
||
1.45% senior notes due 2013
|
|
600
|
|
|
600
|
|
||
1.50% senior notes due 2018
|
|
500
|
|
|
—
|
|
||
8.45% senior notes due 2029
|
|
116
|
|
|
116
|
|
||
9.25% senior debentures due 2019
|
|
116
|
|
|
116
|
|
||
7.2% senior debentures due 2028
|
|
82
|
|
|
82
|
|
||
Variable rate bonds due 2030 (0.13% and 0.11% as of December 31, 2012 and 2011, respectively)
|
|
68
|
|
|
68
|
|
||
8.75% medium-term notes due 2023
|
|
22
|
|
|
22
|
|
||
|
|
7,654
|
|
|
5,904
|
|
||
Less:
|
|
|
|
|
||||
Unamortized discount, net
|
|
(31
|
)
|
|
(33
|
)
|
||
Current maturities
|
|
(600
|
)
|
|
—
|
|
||
Total
|
|
$
|
7,023
|
|
|
$
|
5,871
|
|
NOTE 6
|
LEASE COMMITMENTS
|
In millions
|
|
Amount
(a)
|
||
2013
|
|
$
|
158
|
|
2014
|
|
105
|
|
|
2015
|
|
106
|
|
|
2016
|
|
88
|
|
|
2017
|
|
59
|
|
|
Thereafter
|
|
460
|
|
|
Total minimum lease payments
|
|
$
|
976
|
|
(a)
|
These amounts are net of sublease rentals of
$3 million
, which are to be received as follows (in millions):
2013
—
$2
and
2014
—
$1
.
|
NOTE 7
|
DERIVATIVES
|
|
|
After-tax
|
|
Pre-Tax
|
||||||||||||
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
||||||||
Beginning Balance — AOCI
|
|
$
|
1
|
|
|
$
|
(111
|
)
|
|
|
|
|
||||
Unrealized gains recognized in AOCI
|
|
16
|
|
|
14
|
|
|
$
|
25
|
|
|
$
|
20
|
|
||
(Gains) losses reclassified to income
|
|
(24
|
)
|
|
98
|
|
|
$
|
(38
|
)
|
|
$
|
154
|
|
||
Ending Balance — AOCI
|
|
$
|
(7
|
)
|
|
$
|
1
|
|
|
|
|
|
|
|
Net Outstanding Position
Long / (Short)
|
||||
Commodity
|
|
2012
|
|
2011
|
||
Oil (million barrels)
|
|
(17
|
)
|
|
(9
|
)
|
Natural gas (billion cubic feet)
|
|
(217
|
)
|
|
(242
|
)
|
Precious metals (million troy ounces)
|
|
1
|
|
|
3
|
|
December 31, 2012
|
|
Asset Derivatives
Balance Sheet Location
|
|
Fair Value
|
|
Liability Derivatives
Balance Sheet Location
|
|
Fair Value
|
||||
Cash-flow hedges
(a)
|
|
|
|
|
|
|
|
|
||||
Commodity contracts
|
|
Other current assets
|
|
$
|
11
|
|
|
Accrued liabilities
|
|
$
|
1
|
|
|
Long-term receivables and other assets, net
|
|
—
|
|
|
Deferred credits and other liabilities
|
|
1
|
|
|||
|
|
|
|
$
|
11
|
|
|
|
|
$
|
2
|
|
Derivatives not designated as hedging instruments
(a)
|
|
|
|
|
|
|
|
|
||||
Commodity contracts
|
|
Other current assets
|
|
$
|
386
|
|
|
Accrued liabilities
|
|
$
|
479
|
|
|
Long-term receivables and other assets, net
|
|
22
|
|
|
Deferred credits and other liabilities
|
|
16
|
|
|||
|
|
|
|
408
|
|
|
|
|
495
|
|
||
Total gross fair value
|
|
|
|
419
|
|
|
|
|
497
|
|
||
Less: counterparty netting and cash collateral
(b)
|
|
|
|
(301
|
)
|
|
|
|
(371
|
)
|
||
Total net fair value of derivatives
|
|
|
|
$
|
118
|
|
|
|
|
$
|
126
|
|
December 31, 2011
|
|
Asset Derivatives
Balance Sheet Location
|
|
Fair Value
|
|
Liability Derivatives
Balance Sheet Location
|
|
Fair Value
|
||||
Cash-flow hedges
(a)
|
|
|
|
|
|
|
|
|
||||
Commodity contracts
|
|
Other current assets
|
|
$
|
41
|
|
|
Accrued liabilities
|
|
$
|
5
|
|
|
Long-term receivables and other assets, net
|
|
3
|
|
|
Deferred credits and other liabilities
|
|
—
|
|
|||
|
|
|
|
$
|
44
|
|
|
|
|
$
|
5
|
|
Derivatives not designated as hedging instruments
(a)
|
|
|
|
|
|
|
|
|
||||
Commodity contracts
|
|
Other current assets
|
|
$
|
835
|
|
|
Accrued liabilities
|
|
$
|
887
|
|
|
Long-term receivables and other assets, net
|
|
71
|
|
|
Deferred credits and other liabilities
|
|
71
|
|
|||
|
|
|
|
906
|
|
|
|
|
958
|
|
||
Total gross fair value
|
|
|
|
950
|
|
|
|
|
963
|
|
||
Less: counterparty netting and cash collateral
(c)
|
|
|
|
(758
|
)
|
|
|
|
(782
|
)
|
||
Total net fair value of derivatives
|
|
|
|
$
|
192
|
|
|
|
|
$
|
181
|
|
(a)
|
Fair values are presented at gross amounts, including when the derivatives are subject to master netting arrangements and qualify for net presentation in the consolidated balance sheet.
|
(b)
|
As of
December 31, 2012
, collateral received of
$25 million
has been netted against derivative assets and collateral paid of
$95 million
has been netted against derivative liabilities.
|
(c)
|
As of
December 31, 2011
, collateral received of
$42 million
has been netted against derivative assets and collateral paid of
$66 million
has been netted against derivative liabilities.
|
NOTE 8
|
ENVIRONMENTAL LIABILITIES AND EXPENDITURES
|
$ amounts in millions
|
|
2012
|
|
2011
|
|
2010
|
|||||||||||||||
|
|
Number of Sites
|
|
Reserve
Balance
|
|
Number of Sites
|
|
Reserve Balance
|
|
Number of Sites
|
|
Reserve Balance
|
|||||||||
NPL sites
|
|
35
|
|
|
$
|
54
|
|
|
36
|
|
|
$
|
63
|
|
|
38
|
|
|
$
|
56
|
|
Third-party sites
|
|
75
|
|
|
84
|
|
|
73
|
|
|
88
|
|
|
83
|
|
|
91
|
|
|||
Occidental-operated sites
|
|
22
|
|
|
123
|
|
|
22
|
|
|
120
|
|
|
20
|
|
|
122
|
|
|||
Closed or non-operated Occidental sites
|
|
29
|
|
|
83
|
|
|
29
|
|
|
89
|
|
|
29
|
|
|
97
|
|
|||
Total
|
|
161
|
|
|
$
|
344
|
|
|
160
|
|
|
$
|
360
|
|
|
170
|
|
|
$
|
366
|
|
In millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
Balance — Beginning of Year
|
|
$
|
360
|
|
|
$
|
366
|
|
|
$
|
403
|
|
Remediation expenses and interest accretion
|
|
56
|
|
|
53
|
|
|
26
|
|
|||
Changes from acquisitions/dispositions
|
|
—
|
|
|
14
|
|
|
3
|
|
|||
Payments
|
|
(72
|
)
|
|
(73
|
)
|
|
(66
|
)
|
|||
Balance — End of Year
|
|
$
|
344
|
|
|
$
|
360
|
|
|
$
|
366
|
|
In millions
|
|
2012
|
|
2011
|
|
2010
|
||||||
Operating Expenses
|
|
|
|
|
|
|
||||||
Oil and Gas
|
|
$
|
160
|
|
|
$
|
158
|
|
|
$
|
108
|
|
Chemical
|
|
70
|
|
|
68
|
|
|
72
|
|
|||
Midstream and Marketing
|
|
20
|
|
|
21
|
|
|
13
|
|
|||
|
|
$
|
250
|
|
|
$
|
247
|
|
|
$
|
193
|
|
Capital Expenditures
|
|
|
|
|
|
|
||||||
Oil and Gas
|
|
$
|
122
|
|
|
$
|
110
|
|
|
$
|
72
|
|
Chemical
|
|
18
|
|
|
15
|
|
|
19
|
|
|||
Midstream and Marketing
|
|
12
|
|
|
15
|
|
|
13
|
|
|||
|
|
$
|
152
|
|
|
$
|
140
|
|
|
$
|
104
|
|
Remediation Expenses
|
|
|
|
|
|
|
||||||
Corporate
|
|
$
|
56
|
|
|
$
|
52
|
|
|
$
|
25
|
|
NOTE 9
|
LAWSUITS, CLAIMS, COMMITMENTS AND CONTINGENCIES
|
NOTE 10
|
DOMESTIC AND FOREIGN INCOME TAXES
|
For the years ended December 31, (in millions)
|
|
Domestic
|
|
Foreign
|
|
Total
|
||||||
2012
|
|
$
|
2,117
|
|
(a)
|
$
|
5,636
|
|
|
$
|
7,753
|
|
2011
|
|
$
|
4,806
|
|
|
$
|
6,035
|
|
|
$
|
10,841
|
|
2010
|
|
$
|
3,295
|
|
|
$
|
4,269
|
|
|
$
|
7,564
|
|
For the years ended December 31, (in millions)
|
|
United States
Federal
|
|
State
and Local
|
|
Foreign
|
|
Total
|
||||||||
2012
|
|
|
|
|
|
|
|
|
||||||||
Current
|
|
$
|
(401
|
)
|
|
$
|
8
|
|
|
$
|
2,383
|
|
|
$
|
1,990
|
|
Deferred
|
|
1,046
|
|
|
41
|
|
|
41
|
|
|
1,128
|
|
||||
|
|
$
|
645
|
|
|
$
|
49
|
|
|
$
|
2,424
|
|
|
$
|
3,118
|
|
2011
|
|
|
|
|
|
|
|
|
||||||||
Current
|
|
$
|
320
|
|
|
$
|
88
|
|
|
$
|
2,357
|
|
|
$
|
2,765
|
|
Deferred
|
|
1,340
|
|
|
47
|
|
|
49
|
|
|
1,436
|
|
||||
|
|
$
|
1,660
|
|
|
$
|
135
|
|
|
$
|
2,406
|
|
|
$
|
4,201
|
|
2010
|
|
|
|
|
|
|
|
|
||||||||
Current
|
|
$
|
614
|
|
|
$
|
79
|
|
|
$
|
1,896
|
|
|
$
|
2,589
|
|
Deferred
|
|
390
|
|
|
4
|
|
|
12
|
|
|
406
|
|
||||
|
|
$
|
1,004
|
|
|
$
|
83
|
|
|
$
|
1,908
|
|
|
$
|
2,995
|
|
For the years ended December 31,
|
|
2012
|
|
2011
|
|
2010
|
|||
United States federal statutory tax rate
|
|
35
|
%
|
|
35
|
%
|
|
35
|
%
|
Operations outside the United States
|
|
5
|
|
|
4
|
|
|
5
|
|
State income taxes, net of federal benefit
|
|
1
|
|
|
1
|
|
|
1
|
|
Other
|
|
(1
|
)
|
|
(1
|
)
|
|
(1
|
)
|
Worldwide effective tax rate
|
|
40
|
%
|
|
39
|
%
|
|
40
|
%
|
|
|
2012
|
|
2011
|
||||||||||||
Tax effects of temporary differences (in millions)
|
|
Deferred Tax Assets
|
|
Deferred Tax Liabilities
|
|
Deferred Tax Assets
|
|
Deferred Tax Liabilities
|
||||||||
Property, plant and equipment differences
|
|
$
|
—
|
|
|
$
|
7,316
|
|
|
$
|
—
|
|
|
$
|
6,039
|
|
Equity investments, partnerships and foreign subsidiaries
|
|
—
|
|
|
351
|
|
|
—
|
|
|
351
|
|
||||
Environmental reserves
|
|
126
|
|
|
—
|
|
|
131
|
|
|
—
|
|
||||
Postretirement benefit accruals
|
|
413
|
|
|
—
|
|
|
410
|
|
|
—
|
|
||||
Deferred compensation and benefits
|
|
278
|
|
|
—
|
|
|
286
|
|
|
—
|
|
||||
Asset retirement obligations
|
|
367
|
|
|
—
|
|
|
318
|
|
|
—
|
|
||||
Foreign tax credit carryforwards
|
|
1,277
|
|
|
—
|
|
|
1,240
|
|
|
—
|
|
||||
Other tax credit carryforwards
|
|
195
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||
Federal benefit of state income taxes
|
|
89
|
|
|
—
|
|
|
104
|
|
|
—
|
|
||||
All other
|
|
334
|
|
|
161
|
|
|
374
|
|
|
116
|
|
||||
Subtotal
|
|
3,079
|
|
|
7,828
|
|
|
2,863
|
|
|
6,506
|
|
||||
Valuation allowance
|
|
(1,040
|
)
|
|
—
|
|
|
(1,003
|
)
|
|
—
|
|
||||
Total deferred taxes
|
|
$
|
2,039
|
|
|
$
|
7,828
|
|
|
$
|
1,860
|
|
|
$
|
6,506
|
|
For the years ended December 31, (in millions)
|
|
2012
|
|
2011
|
||||
Balance at January 1,
|
|
$
|
67
|
|
|
$
|
38
|
|
Additions based on tax positions related to the current year
|
|
16
|
|
|
44
|
|
||
Reductions based on tax positions related to prior years and settlements
|
|
(7
|
)
|
|
(15
|
)
|
||
Balance at December 31,
|
|
$
|
76
|
|
|
$
|
67
|
|
NOTE 11
|
STOCKHOLDERS' EQUITY
|
Shares in thousands
|
|
Common Stock
|
|
Balance, December 31, 2009
|
|
883,643
|
|
Issued
|
|
967
|
|
Options exercised and other, net
|
|
665
|
|
Balance, December 31, 2010
|
|
885,275
|
|
Issued
|
|
1,302
|
|
Options exercised and other, net
|
|
232
|
|
Balance, December 31, 2011
|
|
886,809
|
|
Issued
|
|
1,746
|
|
Options exercised and other, net
|
|
246
|
|
Balance, December 31, 2012
|
|
888,801
|
|
In millions, except per-share amounts
|
|
2012
|
|
2011
|
|
2010
|
||||||
Basic EPS
|
|
|
|
|
|
|
||||||
Income from continuing operations
|
|
$
|
4,635
|
|
(a)
|
$
|
6,640
|
|
|
$
|
4,641
|
|
Less: Income from continuing operations attributable to noncontrolling interest
|
|
—
|
|
|
—
|
|
|
(72
|
)
|
|||
Income from continuing operations attributable to common stock
|
|
4,635
|
|
|
6,640
|
|
|
4,569
|
|
|||
Discontinued operations, net
|
|
(37
|
)
|
|
131
|
|
|
(39
|
)
|
|||
Net income attributable to common stock
|
|
4,598
|
|
|
6,771
|
|
|
4,530
|
|
|||
Less: Net income allocated to participating securities
|
|
(8
|
)
|
|
(11
|
)
|
|
(6
|
)
|
|||
Net income attributable to common stock, net of participating securities
|
|
$
|
4,590
|
|
|
$
|
6,760
|
|
|
$
|
4,524
|
|
Weighted average number of basic shares
|
|
809.3
|
|
|
812.1
|
|
|
812.5
|
|
|||
Basic EPS
|
|
$
|
5.67
|
|
|
$
|
8.32
|
|
|
$
|
5.57
|
|
|
|
|
|
|
|
|
||||||
Diluted EPS
|
|
|
|
|
|
|
||||||
Net income attributable to common stock, net of participating securities
|
|
$
|
4,590
|
|
|
$
|
6,760
|
|
|
$
|
4,524
|
|
Weighted average number of basic shares
|
|
809.3
|
|
|
812.1
|
|
|
812.5
|
|
|||
Dilutive effect of potentially dilutive securities
|
|
0.7
|
|
|
0.8
|
|
|
1.3
|
|
|||
Total diluted weighted average common shares
|
|
810.0
|
|
|
812.9
|
|
|
813.8
|
|
|||
Diluted EPS
|
|
$
|
5.67
|
|
|
$
|
8.32
|
|
|
$
|
5.56
|
|
(a)
|
Includes after-tax charges of $1.1 billion for the impairment of domestic gas assets and related items.
|
Balance at December 31, (in millions)
|
|
2012
|
|
2011
|
||||
Foreign currency translation adjustments
|
|
$
|
(34
|
)
|
|
$
|
(9
|
)
|
Unrealized gains (losses) on derivatives
|
|
(7
|
)
|
|
1
|
|
||
Pension and post-retirement adjustments
(a)
|
|
(461
|
)
|
|
(475
|
)
|
||
Total
|
|
$
|
(502
|
)
|
|
$
|
(483
|
)
|
(a)
|
See Note 13 for further information.
|
NOTE 12
|
STOCK-BASED INCENTIVE PLANS
|
For the years ended December 31, (in millions)
|
|
2012
|
|
2011
|
|
2010
|
||||||
Compensation expense
|
|
$
|
78
|
|
|
$
|
110
|
|
|
$
|
136
|
|
Income tax benefit recognized in the income statement
|
|
$
|
29
|
|
|
$
|
40
|
|
|
$
|
50
|
|
Intrinsic value of options and stock-settled SARs exercised
|
|
$
|
18
|
|
|
$
|
21
|
|
|
$
|
74
|
|
Cash paid
(a)
|
|
$
|
83
|
|
|
$
|
124
|
|
|
$
|
97
|
|
Fair value of RSUs and TSRIs vested during the year
(b)
|
|
$
|
28
|
|
|
$
|
53
|
|
|
$
|
19
|
|
(a)
|
Includes cash paid under the cash-settled portion of the SARs, RSUs and TSRIs.
|
(b)
|
As measured on the vesting date for the stock-settled portion of the RSUs and TSRIs.
|
|
|
Cash-Settled
|
|
Stock-Settled
|
||||||||
|
|
RSUs
(000's)
|
|
Weighted-Average
Grant-Date
Fair Value
|
|
RSUs
(000's)
|
|
Weighted-Average
Grant-Date
Fair Value
|
||||
Unvested at January 1
|
|
1,272
|
|
|
$
|
90.50
|
|
568
|
|
|
$
|
93.14
|
Granted
|
|
729
|
|
|
$
|
84.38
|
|
824
|
|
|
$
|
84.81
|
Vested
|
|
(621
|
)
|
|
$
|
83.61
|
|
(9
|
)
|
|
$
|
88.21
|
Forfeitures
|
|
(48
|
)
|
|
$
|
92.90
|
|
(8
|
)
|
|
$
|
84.57
|
Unvested at December 31
|
|
1,332
|
|
|
$
|
90.27
|
|
1,375
|
|
|
$
|
88.23
|
|
|
Cash-Settled
|
|
Stock-Settled
|
||||||||||||||||||||||
|
|
SARs
(000's)
|
|
Weighted-
Average
Exercise
Price
|
|
Weighted-
Average
Remaining
Contractual
Term (yrs)
|
|
Aggregate
Intrinsic
Value
(000’s)
|
|
SARs &
Options
(000's)
|
|
Weighted-
Average
Exercise
Price
|
|
Weighted-
Average
Remaining
Contractual
Term (yrs)
|
|
Aggregate
Intrinsic
Value
(000’s)
|
||||||||||
Beginning balance, January 1
|
|
564
|
|
|
$
|
24.66
|
|
|
|
|
|
|
782
|
|
|
$
|
26.34
|
|
|
|
|
|
||||
Exercised
|
|
(70
|
)
|
|
$
|
24.66
|
|
|
|
|
|
|
(245
|
)
|
|
$
|
14.22
|
|
|
|
|
|
||||
Ending balance, December 31
|
|
494
|
|
|
$
|
24.66
|
|
|
1.5
|
|
$
|
25,639
|
|
|
537
|
|
|
$
|
31.88
|
|
|
2.0
|
|
$
|
24,008
|
|
Exercisable at December 31
|
|
494
|
|
|
$
|
24.66
|
|
|
1.5
|
|
$
|
25,639
|
|
|
537
|
|
|
$
|
31.88
|
|
|
2.0
|
|
$
|
24,008
|
|
|
|
TSRIs
|
||||||||||
Year Granted
|
|
2012
|
|
2011
|
|
2010
|
||||||
Assumptions used:
|
|
|
|
|
|
|
||||||
Risk-free interest rate
|
|
0.4
|
%
|
|
0.6
|
%
|
|
0.6
|
%
|
|||
Dividend yield
|
|
2.6
|
%
|
|
1.8
|
%
|
|
1.8
|
%
|
|||
Volatility factor
|
|
34
|
%
|
|
33
|
%
|
|
32
|
%
|
|||
Expected life (years)
|
|
3
|
|
|
3
|
|
|
3
|
|
|||
Grant-date fair value of underlying Occidental common stock
|
|
$
|
84.57
|
|
|
$
|
102.97
|
|
|
$
|
84.29
|
|
|
|
TSRIs
|
|||||
|
|
Awards
(000’s)
|
|
Weighted-Average
Grant-Date Fair
Value of Occidental Stock
|
|||
Unvested at January 1
(a)
|
|
1,865
|
|
|
$
|
78.67
|
|
Granted
(a)
|
|
453
|
|
|
$
|
84.57
|
|
Vested
(b)
|
|
(388
|
)
|
|
$
|
77.00
|
|
Forfeitures
|
|
—
|
|
|
$
|
—
|
|
Unvested at December 31
(a)
|
|
1,930
|
|
|
$
|
80.39
|
(a)
|
Unvested awards and award grants are presented at the target or mid-point payouts.
|
(b)
|
The payout at vesting was
150 percent
of the target for TSRIs.
|
NOTE 13
|
RETIREMENT AND POSTRETIREMENT BENEFIT PLANS
|
|
|
Pension Benefits
|
|
Postretirement Benefits
|
||||||||||||
As of December 31,
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
||||||||
Amounts recognized in the consolidated balance sheet:
|
|
|
|
|
|
|
|
|
||||||||
Other assets
|
|
$
|
24
|
|
|
$
|
24
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Accrued liabilities
|
|
(4
|
)
|
|
(5
|
)
|
|
(59
|
)
|
|
(47
|
)
|
||||
Deferred credits and other liabilities — other
|
|
(136
|
)
|
|
(136
|
)
|
|
(1,068
|
)
|
|
(1,045
|
)
|
||||
|
|
$
|
(116
|
)
|
|
$
|
(117
|
)
|
|
$
|
(1,127
|
)
|
|
$
|
(1,092
|
)
|
AOCI included the following after-tax balances:
|
|
|
|
|
|
|
|
|
||||||||
Net loss
|
|
$
|
134
|
|
|
$
|
146
|
|
|
$
|
324
|
|
|
$
|
331
|
|
Prior service cost
|
|
1
|
|
|
2
|
|
|
2
|
|
|
2
|
|
||||
|
|
$
|
135
|
|
|
$
|
148
|
|
|
$
|
326
|
|
|
$
|
333
|
|
|
|
|
|
|
|
|
|
|
||||||||
For the years ended December 31,
|
|
|
|
|
|
|
|
|
||||||||
Changes in benefit obligation:
|
|
|
|
|
|
|
|
|
||||||||
Benefit obligation — beginning of year
|
|
$
|
592
|
|
|
$
|
615
|
|
|
$
|
1,092
|
|
|
$
|
991
|
|
Service cost — benefits earned during the period
|
|
13
|
|
|
12
|
|
|
25
|
|
|
22
|
|
||||
Interest cost on projected benefit obligation
|
|
27
|
|
|
29
|
|
|
42
|
|
|
45
|
|
||||
Actuarial loss
|
|
46
|
|
|
49
|
|
|
26
|
|
|
81
|
|
||||
Foreign currency exchange rate (gain) loss
|
|
2
|
|
|
(5
|
)
|
|
—
|
|
|
—
|
|
||||
Benefits paid
|
|
(57
|
)
|
|
(51
|
)
|
|
(58
|
)
|
|
(47
|
)
|
||||
Settlements
|
|
(8
|
)
|
|
(57
|
)
|
|
—
|
|
|
—
|
|
||||
Benefit obligation — end of year
|
|
$
|
615
|
|
|
$
|
592
|
|
|
$
|
1,127
|
|
|
$
|
1,092
|
|
|
|
|
|
|
|
|
|
|
||||||||
Changes in plan assets:
|
|
|
|
|
|
|
|
|
||||||||
Fair value of plan assets — beginning of year
|
|
$
|
475
|
|
|
$
|
495
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Actual return on plan assets
|
|
61
|
|
|
13
|
|
|
—
|
|
|
—
|
|
||||
Foreign currency exchange rate gain (loss)
|
|
(3
|
)
|
|
(3
|
)
|
|
—
|
|
|
—
|
|
||||
Employer contributions
|
|
31
|
|
|
78
|
|
|
—
|
|
|
—
|
|
||||
Benefits paid
|
|
(57
|
)
|
|
(51
|
)
|
|
—
|
|
|
—
|
|
||||
Settlements
|
|
(8
|
)
|
|
(57
|
)
|
|
—
|
|
|
—
|
|
||||
Fair value of plan assets — end of year
|
|
$
|
499
|
|
|
$
|
475
|
|
|
$
|
—
|
|
|
$
|
—
|
|
Unfunded status:
|
|
$
|
(116
|
)
|
|
$
|
(117
|
)
|
|
$
|
(1,127
|
)
|
|
$
|
(1,092
|
)
|
|
|
Accumulated Benefit
Obligation in Excess of
Plan Assets
|
|
Plan Assets
in Excess of Accumulated
Benefit Obligation
|
||||||||||||
As of December 31, (in millions)
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
||||||||
Projected Benefit Obligation
|
|
$
|
305
|
|
|
$
|
361
|
|
|
$
|
310
|
|
|
$
|
231
|
|
Accumulated Benefit Obligation
|
|
$
|
278
|
|
|
$
|
334
|
|
|
$
|
305
|
|
|
$
|
227
|
|
Fair Value of Plan Assets
|
|
$
|
171
|
|
|
$
|
226
|
|
|
$
|
328
|
|
|
$
|
249
|
|
|
|
Pension Benefits
|
|
Postretirement Benefits
|
||||||||||||||||||||
For the years ended December 31, (in millions)
|
|
2012
|
|
2011
|
|
2010
|
|
2012
|
|
2011
|
|
2010
|
||||||||||||
Net periodic benefit costs:
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Service cost — benefits earned during the period
|
|
$
|
13
|
|
|
$
|
12
|
|
|
$
|
16
|
|
|
$
|
25
|
|
|
$
|
22
|
|
|
$
|
19
|
|
Interest cost on benefit obligation
|
|
27
|
|
|
29
|
|
|
30
|
|
|
42
|
|
|
45
|
|
|
44
|
|
||||||
Expected return on plan assets
|
|
(31
|
)
|
|
(33
|
)
|
|
(31
|
)
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
Recognized actuarial loss
|
|
19
|
|
|
13
|
|
|
15
|
|
|
37
|
|
|
31
|
|
|
27
|
|
||||||
Other costs and adjustments
|
|
17
|
|
|
—
|
|
|
10
|
|
|
1
|
|
|
1
|
|
|
1
|
|
||||||
Net periodic benefit cost
|
|
$
|
45
|
|
|
$
|
21
|
|
|
$
|
40
|
|
|
$
|
105
|
|
|
$
|
99
|
|
|
$
|
91
|
|
|
|
Pension Benefits
|
|
Postretirement Benefits
|
||||||||
For the years ended December 31,
|
|
2012
|
|
2011
|
|
2012
|
|
2011
|
||||
Benefit Obligation Assumptions:
|
|
|
|
|
|
|
|
|
||||
Discount rate
|
|
3.59
|
%
|
|
4.12
|
%
|
|
3.89
|
%
|
|
4.12
|
%
|
Rate of compensation increase
|
|
4.00
|
%
|
|
4.00
|
%
|
|
—
|
|
|
—
|
|
Net Periodic Benefit Cost Assumptions:
|
|
|
|
|
|
|
|
|
||||
Discount rate
|
|
4.12
|
%
|
|
4.74
|
%
|
|
4.12
|
%
|
|
4.74
|
%
|
Assumed long term rate of return on assets
|
|
6.50
|
%
|
|
6.50
|
%
|
|
—
|
|
|
—
|
|
Rate of compensation increase
|
|
4.00
|
%
|
|
4.00
|
%
|
|
—
|
|
|
—
|
|
|
|
Fair Value Measurements at December 31, 2012 Using
|
||||||||||||||
Description
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||
Asset Class:
|
|
|
|
|
|
|
|
|
||||||||
U.S. government securities
|
|
$
|
24
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
24
|
|
Corporate bonds
(a)
|
|
—
|
|
|
83
|
|
|
—
|
|
|
83
|
|
||||
Common/collective trusts
(b)
|
|
—
|
|
|
11
|
|
|
—
|
|
|
11
|
|
||||
Mutual funds:
|
|
|
|
|
|
|
|
|
||||||||
Bond funds
|
|
84
|
|
|
—
|
|
|
—
|
|
|
84
|
|
||||
Blend funds
|
|
106
|
|
|
—
|
|
|
—
|
|
|
106
|
|
||||
Value and growth funds
|
|
5
|
|
|
—
|
|
|
—
|
|
|
5
|
|
||||
Common and preferred stocks
(c)
|
|
146
|
|
|
—
|
|
|
—
|
|
|
146
|
|
||||
Other
|
|
—
|
|
|
35
|
|
|
11
|
|
|
46
|
|
||||
Total pension plan assets
(d)
|
|
$
|
365
|
|
|
$
|
129
|
|
|
$
|
11
|
|
|
$
|
505
|
|
|
|
Fair Value Measurements at December 31, 2011 Using
|
||||||||||||||
Description
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
Total
|
||||||||
Asset Class:
|
|
|
|
|
|
|
|
|
||||||||
U.S. government securities
|
|
$
|
22
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
22
|
|
Corporate bonds
(a)
|
|
—
|
|
|
83
|
|
|
—
|
|
|
83
|
|
||||
Common/collective trusts
(b)
|
|
—
|
|
|
14
|
|
|
—
|
|
|
14
|
|
||||
Mutual funds:
|
|
|
|
|
|
|
|
|
||||||||
Bond funds
|
|
84
|
|
|
—
|
|
|
—
|
|
|
84
|
|
||||
Blend funds
|
|
97
|
|
|
—
|
|
|
—
|
|
|
97
|
|
||||
Value and growth funds
|
|
5
|
|
|
—
|
|
|
—
|
|
|
5
|
|
||||
Common and preferred stocks
(c)
|
|
131
|
|
|
—
|
|
|
—
|
|
|
131
|
|
||||
Other
|
|
—
|
|
|
34
|
|
|
12
|
|
|
46
|
|
||||
Total pension plan assets
(d)
|
|
$
|
339
|
|
|
$
|
131
|
|
|
$
|
12
|
|
|
$
|
482
|
|
(a)
|
This category represents investment grade bonds of U.S. and non-U.S. issuers from diverse industries.
|
(b)
|
This category includes investment funds that primarily invest in U.S. and non-U.S. common stocks and fixed-income securities.
|
(c)
|
This category represents direct investments in common and preferred stocks from diverse U.S. and non-U.S. industries.
|
(d)
|
Amounts exclude net payables of approximately
$6 million
and $7 million as of
December 31, 2012
and
2011
, respectively.
|
For the years ended December 31, (in millions)
|
|
Pension
Benefits
|
|
Postretirement Benefits
|
||||
2013
|
|
$
|
40
|
|
|
$
|
50
|
|
2014
|
|
$
|
44
|
|
|
$
|
51
|
|
2015
|
|
$
|
41
|
|
|
$
|
52
|
|
2016
|
|
$
|
46
|
|
|
$
|
53
|
|
2017
|
|
$
|
42
|
|
|
$
|
54
|
|
2018 — 2022
|
|
$
|
230
|
|
|
$
|
294
|
|
NOTE 14
|
INVESTMENTS AND RELATED-PARTY TRANSACTIONS
|
For the years ended December 31, (in millions)
|
|
2012
|
|
2011
|
|
2010
|
||||||
Revenues
|
|
$
|
2,667
|
|
|
$
|
2,439
|
|
|
$
|
1,759
|
|
Costs and expenses
|
|
2,310
|
|
|
2,046
|
|
|
1,482
|
|
|||
Net income
|
|
$
|
357
|
|
|
$
|
393
|
|
|
$
|
277
|
|
|
|
|
|
|
|
|
||||||
As of December 31, (in millions)
|
|
2012
|
|
2011
|
|
|
||||||
Current assets
|
|
$
|
2,065
|
|
|
$
|
2,230
|
|
|
|
||
Non-current assets
|
|
$
|
5,104
|
|
|
$
|
4,381
|
|
|
|
||
Current liabilities
|
|
$
|
1,774
|
|
|
$
|
1,532
|
|
|
|
||
Long-term debt
|
|
$
|
2,250
|
|
|
$
|
2,305
|
|
|
|
||
Other non-current liabilities
|
|
$
|
241
|
|
|
$
|
168
|
|
|
|
||
Stockholders’ equity
|
|
$
|
2,904
|
|
|
$
|
2,606
|
|
|
|
December 31, (in millions)
|
|
2012
|
|
2011
|
|
2010
|
||||||
Purchases
(a)
|
|
$
|
8
|
|
|
$
|
10
|
|
|
$
|
153
|
|
Sales
(b)
|
|
$
|
419
|
|
|
$
|
392
|
|
|
$
|
440
|
|
Services
|
|
$
|
17
|
|
|
$
|
10
|
|
|
$
|
2
|
|
Advances and amounts due from
|
|
$
|
25
|
|
|
$
|
32
|
|
|
$
|
135
|
|
Amounts due to
|
|
$
|
129
|
|
|
$
|
21
|
|
|
$
|
383
|
|
(a)
|
In
2010
, purchases from EHP accounted for
90 percent
of total purchases.
|
(b)
|
In
2012
,
2011
and
2010
, sales of Occidental-produced oil and NGLs to Plains Pipeline accounted for
80 percent
,
76 percent
and
50 percent
of these totals, respectively. Additionally, Occidental conducts marketing and trading activities with Plains Pipeline for oil and NGLs. These transactions are reported in Occidental's income statement on a net margin basis. The sales amounts above include the net margins on such transactions, which were negligible. In
2012
and
2011
, sales to Dolphin Energy accounted for
12 percent
and
16 percent
, of total sales, respectively. In
2010
, sales to EHP and Dolphin Energy accounted for
44 percent
of total sales.
|
NOTE 15
|
FAIR VALUE MEASUREMENTS
|
|
|
Fair Value Measurements at December 31, 2012 Using
|
|
Netting and Collateral
(a)
|
|
Total
Fair Value
|
||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||||||
Description
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
|
||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commodity derivatives
|
|
$
|
107
|
|
|
$
|
312
|
|
|
$
|
—
|
|
|
$
|
(301
|
)
|
|
$
|
118
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commodity derivatives
|
|
$
|
99
|
|
|
$
|
398
|
|
|
$
|
—
|
|
|
$
|
(371
|
)
|
|
$
|
126
|
|
|
|
Fair Value Measurements at December 31, 2011 Using
|
|
Netting and Collateral
(a)
|
|
Total
Fair Value
|
||||||||||||||
|
|
|
|
|
|
|
|
|
||||||||||||
Description
|
|
Level 1
|
|
Level 2
|
|
Level 3
|
|
|
||||||||||||
Assets:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commodity derivatives
|
|
$
|
310
|
|
|
$
|
640
|
|
|
$
|
—
|
|
|
$
|
(758
|
)
|
|
$
|
192
|
|
Liabilities:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Commodity derivatives
|
|
$
|
311
|
|
|
$
|
652
|
|
|
$
|
—
|
|
|
$
|
(782
|
)
|
|
$
|
181
|
|
(a)
|
Represents the impact of netting assets, liabilities and collateral when a legal right of offset exists.
|
NOTE 16
|
INDUSTRY SEGMENTS AND GEOGRAPHIC AREAS
|
Industry Segments
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
In millions
|
|
Oil and Gas
|
|
Chemical
|
|
Midstream and
Marketing
|
|
Corporate
and
Eliminations
|
|
Total
|
|
||||||||||
|
|
|
|
|
|
|
|||||||||||||||
YEAR ENDED DECEMBER 31, 2012
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net sales
|
|
$
|
18,906
|
|
(a)
|
$
|
4,580
|
|
(b)
|
$
|
1,399
|
|
(c)
|
$
|
(713
|
)
|
|
$
|
24,172
|
|
|
Pretax operating profit (loss)
|
|
$
|
7,095
|
|
(d)
|
$
|
720
|
|
|
$
|
439
|
|
|
$
|
(501
|
)
|
(f,h)
|
$
|
7,753
|
|
|
Income taxes
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(3,118
|
)
|
(g,h)
|
(3,118
|
)
|
|
|||||
Discontinued operations, net
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(37
|
)
|
|
(37
|
)
|
|
|||||
Net income (loss) attributable to common stock
|
|
$
|
7,095
|
|
|
$
|
720
|
|
|
$
|
439
|
|
|
$
|
(3,656
|
)
|
|
$
|
4,598
|
|
|
Investments in unconsolidated entities
|
|
$
|
113
|
|
|
$
|
108
|
|
|
$
|
1,662
|
|
|
$
|
11
|
|
|
$
|
1,894
|
|
|
Property, plant and equipment additions, net
(i)
|
|
$
|
8,282
|
|
|
$
|
365
|
|
|
$
|
1,612
|
|
|
$
|
91
|
|
|
$
|
10,350
|
|
|
Depreciation, depletion and amortization
|
|
$
|
3,933
|
|
|
$
|
345
|
|
|
$
|
206
|
|
|
$
|
27
|
|
|
$
|
4,511
|
|
|
Total assets
|
|
$
|
44,004
|
|
|
$
|
3,854
|
|
|
$
|
12,762
|
|
|
$
|
3,590
|
|
|
$
|
64,210
|
|
|
YEAR ENDED DECEMBER 31, 2011
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net sales
|
|
$
|
18,419
|
|
(a)
|
$
|
4,815
|
|
(b)
|
$
|
1,447
|
|
(c)
|
$
|
(742
|
)
|
|
$
|
23,939
|
|
|
Pretax operating profit (loss)
|
|
$
|
10,241
|
|
(d)
|
$
|
861
|
|
|
$
|
448
|
|
|
$
|
(709
|
)
|
(f,h)
|
$
|
10,841
|
|
(d)
|
Income taxes
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(4,201
|
)
|
(g,h)
|
(4,201
|
)
|
|
|||||
Discontinued operations, net
|
|
—
|
|
|
—
|
|
|
—
|
|
|
131
|
|
|
131
|
|
|
|||||
Net income (loss) attributable to common stock
|
|
$
|
10,241
|
|
(d)
|
$
|
861
|
|
|
$
|
448
|
|
|
$
|
(4,779
|
)
|
|
$
|
6,771
|
|
|
Investments in unconsolidated entities
|
|
$
|
128
|
|
|
$
|
121
|
|
|
$
|
1,812
|
|
|
$
|
11
|
|
|
$
|
2,072
|
|
|
Property, plant and equipment additions, net
(i)
|
|
$
|
6,192
|
|
|
$
|
241
|
|
|
$
|
1,120
|
|
|
$
|
51
|
|
|
$
|
7,604
|
|
|
Depreciation, depletion and amortization
|
|
$
|
3,064
|
|
|
$
|
330
|
|
|
$
|
173
|
|
|
$
|
24
|
|
|
$
|
3,591
|
|
|
Total assets
|
|
$
|
38,967
|
|
|
$
|
3,754
|
|
|
$
|
11,962
|
|
|
$
|
5,361
|
|
|
$
|
60,044
|
|
|
YEAR ENDED DECEMBER 31, 2010
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Net sales
|
|
$
|
14,276
|
|
(a)
|
$
|
4,016
|
|
(b)
|
$
|
1,471
|
|
(c)
|
$
|
(718
|
)
|
|
$
|
19,045
|
|
|
Pretax operating profit (loss)
|
|
$
|
7,151
|
|
(d,e)
|
$
|
438
|
|
|
$
|
472
|
|
|
$
|
(497
|
)
|
(f,h)
|
$
|
7,564
|
|
(d,e)
|
Income taxes
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(2,995
|
)
|
(g,h)
|
(2,995
|
)
|
|
|||||
Discontinued operations, net
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(39
|
)
|
|
(39
|
)
|
|
|||||
Net income (loss) attributable to common stock
|
|
$
|
7,151
|
|
(d,e)
|
$
|
438
|
|
|
$
|
472
|
|
|
$
|
(3,531
|
)
|
|
$
|
4,530
|
|
(e)
|
Investments in unconsolidated entities
|
|
$
|
123
|
|
|
$
|
135
|
|
|
$
|
1,770
|
|
|
$
|
11
|
|
|
$
|
2,039
|
|
|
Property, plant and equipment additions, net
(i)
|
|
$
|
3,211
|
|
|
$
|
248
|
|
|
$
|
537
|
|
|
$
|
38
|
|
|
$
|
4,034
|
|
|
Depreciation, depletion and amortization
|
|
$
|
2,668
|
|
|
$
|
321
|
|
|
$
|
142
|
|
|
$
|
22
|
|
|
$
|
3,153
|
|
|
Total assets
|
|
$
|
31,855
|
|
|
$
|
3,755
|
|
|
$
|
10,445
|
|
|
$
|
6,377
|
|
(j)
|
$
|
52,432
|
|
|
(See footnotes on next page)
|
|
|
|
|
|
|
|
|
|
|
|
(a)
|
Oil sales represented approximately 90 percent, 87 percent and 86 percent of the oil and gas segment net sales for the years ended
December 31, 2012
,
2011
and
2010
, respectively.
|
(b)
|
Net sales for the chemical segment comprised the following products:
|
|
|
Basic Chemicals
|
|
Vinyls
|
|
Other Chemicals
|
Year ended December 31, 2012
|
|
57%
|
|
40%
|
|
3%
|
Year ended December 31, 2011
|
|
58%
|
|
39%
|
|
3%
|
Year ended December 31, 2010
|
|
57%
|
|
40%
|
|
3%
|
(c)
|
Net sales for the midstream and marketing segment comprised the following:
|
|
|
Gas Processing
|
|
Power
|
|
Marketing, Trading,
Transportation and other
|
Year ended December 31, 2012
|
|
59%
|
|
20%
|
|
21%
|
Year ended December 31, 2011
|
|
64%
|
|
27%
|
|
9%
|
Year ended December 31, 2010
|
|
52%
|
|
27%
|
|
21%
|
(d)
|
The 2012 amount includes pre-tax charges of $1.7 billion for the impairment of domestic gas assets and related items. The
2011
amount includes pre-tax charges of
$35 million
related to exploration write-offs in Libya and
$29 million
related to a Colombian net worth tax, and a pre-tax gain for the sale of an interest in a Colombian pipeline of
$22 million
. The
2010
amount includes a
$275 million
pre-tax charge for asset impairments, predominantly of gas properties in the Rocky Mountain region.
|
(e)
|
Includes amounts attributable to common stock after deducting a noncontrolling interest amount of
$72 million
.
|
(f)
|
Includes unallocated net interest expense, administration expense, environmental remediation and other pre-tax items noted in footnote (h) below.
|
(g)
|
Includes all foreign and domestic income taxes from continuing operations.
|
(h)
|
Includes the following significant items affecting earnings for the years ended December 31:
|
Benefit (Charge) (In millions)
|
|
2012
|
|
2011
|
|
2010
|
||||||
CORPORATE
|
|
|
|
|
|
|
||||||
Pre-tax operating profit (loss)
|
|
|
|
|
|
|
||||||
Premium on debt extinguishments
|
|
$
|
—
|
|
|
$
|
(163
|
)
|
|
$
|
—
|
|
Litigation reserves
|
|
(20
|
)
|
|
—
|
|
|
—
|
|
|||
|
|
$
|
(20
|
)
|
|
$
|
(163
|
)
|
|
$
|
—
|
|
Income taxes
|
|
|
|
|
|
|
||||||
State income tax charge
|
|
$
|
—
|
|
|
$
|
(33
|
)
|
|
$
|
—
|
|
Foreign tax credit carryforwards
|
|
—
|
|
|
—
|
|
|
80
|
|
|||
Tax effect of pre-tax adjustments *
|
|
636
|
|
|
50
|
|
|
100
|
|
|||
|
|
$
|
636
|
|
|
$
|
17
|
|
|
$
|
180
|
|
(i)
|
Includes capital expenditures and capitalized interest, but excludes purchases of assets, net. Also includes amounts attributable to the noncontrolling interest in a Colombian subsidiary for
2010
.
|
(j)
|
Includes Argentine assets, which were classified as held for sale.
|
|
|
Net sales
(a)
|
|
Property, plant and equipment, net
|
||||||||||||||||||||
For the years ended December 31,
|
|
2012
|
|
2011
|
|
2010
|
|
2012
|
|
2011
|
|
2010
|
||||||||||||
United States
|
|
$
|
15,359
|
|
|
$
|
15,040
|
|
|
$
|
12,151
|
|
|
$
|
40,786
|
|
|
$
|
36,283
|
|
|
$
|
28,571
|
|
Foreign
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Qatar
|
|
3,356
|
|
|
3,432
|
|
|
2,677
|
|
|
2,676
|
|
|
2,735
|
|
|
2,823
|
|
||||||
Oman
|
|
2,578
|
|
|
2,500
|
|
|
1,666
|
|
|
2,353
|
|
|
2,143
|
|
|
1,967
|
|
||||||
Colombia
|
|
1,027
|
|
|
1,054
|
|
|
999
|
|
|
1,041
|
|
|
854
|
|
|
715
|
|
||||||
Yemen
|
|
407
|
|
|
907
|
|
|
766
|
|
|
199
|
|
|
245
|
|
|
347
|
|
||||||
Bahrain
|
|
215
|
|
|
187
|
|
|
100
|
|
|
688
|
|
|
477
|
|
|
222
|
|
||||||
United Arab Emirates
|
|
—
|
|
|
—
|
|
|
—
|
|
|
2,104
|
|
|
971
|
|
|
1
|
|
||||||
Other Foreign
|
|
1,230
|
|
|
819
|
|
|
686
|
|
|
2,217
|
|
|
1,976
|
|
|
1,890
|
|
||||||
Total Foreign
|
|
8,813
|
|
|
8,899
|
|
|
6,894
|
|
|
11,278
|
|
|
9,401
|
|
|
7,965
|
|
||||||
Total
|
|
$
|
24,172
|
|
|
$
|
23,939
|
|
|
$
|
19,045
|
|
|
$
|
52,064
|
|
|
$
|
45,684
|
|
|
$
|
36,536
|
|
(a)
|
Sales are shown by individual country based on the location of the entity making the sale.
|
2012 Quarterly Financial Data
(Unaudited)
|
Occidental Petroleum Corporation
and Subsidiaries
|
In millions, except per-share amounts
|
Three months ended
|
|
March 31
|
|
June 30
|
|
September 30
|
|
December 31
|
|
||||||||
Segment net sales
|
|
|
|
|
|
|
|
|
|
||||||||
Oil and gas
|
|
$
|
4,902
|
|
|
$
|
4,495
|
|
|
$
|
4,635
|
|
|
$
|
4,874
|
|
|
Chemical
|
|
1,148
|
|
|
1,172
|
|
|
1,119
|
|
|
1,141
|
|
|
||||
Midstream, marketing and other
|
|
393
|
|
|
262
|
|
|
389
|
|
|
355
|
|
|
||||
Eliminations
|
|
(175
|
)
|
|
(161
|
)
|
|
(178
|
)
|
|
(199
|
)
|
|
||||
Net sales
|
|
$
|
6,268
|
|
|
$
|
5,768
|
|
|
$
|
5,965
|
|
|
$
|
6,171
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Gross profit
|
|
$
|
3,144
|
|
|
$
|
2,541
|
|
|
$
|
2,617
|
|
|
$
|
2,842
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Segment earnings
|
|
|
|
|
|
|
|
|
|
||||||||
Oil and gas
|
|
$
|
2,504
|
|
|
$
|
2,043
|
|
|
$
|
2,026
|
|
|
$
|
522
|
|
(a)
|
Chemical
|
|
184
|
|
|
194
|
|
|
162
|
|
|
180
|
|
|
||||
Midstream, marketing and other
|
|
131
|
|
|
77
|
|
|
156
|
|
|
75
|
|
|
||||
|
|
2,819
|
|
|
2,314
|
|
|
2,344
|
|
|
777
|
|
|
||||
Unallocated corporate items
|
|
|
|
|
|
|
|
|
|
||||||||
Interest expense, net
|
|
(28
|
)
|
|
(25
|
)
|
|
(34
|
)
|
|
(30
|
)
|
|
||||
Income taxes
|
|
(1,139
|
)
|
|
(875
|
)
|
|
(855
|
)
|
|
(249
|
)
|
|
||||
Other
|
|
(92
|
)
|
|
(82
|
)
|
|
(76
|
)
|
|
(134
|
)
|
|
||||
Income from continuing operations
|
|
1,560
|
|
|
1,332
|
|
|
1,379
|
|
|
364
|
|
|
||||
Discontinued operations, net
|
|
(1
|
)
|
|
(4
|
)
|
|
(4
|
)
|
|
(28
|
)
|
|
||||
Net income attributable to common stock
|
|
$
|
1,559
|
|
|
$
|
1,328
|
|
|
$
|
1,375
|
|
|
$
|
336
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Basic earnings per common share
|
|
|
|
|
|
|
|
|
|
||||||||
Income from continuing operations
|
|
$
|
1.92
|
|
|
$
|
1.64
|
|
|
$
|
1.70
|
|
|
$
|
0.45
|
|
|
Discontinued operations, net
|
|
—
|
|
|
—
|
|
|
(0.01
|
)
|
|
(0.03
|
)
|
|
||||
Basic earnings per common share
|
|
$
|
1.92
|
|
|
$
|
1.64
|
|
|
$
|
1.69
|
|
|
$
|
0.42
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Diluted earnings per common share
|
|
|
|
|
|
|
|
|
|
||||||||
Income from continuing operations
|
|
$
|
1.92
|
|
|
$
|
1.64
|
|
|
$
|
1.70
|
|
|
$
|
0.45
|
|
|
Discontinued operations, net
|
|
—
|
|
|
—
|
|
|
(0.01
|
)
|
|
(0.03
|
)
|
|
||||
Diluted earnings per common share
|
|
$
|
1.92
|
|
|
$
|
1.64
|
|
|
$
|
1.69
|
|
|
$
|
0.42
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Dividends per common share
|
|
$
|
0.54
|
|
|
$
|
0.54
|
|
|
$
|
0.54
|
|
|
$
|
0.54
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Market price per common share
|
|
|
|
|
|
|
|
|
|
||||||||
High
|
|
$
|
106.68
|
|
|
$
|
98.24
|
|
|
$
|
93.60
|
|
|
$
|
87.39
|
|
|
Low
|
|
$
|
91.85
|
|
|
$
|
76.59
|
|
|
$
|
82.25
|
|
|
$
|
72.43
|
|
|
(a)
|
Includes fourth quarter pre-tax charges of $1.7 billion.
|
2011 Quarterly Financial Data
(Unaudited)
|
Occidental Petroleum Corporation
and Subsidiaries
|
In millions, except per-share amounts
|
Three months ended
|
|
March 31
|
|
June 30
|
|
September 30
|
|
December 31
|
||||||||
Segment net sales
|
|
|
|
|
|
|
|
|
||||||||
Oil and gas
|
|
$
|
4,367
|
|
|
$
|
4,591
|
|
|
$
|
4,677
|
|
|
$
|
4,784
|
|
Chemical
|
|
1,165
|
|
|
1,325
|
|
|
1,231
|
|
|
1,094
|
|
||||
Midstream, marketing and other
|
|
412
|
|
|
441
|
|
|
256
|
|
|
338
|
|
||||
Eliminations
|
|
(218
|
)
|
|
(184
|
)
|
|
(158
|
)
|
|
(182
|
)
|
||||
Net sales
|
|
$
|
5,726
|
|
|
$
|
6,173
|
|
|
$
|
6,006
|
|
|
$
|
6,034
|
|
|
|
|
|
|
|
|
|
|
||||||||
Gross profit
|
|
$
|
3,049
|
|
|
$
|
3,291
|
|
|
$
|
2,975
|
|
|
$
|
3,050
|
|
|
|
|
|
|
|
|
|
|
||||||||
Segment earnings
|
|
|
|
|
|
|
|
|
||||||||
Oil and gas
|
|
$
|
2,468
|
|
|
$
|
2,624
|
|
|
$
|
2,612
|
|
|
$
|
2,537
|
|
Chemical
|
|
219
|
|
|
253
|
|
|
245
|
|
|
144
|
|
||||
Midstream, marketing and other
|
|
114
|
|
|
187
|
|
|
77
|
|
|
70
|
|
||||
|
|
2,801
|
|
|
3,064
|
|
|
2,934
|
|
|
2,751
|
|
||||
Unallocated corporate items
|
|
|
|
|
|
|
|
|
||||||||
Interest expense, net
|
|
(214
|
)
|
(a)
|
(22
|
)
|
|
(23
|
)
|
|
(25
|
)
|
||||
Income taxes
|
|
(1,054
|
)
|
|
(1,111
|
)
|
|
(1,087
|
)
|
|
(949
|
)
|
||||
Other
|
|
(128
|
)
|
|
(112
|
)
|
|
(49
|
)
|
|
(136
|
)
|
||||
Income from continuing operations
|
|
1,405
|
|
|
1,819
|
|
|
1,775
|
|
|
1,641
|
|
||||
Discontinued operations, net
|
|
144
|
|
|
(2
|
)
|
|
(4
|
)
|
|
(7
|
)
|
||||
Net income attributable to common stock
|
|
$
|
1,549
|
|
|
$
|
1,817
|
|
|
$
|
1,771
|
|
|
$
|
1,634
|
|
|
|
|
|
|
|
|
|
|
||||||||
Basic earnings per common share
|
|
|
|
|
|
|
|
|
||||||||
Income from continuing operations
|
|
$
|
1.72
|
|
|
$
|
2.23
|
|
|
$
|
2.18
|
|
|
$
|
2.02
|
|
Discontinued operations, net
|
|
0.18
|
|
|
—
|
|
|
(0.01
|
)
|
|
(0.01
|
)
|
||||
Basic earnings per common share
|
|
$
|
1.90
|
|
|
$
|
2.23
|
|
|
$
|
2.17
|
|
|
$
|
2.01
|
|
|
|
|
|
|
|
|
|
|
||||||||
Diluted earnings per common share
|
|
|
|
|
|
|
|
|
||||||||
Income from continuing operations
|
|
$
|
1.72
|
|
|
$
|
2.23
|
|
|
$
|
2.18
|
|
|
$
|
2.02
|
|
Discontinued operations, net
|
|
0.18
|
|
|
—
|
|
|
(0.01
|
)
|
|
(0.01
|
)
|
||||
Diluted earnings per common share
|
|
$
|
1.90
|
|
|
$
|
2.23
|
|
|
$
|
2.17
|
|
|
$
|
2.01
|
|
|
|
|
|
|
|
|
|
|
||||||||
Dividends per common share
|
|
$
|
0.46
|
|
|
$
|
0.46
|
|
|
$
|
0.46
|
|
|
$
|
0.46
|
|
|
|
|
|
|
|
|
|
|
||||||||
Market price per common share
|
|
|
|
|
|
|
|
|
||||||||
High
|
|
$
|
107.56
|
|
|
$
|
117.89
|
|
|
$
|
109.08
|
|
|
$
|
101.65
|
|
Low
|
|
$
|
93.25
|
|
|
$
|
95.67
|
|
|
$
|
69.90
|
|
|
$
|
66.36
|
|
(a)
|
Includes a pre-tax charge of $163 million related to the premium on debt extinguishment.
|
Oil Reserves
|
|
|
|
|
|
|
|
|
||||
In millions of barrels (MMbbl)
|
|
|
|
|
|
|
|
|
||||
|
|
United
|
|
Latin
|
|
Middle East/
|
|
|
||||
|
|
States
|
|
America
(a,b)
|
|
North Africa
(c)
|
|
Total
|
||||
PROVED DEVELOPED AND UNDEVELOPED RESERVES
|
|
|
|
|
|
|
|
|
||||
Balance at December 31, 2009
|
|
1,385
|
|
|
95
|
|
|
494
|
|
|
1,974
|
|
Revisions of previous estimates
|
|
—
|
|
|
2
|
|
|
(34
|
)
|
|
(32
|
)
|
Improved recovery
|
|
82
|
|
|
9
|
|
|
42
|
|
|
133
|
|
Extensions and discoveries
|
|
1
|
|
|
—
|
|
|
—
|
|
|
1
|
|
Purchases of proved reserves
|
|
72
|
|
|
—
|
|
|
30
|
|
|
102
|
|
Sales of proved reserves
(d)
|
|
—
|
|
|
(3
|
)
|
|
—
|
|
|
(3
|
)
|
Production
|
|
(80
|
)
|
|
(13
|
)
|
|
(70
|
)
|
|
(163
|
)
|
Balance at December 31, 2010
|
|
1,460
|
|
|
90
|
|
|
462
|
|
|
2,012
|
|
Revisions of previous estimates
|
|
(71
|
)
|
|
(3
|
)
|
|
(60
|
)
|
|
(134
|
)
|
Improved recovery
|
|
135
|
|
|
16
|
|
|
50
|
|
|
201
|
|
Extensions and discoveries
|
|
8
|
|
|
4
|
|
|
3
|
|
|
15
|
|
Purchases of proved reserves
|
|
78
|
|
|
—
|
|
|
—
|
|
|
78
|
|
Sales of proved reserves
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Production
|
|
(84
|
)
|
|
(11
|
)
|
|
(69
|
)
|
|
(164
|
)
|
Balance at December 31, 2011
|
|
1,526
|
|
|
96
|
|
|
386
|
|
|
2,008
|
|
Revisions of previous estimates
|
|
(70
|
)
|
|
4
|
|
|
(3
|
)
|
|
(69
|
)
|
Improved recovery
|
|
143
|
|
|
7
|
|
|
30
|
|
|
180
|
|
Extensions and discoveries
|
|
7
|
|
|
—
|
|
|
27
|
|
|
34
|
|
Purchases of proved reserves
|
|
54
|
|
|
—
|
|
|
—
|
|
|
54
|
|
Sales of proved reserves
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Production
|
|
(93
|
)
|
|
(11
|
)
|
|
(67
|
)
|
|
(171
|
)
|
Balance at December 31, 2012
|
|
1,567
|
|
|
96
|
|
|
373
|
|
|
2,036
|
|
PROVED DEVELOPED RESERVES
|
|
|
|
|
|
|
|
|
||||
December 31, 2009
|
|
1,131
|
|
|
71
|
|
|
378
|
|
|
1,580
|
|
December 31, 2010
|
|
1,126
|
|
|
69
|
|
|
366
|
|
|
1,561
|
|
December 31, 2011
|
|
1,146
|
|
|
69
|
|
|
317
|
|
|
1,532
|
|
December 31, 2012
(e)
|
|
1,156
|
|
|
82
|
|
|
295
|
|
|
1,533
|
|
PROVED UNDEVELOPED RESERVES
|
|
|
|
|
|
|
|
|
||||
December 31, 2009
|
|
254
|
|
|
24
|
|
|
116
|
|
|
394
|
|
December 31, 2010
|
|
334
|
|
|
21
|
|
|
96
|
|
|
451
|
|
December 31, 2011
|
|
380
|
|
|
27
|
|
|
69
|
|
|
476
|
|
December 31, 2012
(f)
|
|
411
|
|
|
14
|
|
|
78
|
|
|
503
|
|
(a)
|
Proved reserves as of December 31, 2009 include proved oil reserves related to the noncontrolling interest of a Colombian subsidiary. On December 31, 2010, Occidental restructured its Colombian operations to take a direct working interest in the related assets. As a result, the December 31, 2010, 2011 and 2012 proved reserves amounts exclude the noncontrolling interest.
|
(b)
|
Excludes proved oil reserves from the Argentine operations sold in February 2011 and classified as discontinued operations of 166 MMbbl and 108 MMbbl as of December 31, 2010 and 2009, respectively.
|
(c)
|
A substantial majority of the proved reserve amounts relate to PSCs and other similar economic arrangements.
|
(d)
|
Represents the change to no longer include the Colombian noncontrolling interest.
|
(e)
|
Approximately 8 percent of the proved developed reserves at December 31, 2012 are nonproducing, the majority of which are located in the United States.
|
(f)
|
The amount of Occidental's proved undeveloped reserves that are not expected to be developed within five years from the date initially recorded was insignificant.
|
NGL Reserves
|
|
|
|
|
|
|
|
|
||||
In millions of barrels (MMbbl)
|
|
|
|
|
|
|
|
|
||||
|
|
United
|
|
Latin
|
|
Middle East/
|
|
|
||||
|
|
States
|
|
America
|
|
North Africa
(a)
|
|
Total
|
||||
PROVED DEVELOPED AND UNDEVELOPED RESERVES
|
|
|
|
|
|
|
|
|
||||
Balance at December 31, 2009
|
|
221
|
|
|
—
|
|
|
68
|
|
|
289
|
|
Revisions of previous estimates
|
|
8
|
|
|
—
|
|
|
(2
|
)
|
|
6
|
|
Improved recovery
|
|
16
|
|
|
—
|
|
|
—
|
|
|
16
|
|
Extensions and discoveries
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Purchases of proved reserves
|
|
11
|
|
|
—
|
|
|
—
|
|
|
11
|
|
Sales of proved reserves
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Production
|
|
(19
|
)
|
|
—
|
|
|
(5
|
)
|
|
(24
|
)
|
Balance at December 31, 2010
|
|
237
|
|
|
—
|
|
|
61
|
|
|
298
|
|
Revisions of previous estimates
|
|
—
|
|
|
—
|
|
|
(2
|
)
|
|
(2
|
)
|
Improved recovery
|
|
10
|
|
|
—
|
|
|
—
|
|
|
10
|
|
Extensions and discoveries
|
|
1
|
|
|
—
|
|
|
—
|
|
|
1
|
|
Purchases of proved reserves
|
|
2
|
|
|
—
|
|
|
—
|
|
|
2
|
|
Sales of proved reserves
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Production
|
|
(25
|
)
|
|
—
|
|
|
(4
|
)
|
|
(29
|
)
|
Balance at December 31, 2011
|
|
225
|
|
|
—
|
|
|
55
|
|
|
280
|
|
Revisions of previous estimates
|
|
1
|
|
|
—
|
|
|
—
|
|
|
1
|
|
Improved recovery
|
|
16
|
|
|
—
|
|
|
—
|
|
|
16
|
|
Extensions and discoveries
|
|
—
|
|
|
—
|
|
|
64
|
|
|
64
|
|
Purchases of proved reserves
|
|
1
|
|
|
—
|
|
|
—
|
|
|
1
|
|
Sales of proved reserves
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Production
|
|
(27
|
)
|
|
—
|
|
|
(3
|
)
|
|
(30
|
)
|
Balance at December 31, 2012
|
|
216
|
|
|
—
|
|
|
116
|
|
|
332
|
|
PROVED DEVELOPED RESERVES
|
|
|
|
|
|
|
|
|
||||
December 31, 2009
|
|
155
|
|
|
—
|
|
|
68
|
|
|
223
|
|
December 31, 2010
|
|
163
|
|
|
—
|
|
|
61
|
|
|
224
|
|
December 31, 2011
|
|
165
|
|
|
—
|
|
|
55
|
|
|
220
|
|
December 31, 2012
(b)
|
|
167
|
|
|
—
|
|
|
53
|
|
|
220
|
|
PROVED UNDEVELOPED RESERVES
|
|
|
|
|
|
|
|
|
||||
December 31, 2009
|
|
66
|
|
|
—
|
|
|
—
|
|
|
66
|
|
December 31, 2010
|
|
74
|
|
|
—
|
|
|
—
|
|
|
74
|
|
December 31, 2011
|
|
60
|
|
|
—
|
|
|
—
|
|
|
60
|
|
December 31, 2012
(c)
|
|
49
|
|
|
—
|
|
|
63
|
|
|
112
|
|
(a)
|
A substantial portion of proved reserve amounts relate to PSCs and other similar economic arrangements.
|
(b)
|
Approximately 5 percent of the proved developed reserves at December 31, 2012 are nonproducing, the majority of which are located in the United States.
|
(c)
|
The amount of Occidental's proved undeveloped reserves that are not expected to be developed within five years from the date initially recorded was insignificant.
|
Gas Reserves
|
|
|
|
|
||||||||
In billions of cubic feet (Bcf)
|
|
|
|
|
||||||||
|
|
United
|
|
Latin
|
|
Middle East/
|
|
|
||||
|
|
States
|
|
America
(a)
|
|
North Africa
(b)
|
|
Total
|
||||
PROVED DEVELOPED AND UNDEVELOPED RESERVES
|
|
|
|
|
|
|
|
|
||||
Balance at December 31, 2009
|
|
2,799
|
|
|
53
|
|
|
2,175
|
|
|
5,027
|
|
Revisions of previous estimates
|
|
(55
|
)
|
|
(1
|
)
|
|
(60
|
)
|
|
(116
|
)
|
Improved recovery
|
|
344
|
|
|
10
|
|
|
87
|
|
|
441
|
|
Extensions and discoveries
|
|
7
|
|
|
—
|
|
|
12
|
|
|
19
|
|
Purchases of proved reserves
|
|
186
|
|
|
—
|
|
|
—
|
|
|
186
|
|
Sales of proved reserves
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Production
|
|
(247
|
)
|
|
(6
|
)
|
|
(166
|
)
|
|
(419
|
)
|
Balance at December 31, 2010
|
|
3,034
|
|
|
56
|
|
|
2,048
|
|
|
5,138
|
|
Revisions of previous estimates
|
|
(369
|
)
|
|
(19
|
)
|
|
(78
|
)
|
|
(466
|
)
|
Improved recovery
|
|
222
|
|
|
2
|
|
|
95
|
|
|
319
|
|
Extensions and discoveries
|
|
35
|
|
|
—
|
|
|
16
|
|
|
51
|
|
Purchases of proved reserves
|
|
728
|
|
|
—
|
|
|
—
|
|
|
728
|
|
Sales of proved reserves
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Production
|
|
(285
|
)
|
|
(6
|
)
|
|
(156
|
)
|
|
(447
|
)
|
Balance at December 31, 2011
|
|
3,365
|
|
|
33
|
|
|
1,925
|
|
|
5,323
|
|
Revisions of previous estimates
|
|
(748
|
)
|
|
—
|
|
|
62
|
|
|
(686
|
)
|
Improved recovery
|
|
317
|
|
|
11
|
|
|
34
|
|
|
362
|
|
Extensions and discoveries
|
|
19
|
|
|
—
|
|
|
784
|
|
|
803
|
|
Purchases of proved reserves
|
|
236
|
|
|
—
|
|
|
—
|
|
|
236
|
|
Sales of proved reserves
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Production
|
|
(300
|
)
|
|
(5
|
)
|
|
(165
|
)
|
|
(470
|
)
|
Balance at December 31, 2012
|
|
2,889
|
|
|
39
|
|
|
2,640
|
|
|
5,568
|
|
PROVED DEVELOPED RESERVES
|
|
|
|
|
|
|
|
|
||||
December 31, 2009
|
|
1,931
|
|
|
51
|
|
|
1,759
|
|
|
3,741
|
|
December 31, 2010
|
|
2,007
|
|
|
50
|
|
|
1,665
|
|
|
3,722
|
|
December 31, 2011
|
|
2,365
|
|
|
32
|
|
|
1,555
|
|
|
3,952
|
|
December 31, 2012
(c)
|
|
2,121
|
|
|
36
|
|
|
1,816
|
|
|
3,973
|
|
PROVED UNDEVELOPED RESERVES
|
|
|
|
|
|
|
|
|
||||
December 31, 2009
|
|
868
|
|
|
2
|
|
|
416
|
|
|
1,286
|
|
December 31, 2010
|
|
1,027
|
|
|
6
|
|
|
383
|
|
|
1,416
|
|
December 31, 2011
|
|
1,000
|
|
|
1
|
|
|
370
|
|
|
1,371
|
|
December 31, 2012
(d)
|
|
768
|
|
|
3
|
|
|
824
|
|
|
1,595
|
|
(a)
|
Excludes proved natural gas reserves from the Argentine operations sold in February 2011 and classified as discontinued operations of 182 Bcf and 130 Bcf as of December 31, 2010 and 2009, respectively.
|
(b)
|
A substantial majority of proved reserve amounts relate to PSCs and other similar economic arrangements.
|
(c)
|
Approximately 3 percent of the proved developed reserves at December 31, 2012 are nonproducing, the majority of which are located in the United States.
|
(d)
|
The amount of Occidental's proved undeveloped reserves that are not expected to be developed within five years from the date initially recorded was insignificant.
|
Total Reserves
|
|
|
|
|
|
|
|
|
||||
In millions of BOE (MMBOE)
(a)
|
|
|
|
|
|
|
|
|
||||
|
|
United
|
|
Latin
|
|
Middle East/
|
|
|
||||
|
|
States
|
|
America
(b,c)
|
|
North Africa
(d)
|
|
Total
|
||||
PROVED DEVELOPED AND UNDEVELOPED RESERVES
|
|
|
|
|
|
|
|
|
||||
Balance at December 31, 2009
|
|
2,072
|
|
|
104
|
|
|
924
|
|
|
3,100
|
|
Revisions of previous estimates
|
|
(1
|
)
|
|
2
|
|
|
(46
|
)
|
|
(45
|
)
|
Improved recovery
|
|
156
|
|
|
11
|
|
|
57
|
|
|
224
|
|
Extensions and discoveries
|
|
2
|
|
|
—
|
|
|
2
|
|
|
4
|
|
Purchases of proved reserves
|
|
114
|
|
|
—
|
|
|
30
|
|
|
144
|
|
Sales of proved reserves
(e)
|
|
—
|
|
|
(3
|
)
|
|
—
|
|
|
(3
|
)
|
Production
|
|
(140
|
)
|
|
(14
|
)
|
|
(103
|
)
|
|
(257
|
)
|
Balance at December 31, 2010
|
|
2,203
|
|
|
100
|
|
|
864
|
|
|
3,167
|
|
Revisions of previous estimates
|
|
(132
|
)
|
|
(7
|
)
|
|
(75
|
)
|
|
(214
|
)
|
Improved recovery
|
|
182
|
|
|
16
|
|
|
66
|
|
|
264
|
|
Extensions and discoveries
|
|
15
|
|
|
4
|
|
|
6
|
|
|
25
|
|
Purchases of proved reserves
|
|
201
|
|
|
—
|
|
|
—
|
|
|
201
|
|
Sales of proved reserves
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Production
|
|
(156
|
)
|
|
(12
|
)
|
|
(99
|
)
|
|
(267
|
)
|
Balance at December 31, 2011
|
|
2,313
|
|
|
101
|
|
|
762
|
|
|
3,176
|
|
Revisions of previous estimates
|
|
(194
|
)
|
|
4
|
|
|
7
|
|
|
(183
|
)
|
Improved recovery
|
|
212
|
|
|
9
|
|
|
36
|
|
|
257
|
|
Extensions and discoveries
|
|
10
|
|
|
—
|
|
|
222
|
|
|
232
|
|
Purchases of proved reserves
|
|
94
|
|
|
—
|
|
|
—
|
|
|
94
|
|
Sales of proved reserves
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
Production
|
|
(170
|
)
|
|
(12
|
)
|
|
(98
|
)
|
|
(280
|
)
|
Balance at December 31, 2012
|
|
2,265
|
|
|
102
|
|
|
929
|
|
|
3,296
|
|
PROVED DEVELOPED RESERVES
|
|
|
|
|
|
|
|
|
||||
December 31, 2009
|
|
1,608
|
|
|
80
|
|
|
739
|
|
|
2,427
|
|
December 31, 2010
|
|
1,624
|
|
|
78
|
|
|
705
|
|
|
2,407
|
|
December 31, 2011
|
|
1,707
|
|
|
74
|
|
|
631
|
|
|
2,412
|
|
December 31, 2012
(f)
|
|
1,677
|
|
|
88
|
|
|
651
|
|
|
2,416
|
|
PROVED UNDEVELOPED RESERVES
|
|
|
|
|
|
|
|
|
||||
December 31, 2009
|
|
464
|
|
|
24
|
|
|
185
|
|
|
673
|
|
December 31, 2010
|
|
579
|
|
|
22
|
|
|
159
|
|
|
760
|
|
December 31, 2011
|
|
606
|
|
|
27
|
|
|
131
|
|
|
764
|
|
December 31, 2012
(g)
|
|
588
|
|
|
14
|
|
|
278
|
|
|
880
|
|
(a)
|
Natural gas volumes have been converted to barrels of oil equivalent (BOE) based on energy content of six thousand cubic feet (Mcf) of gas to one barrel of oil. Barrels of oil equivalence does not necessarily result in price equivalence. The price of natural gas on a barrel of oil equivalent basis is currently substantially lower than the corresponding price for oil and has been similarly lower over the recent past. For example, in 2012, the average prices of West Texas Intermediate (WTI) oil and New York Mercantile Exchange (NYMEX) natural gas were $94.21 per barrel and $2.81 per Mcf, respectively, resulting in an oil to gas ratio of over 30.
|
(b)
|
Proved reserves as of December 31, 2009 include proved oil reserves related to the noncontrolling interest of a Colombian subsidiary.
|
(c)
|
Excludes proved reserves from the Argentine operations sold in February 2011 and classified as discontinued operations of 196 MMBOE and 130 MMBOE as of December 31, 2010 and 2009, respectively.
|
(d)
|
A substantial majority of proved reserve amounts relate to PSCs and other similar economic arrangements.
|
(e)
|
Represents the change to no longer include the Colombian noncontrolling interest.
|
(f)
|
Approximately 6 percent of the proved developed reserves at December 31, 2012 are nonproducing, the majority of which are located in the United States.
|
(g)
|
The amount of Occidental's proved undeveloped reserves that are not expected to be developed within five years from the date initially recorded was insignificant.
|
|
|
United
|
|
Latin
|
|
Middle East/
|
|
|
||||||||
In millions
|
|
States
|
|
America
|
|
North Africa
|
|
Total
|
||||||||
December 31, 2012
|
|
|
|
|
|
|
|
|
||||||||
Proved properties
|
|
$
|
42,563
|
|
|
$
|
2,142
|
|
|
$
|
15,873
|
|
|
$
|
60,578
|
|
Unproved properties
(a)
|
|
4,592
|
|
|
27
|
|
|
220
|
|
|
4,839
|
|
||||
Total capitalized costs
(b)
|
|
47,155
|
|
|
2,169
|
|
|
16,093
|
|
|
65,417
|
|
||||
Accumulated depreciation, depletion and amortization
|
|
(13,432
|
)
|
|
(1,068
|
)
|
|
(8,582
|
)
|
|
(23,082
|
)
|
||||
Net capitalized costs
|
|
$
|
33,723
|
|
|
$
|
1,101
|
|
|
$
|
7,511
|
|
|
$
|
42,335
|
|
December 31, 2011
|
|
|
|
|
|
|
|
|
||||||||
Proved properties
|
|
$
|
36,123
|
|
|
$
|
1,861
|
|
|
$
|
13,839
|
|
|
$
|
51,823
|
|
Unproved properties
(a)
|
|
4,675
|
|
|
—
|
|
|
184
|
|
|
4,859
|
|
||||
Total capitalized costs
(b)
|
|
40,798
|
|
|
1,861
|
|
|
14,023
|
|
|
56,682
|
|
||||
Accumulated depreciation, depletion and amortization
|
|
(11,063
|
)
|
|
(951
|
)
|
|
(7,178
|
)
|
|
(19,192
|
)
|
||||
Net capitalized costs
|
|
$
|
29,735
|
|
|
$
|
910
|
|
|
$
|
6,845
|
|
|
$
|
37,490
|
|
December 31, 2010
|
|
|
|
|
|
|
|
|
||||||||
Proved properties
|
|
$
|
28,516
|
|
|
$
|
1,816
|
|
|
$
|
12,231
|
|
|
$
|
42,563
|
|
Unproved properties
(a)
|
|
3,474
|
|
|
5
|
|
|
190
|
|
|
3,669
|
|
||||
Total capitalized costs
(b)
|
|
31,990
|
|
|
1,821
|
|
|
12,421
|
|
|
46,232
|
|
||||
Accumulated depreciation, depletion and amortization
|
|
(9,321
|
)
|
|
(1,050
|
)
|
|
(5,960
|
)
|
|
(16,331
|
)
|
||||
Net capitalized costs
|
|
$
|
22,669
|
|
|
$
|
771
|
|
(c)
|
$
|
6,461
|
|
|
$
|
29,901
|
|
(a)
|
The 2012, 2011 and 2010 amounts primarily consist of Midcontinent and Other, Permian and California.
|
(b)
|
Includes acquisition costs, development costs, capitalized interest and asset retirement obligations.
|
(c)
|
Excludes Argentine net capitalized costs of $2.6 billion as of December 31, 2010.
|
|
|
United
|
|
Latin
|
|
Middle East/
|
|
|
||||||||
In millions
|
|
States
|
|
America
|
|
North Africa
|
|
Total
|
||||||||
FOR THE YEAR ENDED DECEMBER 31, 2012
|
|
|
|
|
|
|
|
|
||||||||
Property acquisition costs
|
|
|
|
|
|
|
|
|
||||||||
Proved properties
|
|
$
|
1,689
|
|
|
$
|
—
|
|
|
$
|
14
|
|
|
$
|
1,703
|
|
Unproved properties
|
|
613
|
|
|
—
|
|
|
—
|
|
|
613
|
|
||||
Exploration costs
|
|
539
|
|
|
1
|
|
|
114
|
|
|
654
|
|
||||
Development costs
|
|
5,344
|
|
|
304
|
|
|
2,025
|
|
|
7,673
|
|
||||
Costs incurred
|
|
$
|
8,185
|
|
|
$
|
305
|
|
|
$
|
2,153
|
|
|
$
|
10,643
|
|
FOR THE YEAR ENDED DECEMBER 31, 2011
|
|
|
|
|
|
|
|
|
||||||||
Property acquisition costs
|
|
|
|
|
|
|
|
|
||||||||
Proved properties
|
|
$
|
3,185
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
3,185
|
|
Unproved properties
|
|
1,311
|
|
|
—
|
|
|
32
|
|
|
1,343
|
|
||||
Exploration costs
|
|
400
|
|
|
33
|
|
|
87
|
|
|
520
|
|
||||
Development costs
|
|
4,100
|
|
|
214
|
|
|
1,495
|
|
|
5,809
|
|
||||
Costs incurred
|
|
$
|
8,996
|
|
|
$
|
247
|
|
|
$
|
1,614
|
|
|
$
|
10,857
|
|
FOR THE YEAR ENDED DECEMBER 31, 2010
|
|
|
|
|
|
|
|
|
||||||||
Property acquisition costs
|
|
|
|
|
|
|
|
|
||||||||
Proved properties
|
|
$
|
2,084
|
|
|
$
|
—
|
|
|
$
|
63
|
|
|
$
|
2,147
|
|
Unproved properties
|
|
2,290
|
|
|
—
|
|
|
—
|
|
|
2,290
|
|
||||
Exploration costs
|
|
177
|
|
|
13
|
|
|
126
|
|
|
316
|
|
||||
Development costs
|
|
1,674
|
|
|
178
|
|
|
1,231
|
|
|
3,083
|
|
||||
Costs incurred
|
|
$
|
6,225
|
|
|
$
|
191
|
|
(a)
|
$
|
1,420
|
|
|
$
|
7,836
|
|
(a)
|
Includes exploration and development costs of $2 million and $5 million, respectively, in 2010 related to the noncontrolling interest in a Colombian subsidiary. Excludes Argentine costs incurred of $448 million.
|
|
|
United
|
|
Latin
|
|
Middle East/
|
|
|
||||||||
In millions
|
|
States
|
|
America
|
|
North Africa
|
|
Total
|
||||||||
FOR THE YEAR ENDED DECEMBER 31, 2012
|
|
|
|
|
|
|
|
|
||||||||
Revenues
(a)
|
|
$
|
10,379
|
|
|
$
|
1,085
|
|
|
$
|
7,486
|
|
|
$
|
18,950
|
|
Production costs
(b)
|
|
2,963
|
|
|
165
|
|
|
1,061
|
|
|
4,189
|
|
||||
Other operating expenses
|
|
723
|
|
|
43
|
|
|
224
|
|
|
990
|
|
||||
Depreciation, depletion and amortization
|
|
2,412
|
|
|
117
|
|
|
1,404
|
|
|
3,933
|
|
||||
Taxes other than on income
|
|
644
|
|
|
23
|
|
|
—
|
|
|
667
|
|
||||
Asset impairments and related items
|
|
1,731
|
|
|
—
|
|
|
—
|
|
|
1,731
|
|
||||
Exploration expenses
|
|
230
|
|
|
3
|
|
|
112
|
|
|
345
|
|
||||
Pretax income
|
|
1,676
|
|
|
734
|
|
|
4,685
|
|
|
7,095
|
|
||||
Income tax expense
(c)
|
|
508
|
|
|
252
|
|
|
2,159
|
|
|
2,919
|
|
||||
Results of operations
|
|
$
|
1,168
|
|
|
$
|
482
|
|
|
$
|
2,526
|
|
|
$
|
4,176
|
|
FOR THE YEAR ENDED DECEMBER 31, 2011
|
|
|
|
|
|
|
|
|
||||||||
Revenues
(a)
|
|
$
|
9,933
|
|
|
$
|
1,113
|
|
|
$
|
7,373
|
|
|
$
|
18,419
|
|
Production costs
(b)
|
|
2,338
|
|
|
172
|
|
|
918
|
|
|
3,428
|
|
||||
Other operating expenses
|
|
584
|
|
|
37
|
|
|
217
|
|
|
838
|
|
||||
Depreciation, depletion and amortization
|
|
1,754
|
|
|
90
|
|
|
1,220
|
|
|
3,064
|
|
||||
Taxes other than on income
|
|
567
|
|
|
23
|
|
|
—
|
|
|
590
|
|
||||
Exploration expenses
|
|
200
|
|
|
2
|
|
|
56
|
|
|
258
|
|
||||
Pretax income
|
|
4,490
|
|
|
789
|
|
|
4,962
|
|
|
10,241
|
|
||||
Income tax expense
(c)
|
|
1,419
|
|
|
270
|
|
|
2,145
|
|
|
3,834
|
|
||||
Results of operations
|
|
$
|
3,071
|
|
|
$
|
519
|
|
|
$
|
2,817
|
|
|
$
|
6,407
|
|
FOR THE YEAR ENDED DECEMBER 31, 2010
|
|
|
|
|
|
|
|
|
||||||||
Revenues
(a)
|
|
$
|
7,578
|
|
|
$
|
1,046
|
|
(d)
|
$
|
5,621
|
|
|
$
|
14,245
|
|
Production costs
(b)
|
|
1,757
|
|
|
167
|
|
(d)
|
698
|
|
|
2,622
|
|
||||
Other operating expenses
|
|
432
|
|
|
15
|
|
|
208
|
|
|
655
|
|
||||
Depreciation, depletion and amortization
|
|
1,412
|
|
|
122
|
|
|
1,134
|
|
|
2,668
|
|
||||
Taxes other than on income
|
|
454
|
|
|
18
|
|
|
—
|
|
|
472
|
|
||||
Asset impairments and related items
|
|
275
|
|
|
—
|
|
|
—
|
|
|
275
|
|
||||
Exploration expenses
|
|
158
|
|
|
7
|
|
|
97
|
|
|
262
|
|
||||
Pretax income
|
|
3,090
|
|
|
717
|
|
|
3,484
|
|
|
7,291
|
|
||||
Income tax expense
(c)
|
|
929
|
|
|
227
|
|
|
1,689
|
|
|
2,845
|
|
||||
Results of operations
|
|
$
|
2,161
|
|
|
$
|
490
|
|
(d,e)
|
$
|
1,795
|
|
|
$
|
4,446
|
|
(a)
|
Revenues are net of royalty payments.
|
(b)
|
Production costs are the costs incurred in lifting the oil and gas to the surface and include gathering, primary processing, field storage and insurance on proved properties, but do not include DD&A, royalties, income taxes, interest, general and administrative and other expenses.
|
(c)
|
United States federal income taxes reflect certain expenses related to oil and gas activities allocated for United States income tax purposes only, including allocated interest and corporate overhead.
|
(d)
|
Includes revenues of $129 million, production costs of $17 million, and results of operations of $72 million in 2010, related to the noncontrolling interest in a Colombian subsidiary.
|
(e)
|
Excludes amounts from the Argentine operations sold in February 2011 and classified as discontinued operations.
|
|
|
United
|
|
Latin
|
|
Middle East/
|
|
|
||||||||
|
|
States
|
|
America
|
|
North Africa
|
|
Total
|
||||||||
FOR THE YEAR ENDED DECEMBER 31, 2012
|
|
|
|
|
|
|
|
|
||||||||
Revenue from each barrel of oil equivalent ($/bbl.)
(a,b)
|
|
$
|
61.06
|
|
|
$
|
96.30
|
|
|
$
|
76.22
|
|
|
$
|
67.81
|
|
Production costs
|
|
17.43
|
|
|
14.64
|
|
|
10.80
|
|
|
14.99
|
|
||||
Other operating expenses
|
|
4.25
|
|
|
3.82
|
|
|
2.28
|
|
|
3.54
|
|
||||
Depreciation, depletion and amortization
|
|
14.19
|
|
|
10.38
|
|
|
14.30
|
|
|
14.07
|
|
||||
Taxes other than on income
|
|
3.79
|
|
|
2.04
|
|
|
—
|
|
|
2.39
|
|
||||
Asset impairments and related items
|
|
10.18
|
|
|
—
|
|
|
—
|
|
|
6.19
|
|
||||
Exploration expenses
|
|
1.35
|
|
|
0.27
|
|
|
1.14
|
|
|
1.23
|
|
||||
Pretax income
|
|
9.87
|
|
|
65.15
|
|
|
47.70
|
|
|
25.40
|
|
||||
Income tax expense
(c)
|
|
2.99
|
|
|
22.37
|
|
|
21.98
|
|
|
10.45
|
|
||||
Results of operations
|
|
$
|
6.88
|
|
|
$
|
42.78
|
|
|
$
|
25.72
|
|
|
$
|
14.95
|
|
FOR THE YEAR ENDED DECEMBER 31, 2011
|
|
|
|
|
|
|
|
|
||||||||
Revenue from each barrel of oil equivalent ($/bbl.)
(a,b)
|
|
$
|
63.56
|
|
|
$
|
94.19
|
|
|
$
|
74.58
|
|
|
$
|
68.99
|
|
Production costs
|
|
14.96
|
|
|
14.56
|
|
|
9.29
|
|
|
12.84
|
|
||||
Other operating expenses
|
|
3.74
|
|
|
3.13
|
|
|
2.20
|
|
|
3.14
|
|
||||
Depreciation, depletion and amortization
|
|
11.22
|
|
|
7.62
|
|
|
12.34
|
|
|
11.48
|
|
||||
Taxes other than on income
|
|
3.63
|
|
|
1.95
|
|
|
—
|
|
|
2.21
|
|
||||
Exploration expenses
|
|
1.28
|
|
|
0.17
|
|
|
0.57
|
|
|
0.97
|
|
||||
Pretax income
|
|
28.73
|
|
|
66.76
|
|
|
50.18
|
|
|
38.35
|
|
||||
Income tax expense
(c)
|
|
9.08
|
|
|
22.85
|
|
|
21.70
|
|
|
14.36
|
|
||||
Results of operations
|
|
$
|
19.65
|
|
|
$
|
43.91
|
|
|
$
|
28.48
|
|
|
$
|
23.99
|
|
FOR THE YEAR ENDED DECEMBER 31, 2010
|
|
|
|
|
|
|
|
|
||||||||
Revenue from each barrel of oil equivalent ($/bbl.)
(a,b)
|
|
$
|
54.14
|
|
|
$
|
73.31
|
|
|
$
|
54.49
|
|
|
$
|
55.35
|
|
Production costs
|
|
12.55
|
|
|
11.70
|
|
|
6.77
|
|
|
10.19
|
|
||||
Other operating expenses
|
|
3.09
|
|
|
1.05
|
|
|
2.02
|
|
|
2.55
|
|
||||
Depreciation, depletion and amortization
|
|
10.09
|
|
|
8.55
|
|
|
10.99
|
|
|
10.37
|
|
||||
Taxes other than on income
|
|
3.24
|
|
|
1.26
|
|
|
—
|
|
|
1.83
|
|
||||
Asset impairments and related items
|
|
1.96
|
|
|
—
|
|
|
—
|
|
|
1.07
|
|
||||
Exploration expenses
|
|
1.13
|
|
|
0.49
|
|
|
0.94
|
|
|
1.02
|
|
||||
Pretax income
|
|
22.08
|
|
|
50.26
|
|
|
33.77
|
|
|
28.32
|
|
||||
Income tax expense
(c)
|
|
6.64
|
|
|
15.91
|
|
|
16.37
|
|
|
11.05
|
|
||||
Results of operations
|
|
$
|
15.44
|
|
|
$
|
34.35
|
|
(d,e)
|
$
|
17.40
|
|
|
$
|
17.27
|
|
(a)
|
Natural gas volumes have been converted to BOE based on energy content of six thousand cubic feet (Mcf) of gas to one barrel of oil. Barrels of oil equivalence does not necessarily result in price equivalence. The price of natural gas on a barrel of oil equivalent basis is currently substantially lower than the corresponding price for oil and has been similarly lower over the recent past. For example, in 2012, the average prices of WTI oil and NYMEX natural gas were $94.21 per barrel and $2.81 per Mcf, respectively, resulting in an oil to gas ratio of over 30.
|
(b)
|
Revenues are net of royalty payments.
|
(c)
|
United States federal income taxes reflect certain expenses related to oil and gas activities allocated for United States income tax purposes only, including allocated interest and corporate overhead.
|
(d)
|
Includes the noncontrolling interest in a Colombian subsidiary for 2010.
|
(e)
|
Excludes amounts from the Argentine operations sold in February 2011 and classified as discontinued operations.
|
(a)
|
Includes asset retirement costs.
|
Changes in the Standardized Measure of Discounted Future
|
|
|
|
|
|
|
||||||
Net Cash Flows From Proved Reserve Quantities
|
|
|
|
|
|
|
||||||
In millions
|
|
|
|
|
|
|
||||||
For the years ended December 31,
|
|
2012
|
|
2011
|
|
2010
|
||||||
Beginning of year
|
|
$
|
42,267
|
|
|
$
|
32,737
|
|
|
$
|
23,756
|
|
Sales and transfers of oil and gas produced, net of production costs and other operating expenses
|
|
(14,818
|
)
|
|
(15,243
|
)
|
|
(11,698
|
)
|
|||
Net change in prices received per barrel, net of production costs and other operating expenses
|
|
(3,005
|
)
|
|
20,325
|
|
|
15,507
|
|
|||
Extensions, discoveries and improved recovery, net of future production and development costs
|
|
5,625
|
|
|
6,152
|
|
|
4,485
|
|
|||
Change in estimated future development costs
|
|
(7,330
|
)
|
|
(5,668
|
)
|
|
(2,747
|
)
|
|||
Revisions of quantity estimates
|
|
(2,057
|
)
|
|
(3,518
|
)
|
|
(626
|
)
|
|||
Development costs incurred during the period
|
|
7,700
|
|
|
5,797
|
|
|
3,101
|
|
|||
Accretion of discount
|
|
5,203
|
|
|
4,014
|
|
|
2,843
|
|
|||
Net change in income taxes
|
|
5,045
|
|
|
(4,776
|
)
|
|
(4,663
|
)
|
|||
Purchases and sales of reserves in place, net
|
|
1,076
|
|
|
3,220
|
|
|
1,871
|
|
|||
Changes in production rates and other
|
|
(419
|
)
|
|
(773
|
)
|
|
908
|
|
|||
Net change
|
|
(2,980
|
)
|
|
9,530
|
|
|
8,981
|
|
|||
End of year
|
|
$
|
39,287
|
|
|
$
|
42,267
|
|
|
$
|
32,737
|
|
|
|
|
|
|
|
United
|
|
Latin
|
|
Middle East/
|
|
|
||||||||
|
|
|
|
|
|
States
|
|
America
(a)
|
|
North Africa
|
|
Total
|
||||||||
2012
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Oil
|
|
—
|
|
Average sales price ($/bbl.)
|
|
$
|
93.72
|
|
|
$
|
98.35
|
|
|
$
|
108.76
|
|
|
$
|
99.87
|
|
NGLs
|
|
—
|
|
Average sales price ($/bbl.)
|
|
$
|
46.07
|
|
|
$
|
—
|
|
|
$
|
37.74
|
|
|
$
|
45.18
|
|
Gas
|
|
—
|
|
Average sales price ($/mcf.)
|
|
$
|
2.62
|
|
|
$
|
11.85
|
|
|
$
|
0.76
|
|
|
$
|
2.06
|
|
2011
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Oil
|
|
—
|
|
Average sales price ($/bbl.)
|
|
$
|
92.80
|
|
|
$
|
97.16
|
|
|
$
|
104.34
|
|
|
$
|
97.92
|
|
NGLs
|
|
—
|
|
Average sales price ($/bbl.)
|
|
$
|
59.10
|
|
|
$
|
—
|
|
|
$
|
32.09
|
|
|
$
|
55.53
|
|
Gas
|
|
—
|
|
Average sales price ($/mcf.)
|
|
$
|
4.06
|
|
|
$
|
10.11
|
|
|
$
|
0.81
|
|
|
$
|
3.01
|
|
2010
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||
Oil
|
|
—
|
|
Average sales price ($/bbl.)
|
|
$
|
73.79
|
|
|
$
|
75.29
|
|
|
$
|
76.67
|
|
|
$
|
75.16
|
|
NGLs
|
|
—
|
|
Average sales price ($/bbl.)
|
|
$
|
48.86
|
|
|
$
|
—
|
|
|
$
|
30.64
|
|
|
$
|
45.08
|
|
Gas
|
|
—
|
|
Average sales price ($/mcf.)
|
|
$
|
4.53
|
|
|
$
|
7.73
|
|
|
$
|
0.82
|
|
|
$
|
3.11
|
|
(a)
|
Excludes average sales prices from Argentine operations sold in February 2011 and classified as discontinued operations and for 2010 includes the noncontrolling interest in a Colombian subsidiary.
|
|
|
|
|
|
|
United
|
|
Latin
|
|
Middle East/
|
|
|
||||
|
|
|
|
|
|
States
|
|
America
(a)
|
|
North Africa
|
|
Total
|
||||
2012
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Oil
|
|
—
|
|
Exploratory
|
|
41.0
|
|
|
—
|
|
|
3.3
|
|
|
44.3
|
|
|
|
|
|
Development
|
|
1,183.8
|
|
|
51.8
|
|
|
264.6
|
|
|
1,500.2
|
|
Gas
|
|
—
|
|
Exploratory
|
|
3.9
|
|
|
—
|
|
|
—
|
|
|
3.9
|
|
|
|
|
|
Development
|
|
134.5
|
|
|
1.0
|
|
|
6.5
|
|
|
142.0
|
|
Dry
|
|
—
|
|
Exploratory
|
|
16.5
|
|
|
—
|
|
|
6.1
|
|
|
22.6
|
|
|
|
|
|
Development
|
|
31.5
|
|
|
0.4
|
|
|
2.4
|
|
|
34.3
|
|
2011
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Oil
|
|
—
|
|
Exploratory
|
|
17.7
|
|
|
1.8
|
|
|
2.6
|
|
|
22.1
|
|
|
|
|
|
Development
|
|
834.0
|
|
|
57.9
|
|
|
189.3
|
|
|
1,081.2
|
|
Gas
|
|
—
|
|
Exploratory
|
|
3.2
|
|
|
—
|
|
|
2.5
|
|
|
5.7
|
|
|
|
|
|
Development
|
|
143.1
|
|
|
—
|
|
|
1.1
|
|
|
144.2
|
|
Dry
|
|
—
|
|
Exploratory
|
|
13.0
|
|
|
—
|
|
|
1.4
|
|
|
14.4
|
|
|
|
|
|
Development
|
|
9.3
|
|
|
—
|
|
|
1.2
|
|
|
10.5
|
|
2010
|
|
|
|
|
|
|
|
|
|
|
|
|
||||
Oil
|
|
—
|
|
Exploratory
|
|
8.4
|
|
|
0.9
|
|
|
1.8
|
|
|
11.1
|
|
|
|
|
|
Development
|
|
406.6
|
|
|
42.3
|
|
|
121.3
|
|
|
570.2
|
|
Gas
|
|
—
|
|
Exploratory
|
|
—
|
|
|
—
|
|
|
5.0
|
|
|
5.0
|
|
|
|
|
|
Development
|
|
93.3
|
|
|
—
|
|
|
4.6
|
|
|
97.9
|
|
Dry
|
|
—
|
|
Exploratory
|
|
17.3
|
|
|
0.8
|
|
|
2.8
|
|
|
20.9
|
|
|
|
|
|
Development
|
|
10.0
|
|
|
—
|
|
|
0.4
|
|
|
10.4
|
|
(a)
|
Excludes for all years presented the exploratory and development wells completed by Argentine operations sold in February 2011 and classified as discontinued operations and for 2010 includes the noncontrolling interest in a Colombian subsidiary.
|
Wells at
December 31, 2012
(a)
|
|
United
States
|
|
Latin
America
|
|
Middle East/
North Africa
|
|
Total
|
||||||||||||||||
Oil
|
|
—
|
|
Gross
(b)
|
|
27,030
|
|
|
(1,839)
|
|
1,338
|
|
|
—
|
|
3,036
|
|
|
(670)
|
|
31,404
|
|
|
(2,509)
|
|
|
|
|
Net
(c)
|
|
22,870
|
|
|
(1,449)
|
|
665
|
|
|
—
|
|
1,607
|
|
|
(322)
|
|
25,142
|
|
|
(1,771)
|
Gas
|
|
—
|
|
Gross
(b)
|
|
6,743
|
|
|
(424)
|
|
30
|
|
|
—
|
|
131
|
|
|
(2)
|
|
6,904
|
|
|
(426)
|
|
|
|
|
Net
(c)
|
|
5,942
|
|
|
(352)
|
|
28
|
|
|
—
|
|
69
|
|
|
(2)
|
|
6,039
|
|
|
(354)
|
(a)
|
The numbers in parentheses indicate the number of wells with multiple completions.
|
(b)
|
The total number of wells in which interests are owned.
|
(c)
|
The sum of fractional interests.
|
Thousands of acres at
|
|
United
|
|
Latin
|
|
Middle East/
|
|
|
||||||||
December 31, 2012
|
|
States
(a)
|
|
America
|
|
North Africa
|
|
Total
|
||||||||
Developed
(b)
|
|
|
|
|
|
|
|
|
||||||||
|
|
—
|
|
Gross
(c)
|
|
8,373
|
|
|
121
|
|
|
1,233
|
|
|
9,727
|
|
|
|
—
|
|
Net
(d)
|
|
5,012
|
|
|
83
|
|
|
562
|
|
|
5,657
|
|
Undeveloped
(e)
|
|
|
|
|
|
|
|
|
||||||||
|
|
—
|
|
Gross
(c)
|
|
6,208
|
|
|
484
|
|
|
17,058
|
|
|
23,750
|
|
|
|
—
|
|
Net
(d)
|
|
3,042
|
|
|
363
|
|
|
15,102
|
|
|
18,507
|
|
(a)
|
Includes approximately 2.1 million acres in California, the large majority of which are net fee mineral interests.
|
(b)
|
Acres spaced or assigned to productive wells.
|
(c)
|
Total acres in which interests are held.
|
(d)
|
Sum of the fractional interests owned based on working interests, or interests under PSCs and other economic arrangements.
|
(e)
|
Acres on which wells have not been drilled or completed to a point that would permit the production of commercial quantities of oil and gas, regardless of whether the acreage contains proved reserves.
|
Production per Day
|
|
2012
|
|
2011
|
|
2010
|
|||
United States
|
|
|
|
|
|
|
|||
Oil (MBBL)
|
|
|
|
|
|
|
|||
California
|
|
88
|
|
|
80
|
|
|
76
|
|
Permian
|
|
142
|
|
|
134
|
|
|
136
|
|
Midcontinent and Other
|
|
25
|
|
|
16
|
|
|
7
|
|
TOTAL
|
|
255
|
|
|
230
|
|
|
219
|
|
NGLs (MBBL)
|
|
|
|
|
|
|
|||
California
|
|
17
|
|
|
15
|
|
|
16
|
|
Permian
|
|
39
|
|
|
38
|
|
|
29
|
|
Midcontinent and Other
|
|
17
|
|
|
16
|
|
|
7
|
|
TOTAL
|
|
73
|
|
|
69
|
|
|
52
|
|
Natural gas (MMCF)
|
|
|
|
|
|
|
|||
California
|
|
256
|
|
|
260
|
|
|
280
|
|
Permian
|
|
155
|
|
|
157
|
|
|
199
|
|
Midcontinent and Other
|
|
410
|
|
|
365
|
|
|
198
|
|
TOTAL
|
|
821
|
|
|
782
|
|
|
677
|
|
Latin America
(a)
|
|
|
|
|
|
|
|||
Oil (MBBL) - Colombia
(b)
|
|
29
|
|
|
29
|
|
|
37
|
|
Natural gas (MMCF) - Bolivia
|
|
13
|
|
|
15
|
|
|
16
|
|
Middle East/North Africa
|
|
|
|
|
|
|
|||
Oil (MBBL)
|
|
|
|
|
|
|
|||
Bahrain
|
|
4
|
|
|
4
|
|
|
3
|
|
Dolphin
|
|
8
|
|
|
9
|
|
|
11
|
|
Oman
|
|
67
|
|
|
67
|
|
|
62
|
|
Qatar
|
|
71
|
|
|
73
|
|
|
76
|
|
Other
|
|
36
|
|
|
38
|
|
|
46
|
|
TOTAL
|
|
186
|
|
|
191
|
|
|
198
|
|
NGLs (MBBL)
|
|
|
|
|
|
|
|||
Dolphin
|
|
8
|
|
|
10
|
|
|
13
|
|
Other
|
|
1
|
|
|
—
|
|
|
1
|
|
TOTAL
|
|
9
|
|
|
10
|
|
|
14
|
|
Natural gas (MMCF)
|
|
|
|
|
|
|
|||
Bahrain
|
|
232
|
|
|
173
|
|
|
169
|
|
Dolphin
|
|
163
|
|
|
199
|
|
|
236
|
|
Oman
|
|
57
|
|
|
54
|
|
|
48
|
|
TOTAL
|
|
452
|
|
|
426
|
|
|
453
|
|
Total Production (MBOE)
(a,c)
|
|
766
|
|
|
733
|
|
|
711
|
|
(See footnotes following the Sales Volumes per Day table)
|
|
|
|
|
|
|
Sales Volumes per Day
|
|
2012
|
|
2011
|
|
2010
|
|||
United States
|
|
|
|
|
|
|
|||
Oil (MBBL)
|
|
255
|
|
|
230
|
|
|
219
|
|
NGLs (MBBL)
|
|
73
|
|
|
69
|
|
|
52
|
|
Natural gas (MMCF)
|
|
819
|
|
|
782
|
|
|
677
|
|
Latin America
(a)
|
|
|
|
|
|
|
|||
Oil (MBBL) - Colombia
(b)
|
|
28
|
|
|
29
|
|
|
36
|
|
Natural gas (MMCF) - Bolivia
|
|
13
|
|
|
15
|
|
|
16
|
|
Middle East/North Africa
|
|
|
|
|
|
|
|||
Oil (MBBL)
|
|
|
|
|
|
|
|||
Bahrain
|
|
4
|
|
|
4
|
|
|
3
|
|
Dolphin
|
|
8
|
|
|
9
|
|
|
12
|
|
Oman
|
|
66
|
|
|
69
|
|
|
61
|
|
Qatar
|
|
71
|
|
|
73
|
|
|
76
|
|
Other
|
|
36
|
|
|
34
|
|
|
42
|
|
TOTAL
|
|
185
|
|
|
189
|
|
|
194
|
|
NGLs (MBBL)
|
|
|
|
|
|
|
|||
Dolphin
|
|
8
|
|
|
10
|
|
|
12
|
|
Other
|
|
1
|
|
|
—
|
|
|
1
|
|
TOTAL
|
|
9
|
|
|
10
|
|
|
13
|
|
Natural gas (MMCF)
|
|
452
|
|
|
426
|
|
|
453
|
|
Total Sales Volumes (MBOE)
(a,c)
|
|
764
|
|
|
731
|
|
|
705
|
|
(a)
|
For all periods presented, excludes volumes from the Argentine operations sold in February 2011 and classified as discontinued operations.
|
(b)
|
Includes production and sales volumes per day of 5 mbbl and 4 mbbl, respectively, for the year ended December 31, 2010, related to the noncontrolling interest in a Colombian subsidiary.
|
(c)
|
Natural gas volumes have been converted to BOE based on energy content of six Mcf of gas to one barrel of oil. Barrels of oil equivalence does not necessarily result in price equivalence The price of natural gas on a barrel of oil equivalent basis is currently substantially lower than the corresponding price for oil and has been similarly lower over the recent past. For example, in 2012, the average prices of WTI oil and NYMEX natural gas were $94.21 per barrel and $2.81 per Mcf, respectively, resulting in an oil to gas ratio of over 30.
|
Schedule II – Valuation and Qualifying Accounts
|
Occidental Petroleum Corporation
and Subsidiaries
|
In millions
|
|
|
|
|
Additions
|
|
|
|
|
|
||||||||||||
|
|
Balance at Beginning of Period
|
|
Charged to
Costs and
Expenses
|
|
Charged to
Other
Accounts
|
|
Deductions
(a)
|
|
|
Balance at
End of
Period
|
|
|||||||||
2012
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for doubtful accounts
|
|
$
|
16
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
16
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Environmental
|
|
$
|
360
|
|
|
$
|
56
|
|
|
$
|
—
|
|
|
$
|
(72
|
)
|
|
$
|
344
|
|
|
Litigation, tax and other reserves
|
|
198
|
|
|
57
|
|
|
—
|
|
|
(26
|
)
|
|
229
|
|
|
|||||
|
|
$
|
558
|
|
|
$
|
113
|
|
|
$
|
—
|
|
|
$
|
(98
|
)
|
|
$
|
573
|
|
(b)
|
2011
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for doubtful accounts
|
|
$
|
19
|
|
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(3
|
)
|
|
$
|
16
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Environmental
|
|
$
|
366
|
|
|
$
|
53
|
|
|
$
|
14
|
|
|
$
|
(73
|
)
|
|
$
|
360
|
|
|
Litigation, tax and other reserves
|
|
193
|
|
|
37
|
|
|
—
|
|
|
(32
|
)
|
|
198
|
|
|
|||||
|
|
$
|
559
|
|
|
$
|
90
|
|
|
$
|
14
|
|
|
$
|
(105
|
)
|
|
$
|
558
|
|
(b)
|
2010
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Allowance for doubtful accounts
|
|
$
|
30
|
|
|
$
|
(9
|
)
|
|
$
|
—
|
|
|
$
|
(2
|
)
|
|
$
|
19
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Environmental
|
|
$
|
403
|
|
|
$
|
26
|
|
|
$
|
3
|
|
|
$
|
(66
|
)
|
|
$
|
366
|
|
|
Litigation, tax and other reserves
|
|
226
|
|
|
20
|
|
|
6
|
|
|
(59
|
)
|
|
193
|
|
|
|||||
|
|
$
|
629
|
|
|
$
|
46
|
|
|
$
|
9
|
|
|
$
|
(125
|
)
|
|
$
|
559
|
|
(b)
|
(a)
|
Primarily represents payments.
|
(b)
|
Of these amounts, $98 million, $100 million and $102 million in 2012, 2011 and 2010, respectively, are classified as current.
|
ITEM 9.
|
CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE
|
ITEM 9A.
|
CONTROLS AND PROCEDURES
|
ITEM 9B.
|
OTHER INFORMATION
|
ITEM 10.
|
DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE
|
ITEM 11.
|
EXECUTIVE COMPENSATION
|
ITEM 12.
|
SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT
|
ITEM 13.
|
CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS AND DIRECTOR INDEPENDENCE
|
ITEM 14.
|
PRINCIPAL ACCOUNTANT FEES AND SERVICES
|
ITEM 15.
|
EXHIBITS AND FINANCIAL STATEMENT SCHEDULES
|
•
|
should not be treated as categorical statements of fact, but rather as a way of allocating the risk among the parties if those statements prove to be inaccurate;
|
•
|
have been qualified by disclosures that were made to the other party in connection with the negotiation of the applicable agreement, which disclosures are not necessarily reflected in the agreement;
|
•
|
may apply standards of materiality in a way that is different from the way investors may view materiality; and
|
•
|
were made only as of the date of the applicable agreement or such other date or dates as may be specified in the agreement and are subject to more recent developments.
|
10.4
|
Amendment to Employment Agreement, dated February 25, 2013, between Occidental and Donald P. de Brier.
|
10.5*
|
Agreement with Chief Financial Officer (filed as Exhibit 10.7 to the Quarterly Report on Form 10-Q of Occidental for the fiscal quarter ended June 30, 2012, File No. 1-9210).
|
10.6
|
Retention Payment and Separation Benefits Attachment.
|
10.7*
|
Form of Indemnification Agreement between Occidental and each of its directors and certain executive officers (filed as Exhibit B to the Proxy Statement of Occidental for its May 21, 1987, Annual Meeting of Stockholders, File No. 1-9210).
|
10.8*
|
Occidental Petroleum Corporation Split Dollar Life Insurance Program and Related Documents (filed as Exhibit 10.2 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended September 30, 1994, File No. 1-9210).
|
10.9*
|
Split Dollar Life Insurance Agreement, dated January 24, 2002, by and between Occidental and Donald P. de Brier (filed as Exhibit 10.1 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended March 31, 2002, File No. 1-9210).
|
10.10*
|
Occidental Petroleum Insured Medical Plan, as amended and restated effective April 29, 1994, amending and restating the Occidental Petroleum Corporation Executive Medical Plan (as amended and restated effective April 1, 1993) (filed as Exhibit 10 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ending March 31, 1994, File No. 1-9210).
|
10.11*
|
Form of Occidental Petroleum Corporation Modified Deferred Compensation Plan (Effective December 31, 2006, Amended and Restated Effective November 1, 2008) (filed as Exhibit 10.4 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended September 30, 2008, File No. 1-9210).
|
10.12*
|
Form of Occidental Petroleum Corporation Amendment to Senior Executive Supplemental Life Insurance Plan (Effective as of January 1, 1986, Amended and Restated Effective as of January 1, 1996) (filed as Exhibit 10.5 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended September 30, 2008, File No. 1-9210).
|
10.13*
|
Form of Occidental Petroleum Corporation Amendment to Senior Executive Survivor Benefit Plan (Effective as of January 1, 1986, Amended and Restated Effective as of January 1, 1996) (filed as Exhibit 10.6 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended September 30, 2008, File No. 1-9210).
|
10.14*
|
Form of Occidental Petroleum Corporation Supplemental Retirement Plan II (Effective as of January 1, 2005, Amended and Restated as of November 1, 2008) (filed as Exhibit 10.7 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended September 30, 2008, File No. 1-9210).
|
10.15*
|
Amendment Number 1 to the Occidental Petroleum Corporation Supplemental Retirement Plan II (Effective As Of January 1, 2005, Amended And Restated As Of November 1, 2008) (filed as Exhibit 10.16 to the Annual Report on Form 10-K of Occidental for the fiscal year ended December 31, 2009, File No. 1-9210).
|
10.16*
|
Amendment Number 2 to the Occidental Petroleum Corporation Supplemental Retirement Plan II (Effective As Of January 1, 2005, Amended And Restated As Of November 1, 2008) (filed as Exhibit 10.17 to the Annual Report on Form 10-K of Occidental for the fiscal year ended December 31, 2009, File No. 1-9210).
|
10.17*
|
Amendment Number 3 to the Occidental Petroleum Corporation Supplemental Retirement Plan II (Effective As Of January 1, 2005, Amended and Restated as of November 1, 2008) (filed as Exhibit 10.18 to the Annual Report on Form 10-K of Occidental for the fiscal year ended December 31, 2011, File No. 1-9210).
|
10.18*
|
Amendment Number 4 to the Occidental Petroleum Corporation Supplemental Retirement Plan II (Effective As Of January 1, 2005, Amended and Restated as of November 1, 2008) (filed as Exhibit 10.19 to the Annual Report on Form 10-K of Occidental for the fiscal year ended December 31, 2011, File No. 1-9210).
|
10.19
|
Amendment Number 5 to the Occidental Petroleum Corporation Supplemental Retirement Plan II (Effective as of January 1, 2005, Amended and Restated as of November 1, 2008).
|
10.20*
|
Occidental Petroleum Corporation 2001 Incentive Compensation Plan (as amended through September 12, 2002) (filed as Exhibit 10.2 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended September 30, 2002, File No. 1-9210).
|
10.21*
|
Form of Incentive Stock Option Agreement under Occidental Petroleum Corporation 2001 Incentive Compensation Plan (July 2002 version) (filed as Exhibit 10.4 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended September 30, 2002, File No. 1-9210).
|
10.22*
|
Form of Nonqualified Stock Option Agreement under Occidental Petroleum Corporation 2001 Incentive Compensation Plan (July 2002 version) (filed as Exhibit 10.5 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended September 30, 2002, File No. 1-9210).
|
10.23*
|
Terms and Conditions for Incentive Stock Option Award under Occidental Petroleum Corporation 2001 Incentive Compensation Plan (July 2003 version) (filed as Exhibit 10.3 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended June 30, 2003, File No. 1-9210).
|
10.24*
|
Terms and Conditions for Nonqualified Stock Option Award under Occidental Petroleum Corporation 2001 Incentive Compensation Plan (July 2003 version) (filed as Exhibit 10.4 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended June 30, 2003, File No. 1-9210).
|
10.25*
|
Terms and Conditions of Stock Appreciation Rights Award under Occidental Petroleum Corporation 2001 Incentive Compensation Plan (filed as Exhibit 10.3 to the Quarterly Report on Form 10-Q of Occidental for the fiscal quarter ended June 30, 2004, File No. 1-9210).
|
10.26*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan, as amended through October 13, 2010 (filed as Exhibit 10.1 to the Current Report on Form 8-K of Occidental dated October 13, 2010 (date of earliest event reported), filed October 14, 2010, File No. 1-9210).
|
10.27*
|
Terms and Conditions of Stock Appreciation Rights Award under Occidental Petroleum Corporation 2005 Long-Term Incentive Plan (filed as Exhibit 10.12 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended June 30, 2005, File No. 1-9210).
|
10.28*
|
Agreement to Amend Outstanding Option Awards, dated October 26, 2005 (filed as Exhibit 10.2 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended September 30, 2005, File No. 1-9210).
|
10.29*
|
Terms and Conditions of Stock Appreciation Rights (SARs) under Occidental Petroleum Corporation 2005 Long-Term Incentive Plan (July 2006 version) (filed as Exhibit 10.4 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended June 30, 2006, File No. 1-9210).
|
10.30*
|
Form of Occidental Petroleum Corporation 2005 Deferred Stock Program (Restatement Effective as of November 1, 2008) (filed as Exhibit 10.8 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended September 30, 2008, File No. 1-9210).
|
10.31*
|
Occidental Petroleum Corporation Executive Incentive Compensation Plan (filed as Exhibit 10.69 to the Annual Report on Form 10-K of Occidental for the fiscal year ended December 31, 2005, File No. 1-9210).
|
10.32*
|
Description of financial counseling program (filed as Exhibit 10.50 to the Annual Report on Form 10-K of Occidental for the fiscal year ended December 31, 2003, File No. 1-9210).
|
10.33*
|
Description of group excess liability insurance program (filed as Exhibit 10.51 to the Annual Report on Form 10-K of Occidental for the fiscal year ended December 31, 2003, File No. 1-9210).
|
10.34*
|
Executive Stock Ownership Guidelines (filed as Exhibit 10.1 to the Quarterly Report on Form 10-Q of Occidental for the quarterly period ended March 31, 2005, File No. 1-9210).
|
10.35*
|
Form of Restricted Stock Award for Non-Employee Directors under Occidental Petroleum Corporation 2005 Long-Term Incentive Plan (filed as Exhibit 10.1 to the Current Report on Form 8-K of Occidental dated February 16, 2006 (date of earliest event reported), filed February 22, 2006, File No. 1-9210).
|
10.36*
|
Amendment to Form of Restricted Stock Award for Non-Employee Directors under Occidental Petroleum Corporation 2005 Long-Term Incentive Plan (filed as Exhibit 10.3 to the Quarterly Report on Form 10-Q of Occidental for the fiscal quarter ended September 30, 2007, File No. 1-9210).
|
10.37*
|
Form of Restricted Stock Award for Non-Employee Directors under Occidental Petroleum Corporation 2005 Long-Term Incentive Plan (2007 version) (filed as Exhibit 10.4 to the Quarterly Report on Form 10-Q of Occidental for the fiscal quarter ended September 30, 2007, File No. 1-9210).
|
10.38*
|
Director Retainer and Attendance Fees (filed as Exhibit 10.2 to the Current Report on Form 8-K of Occidental dated February 16, 2006 (date of earliest event reported), filed February 22, 2006, File No. 1-9210).
|
10.39*
|
Description of Automatic Grant of Directors’ Restricted Stock Awards Pursuant to the Terms of the Occidental Petroleum Corporation 2005 Long-Term Incentive Plan (filed as Exhibit 10.2 to the Quarterly Report on Form 10-Q of Occidental dated for the fiscal quarter ended June 30, 2010, File No. 1-9210).
|
10.40*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Occidental Oil And Gas Corporation Return On Assets Incentive Award Agreement (Cash-Based, Cash-Settled Award) (filed as Exhibit 10.5 to the Quarterly Report on Form 10-Q of Occidental for the fiscal quarter ended June 30, 2007, File No. 1-9210).
|
10.41*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Occidental Chemical Corporation Return On Assets Incentive Award Agreement (Cash-Based, Cash-Settled Award) (filed as Exhibit 10.6 to the Quarterly Report on Form 10-Q of Occidental for the fiscal quarter ended June 30, 2007, File No. 1-9210).
|
10.42*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Total Shareholder Return Incentive Award Agreement (Equity-based, Equity and Cash-settled Award) (filed as Exhibit 10.2 to the Current Report On Form 8-K of Occidental dated July 16, 2008 (date of earliest event reported), File No. 1-9210).
|
10.43*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Occidental Oil and Gas Corporation Return on Assets Incentive Award Agreement (Cash-based, Cash-settled Award) (filed as Exhibit 10.5 to the Quarterly Report on Form 10-Q of Occidental for the fiscal quarter ended June 30, 2008, File No. 1-9210).
|
10.44*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Occidental Chemical Corporation Return on Assets Incentive Award Agreement (Cash-based, Cash-settled Award) (filed as Exhibit 10.6 to the Quarterly Report on Form 10-Q of Occidental for the fiscal quarter ended June 30, 2008, File No. 1-9210).
|
10.45*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Return on Equity Incentive Award Agreement (Cash-based, Cash-settled Award) (filed as Exhibit 10.1 to the Current Report on Form 8-K of Occidental dated July 15, 2009 (Date of Earliest Event Reported), File No. 1-9210).
|
10.46*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Total Shareholder Return Incentive Award Agreement (Equity-based, Equity and Cash-settled Award) (filed as Exhibit 10.2 to the Current Report on Form 8-K of Occidental dated July 15, 2009 (Date of Earliest Event Reported), File No. 1-9210).
|
10.47*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Occidental Chemical Corporation Return on Assets Incentive Award Agreement (Cash-based, Cash-settled Award) (filed as Exhibit 10.3 to the Quarterly Report on Form 10-Q of Occidental for the fiscal quarter ended June 30, 2009, File No. 1-9210).
|
10.48*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Occidental Oil and Gas Corporation Return on Assets Incentive Award Agreement (Cash-based, Cash-settled Award) (filed as Exhibit 10.4 to the Quarterly Report on Form 10-Q of Occidental for the fiscal quarter ended June 30, 2009, File No. 1-9210).
|
10.49*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Long-Term Incentive Award Terms and Conditions (Equity-based, Cash-settled Award) (filed as Exhibit 10.5 to the Quarterly Report on Form 10-Q of Occidental for the fiscal quarter ended June 30, 2009, File No. 1-9210).
|
10.50*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Long-Term Incentive Award Terms and Conditions (Equity-based, Cash-settled Award) (alternate – CV) (filed as Exhibit 10.6 to the Quarterly Report on Form 10-Q of Occidental for the fiscal quarter ended June 30, 2009, File No. 1-9210).
|
10.51*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Restricted Stock Incentive Award Terms and Conditions (filed as Exhibit 10.2 to the Current Report on Form 8-K of Occidental dated October 13, 2010 (date of earliest event reported), filed October 14, 2010, File No. 1-9210).
|
10.52*
|
Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Total Shareholder Return Incentive Award Terms and Conditions (Equity-based, Equity and Cash-settled Award) (filed as Exhibit 10.3 to the Current Report on Form 8-K of Occidental dated October 13, 2010 (date of earliest event reported), filed October 14, 2010, File No. 1-9210).
|
10.53*
|
Form of Amendment to 2008 Return On Equity Incentive Award Grant Agreement (filed as Exhibit 10.1 to the Current Report on Form 8-K of Occidental dated July 13, 2011 (date of earliest event reported), filed July 18, 2011, File No. 1-9210).
|
10.54*
|
Form of Occidental Petroleum Corporation 2005 Long-Term Incentive Plan Total Shareholder Return Incentive Award Terms and Conditions (Equity-based, Equity and Cash-settled Award) (filed as Exhibit 10.2 to the Current Report on Form 8-K of Occidental dated July 13, 2011 (date of earliest event reported), filed July 18, 2011, File No. 1-9210).
|
|
OCCIDENTAL PETROLEUM CORPORATION
|
|
|
|
|
February 26, 2013
|
By:
|
/s/ Stephen I. Chazen
|
|
|
Stephen I. Chazen
|
|
|
President
|
|
|
and Chief Executive Officer
|
|
|
|
Title
|
Date
|
|
|
|
|
|
|
/s/Stephen I. Chazen
|
|
President,
|
February 26, 2013
|
|
Stephen I. Chazen
|
|
Chief Executive Officer and Director
|
|
|
|
|
|
|
|
/s/ Cynthia L. Walker
|
|
Executive Vice President and
|
February 26, 2013
|
|
Cynthia L. Walker
|
|
Chief Financial Officer
|
|
|
|
|
|
|
|
/s/ Roy Pineci
|
|
Vice President, Controller and
|
February 26, 2013
|
|
Roy Pineci
|
|
Principal Accounting Officer
|
|
|
|
|
|
|
|
/s/ Spencer Abraham
|
|
Director
|
February 26, 2013
|
|
Spencer Abraham
|
|
||
|
|
|
|
|
|
/s/ Howard I. Atkins
|
|
Director
|
February 26, 2013
|
|
Howard I. Atkins
|
|
||
|
|
|
|
|
|
/s/ Edward P. Djerejian
|
|
Director
|
February 26, 2013
|
|
Edward P. Djerejian
|
|
||
|
|
|
|
|
|
/s/ John E. Feick
|
|
Director
|
February 26, 2013
|
|
John E. Feick
|
|
||
|
|
|
|
|
|
/s/ Margaret M. Foran
|
|
Director
|
February 26, 2013
|
|
Margaret M. Foran
|
|
||
|
|
|
|
|
|
/s/ Carlos M. Gutierrez
|
|
Director
|
February 26, 2013
|
|
Carlos M. Gutierrez
|
|
||
|
|
|
|
|
|
/s/ Ray R. Irani
|
|
Executive Chairman
|
February 26, 2013
|
|
Dr. Ray R. Irani
|
|
of the Board of Directors
|
|
|
|
Title
|
Date
|
|
|
|
|
|
|
/s/Avedick B. Poladian
|
|
Director
|
February 26, 2013
|
|
Avedick B. Poladian
|
|
||
|
|
|
|
|
|
/s/ Aziz D. Syriani
|
|
Director
|
February 26, 2013
|
|
Aziz D. Syriani
|
|
||
|
|
|
|
|
|
/s/ Rosemary Tomich
|
|
Director
|
February 26, 2013
|
|
Rosemary Tomich
|
|
10.4
|
Amendment to Employment Agreement, dated February 25, 2013, between Occidental and Donald P. de Brier.
|
|
|
10.6
|
Retention Payment and Separation Benefits Attachment.
|
|
|
10.19
|
Amendment Number 5 to the Occidental Petroleum Corporation Supplemental Retirement Plan II (Effective as of January 1, 2005, Amended and Restated as of November 1, 2008).
|
|
|
12
|
Statement regarding computation of total enterprise ratios of earnings to fixed charges for each of the five years in the period ended December 31, 2012
.
|
|
|
21
|
List of subsidiaries of Occidental at December 31, 2012
.
|
|
|
23.1
|
Consent of Independent Registered Public Accounting Firm.
|
|
|
23.2
|
Consent of Independent Petroleum Engineers.
|
|
|
31.1
|
Certification of CEO Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
|
|
|
31.2
|
Certification of CFO Pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.
|
|
|
32.1
|
Certifications of CEO and CFO Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.
|
|
|
99.1
|
Ryder Scott Company Process Review of the Estimated Future Reserves and Income Attributable to Certain Fee, Leasehold and Royalty Interests and Certain Economic Interests Derived Through Certain Production Sharing Contracts as of December 31, 2012
.
|
|
|
101.INS
|
XBRL Instance Document.
|
|
|
101.SCH
|
XBRL Taxonomy Extension Schema Document.
|
|
|
101.CAL
|
XBRL Taxonomy Extension Calculation Linkbase Document.
|
|
|
101.LAB
|
XBRL Taxonomy Extension Label Linkbase Document.
|
|
|
101.PRE
|
XBRL Taxonomy Extension Presentation Linkbase Document.
|
|
|
101.DEF
|
XBRL Taxonomy Extension Definition Linkbase Document.
|
|
/s/ DONALD P. DE BRIER
|
|
|
|
Donald P. de Brier
|
|
|
|
|
|
|
|
OCCIDENTAL PETROLEUM CORPORATION
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
By:
|
/s/ MARTIN A. COZYN
|
|
|
|
Martin A. Cozyn,
Executive Vice President - Human Resources
|
a.
|
Retention Payment
. Oxy will pay you an amount equal to 2 times your then yearly base salary in one lump sum cash payment at the date that is one year after the new CEO commences employment.
|
b.
|
Separation Benefits.
If, prior to December 31, 2014, Oxy terminates you without cause, then, subject to your timely execution of waivers and releases of the type required by Oxy's Notice and Severance Pay Plan, you will receive in addition to your Retention Payment, at your separation date or the time otherwise provided below:
|
1.
|
Separation pay at your then current base salary for 24 months;
|
2.
|
Your target annual bonus amount for the year of separation; and
|
3.
|
The same medical and other benefits (other than Notice and Severance Pay) as are received by employees terminated pursuant to Oxy's Notice and Severance Pay Plan.
|
c.
|
Other Benefits.
The foregoing is not intended to be a comprehensive listing of the benefits to which you may be entitled at the time of your separation, including your rights under any outstanding incentive awards. In addition, the Executive Compensation and Human Resources Committee may, in its sole discretion, decide to provide additional separation
benefits
.
|
(x)
|
“
Secondary Threshold Amount
” means the amount determined by the Company and communicated to Employees in advance of the Plan Year as the level of annualized Base Pay of Record plus Annual Bonus awarded in the Plan Year, less any portion of such Annual Bonus deferred under the Deferred Compensation Plan, each determined as of May 1 of the Plan Year, at which the sum of all contributions made by and on behalf of an Employee under the Savings Plan and Retirement Plan would exceed the dollar limit in effect for the Plan Year under Code section 415(c)(1)(A), based on (1) the maximum contribution rates for the most highly compensated employees and maximum employer matching contribution rates under the Savings Plan and (2) the employer contribution rates for Employees who have attained age 35 as of the last day of the Plan Year under the Retirement Plan.
|
(bb)
|
“Threshold Amount”
means the amount determined by the Company and communicated to Employees in advance of the Plan Year as the level of annualized Base Pay of Record at which the sum of all contributions made by and on behalf of an Employee under the Savings Plan and Retirement Plan would exceed the dollar limit in effect for the Plan Year under Code section 415(c)(1)(A), based on (1) an assumed level of Annual Bonus for a particular level of Base Pay of Record determined by the Company in advance of the Plan Year, (2) the maximum contribution rates for the most highly compensated employees and maximum employer matching contribution rates under the Savings Plan, and (3) the employer contribution rate for Employees who have attained age 35 as of the last day of the Plan Year under the Retirement Plan.
|
(a)
|
The first day on which the Employee's annualized Base Pay of Record exceeds the Threshold Amount or, with respect to an Employee whose annualized Base Pay of Record does not exceed the Threshold Amount, May 1st of a Plan Year if the sum of the Employee's annualized Base Pay of Record as of May 1 of the Plan Year and Annual Bonus awarded during the Plan Year, less any portion of such Annual Bonus deferred under the Deferred Compensation Plan, exceeds the Secondary Threshold Amount.
|
(A)
|
Who is eligible to participate in the Savings Plan and the Retirement Plan for the Plan Year, and
|
(B)
|
The sum of whose annualized Base Pay of Record as of May 1 of the Plan Year and Annual Bonus awarded during the Plan Year, less any portion of such Annual Bonus deferred under the Deferred Compensation Plan, exceeds the Secondary Threshold Amount applicable to the Employee for the Plan Year.
|
EXHIBIT 12
|
|
|
|
|
|
OCCIDENTAL PETROLEUM CORPORATION AND SUBSIDIARIES
|
|
COMPUTATION OF TOTAL ENTERPRISE RATIOS OF EARNINGS TO FIXED CHARGES
|
|
(Amounts in millions, except ratios)
|
|
For the years ended December 31,
|
|
2012
|
|
2011
|
|
2010
|
|
2009
|
|
2008
|
||||||||||
Income from continuing operations
|
|
$
|
4,635
|
|
(a)
|
$
|
6,640
|
|
|
$
|
4,641
|
|
|
$
|
3,202
|
|
|
$
|
7,299
|
|
Subtract:
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
Net income attributable to noncontrolling interest
|
|
—
|
|
|
—
|
|
|
(72
|
)
|
|
(51
|
)
|
|
(116
|
)
|
|||||
Adjusted income from equity investments
(b)
|
|
163
|
|
|
(33
|
)
|
|
(60
|
)
|
|
(88
|
)
|
|
(84
|
)
|
|||||
|
|
4,798
|
|
|
6,607
|
|
|
4,509
|
|
|
3,063
|
|
|
7,099
|
|
|||||
Add:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Provision for taxes on income (other than foreign oil and gas taxes)
|
|
708
|
|
|
1,795
|
|
|
1,099
|
|
|
695
|
|
|
2,213
|
|
|||||
Interest and debt expense
|
|
130
|
|
|
135
|
|
(c)
|
116
|
|
|
140
|
|
|
133
|
|
|||||
Portion of lease rentals representative of the interest factor
|
|
59
|
|
|
60
|
|
|
57
|
|
|
57
|
|
|
58
|
|
|||||
|
|
897
|
|
|
1,990
|
|
|
1,272
|
|
|
892
|
|
|
2,404
|
|
|||||
Earnings before fixed charges
|
|
$
|
5,695
|
|
|
$
|
8,597
|
|
|
$
|
5,781
|
|
|
$
|
3,955
|
|
|
$
|
9,503
|
|
Fixed charges:
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Interest and debt expense including capitalized interest
|
|
$
|
254
|
|
|
$
|
221
|
|
(c)
|
$
|
203
|
|
|
$
|
218
|
|
|
$
|
201
|
|
Portion of lease rentals representative of the interest factor
|
|
59
|
|
|
60
|
|
|
57
|
|
|
57
|
|
|
58
|
|
|||||
Total fixed charges
|
|
$
|
313
|
|
|
$
|
281
|
|
|
$
|
260
|
|
|
$
|
275
|
|
|
$
|
259
|
|
Ratio of earnings to fixed charges
|
|
18.19
|
|
|
30.59
|
|
|
22.23
|
|
|
14.38
|
|
|
36.69
|
|
(a)
|
Includes after-tax charges of $1.1 billion for the impairment of domestic gas assets and related items.
|
(b)
|
Represent adjustments to arrive at distributed income of equity investees.
|
(c)
|
Excludes a pre-tax charge of $163 million for the early redemption of debt.
|
Name
|
|
Jurisdiction of Formation
|
|
Armand Products Company
|
Delaware
|
||
Bravo Pipeline Company
|
Delaware
|
||
BridgeTex Pipeline Company, LLC
|
Delaware
|
||
Carbocloro S.A. Industrias Quimicas
|
Brazil
|
||
Centurion Pipeline GP, Inc.
|
Delaware
|
||
Centurion Pipeline L.P.
|
Delaware
|
||
Centurion Pipeline LP, Inc.
|
Delaware
|
||
D.S. Ventures, Inc.
|
Texas
|
||
DMM Financial LLC
|
Delaware
|
||
EHPP Holdings Inc.
|
Delaware
|
||
Elk Hills Power, LLC
|
Delaware
|
||
Glenn Springs Holdings, Inc.
|
Delaware
|
||
ICC Resin Technology, Inc.
|
Delaware
|
||
INDSPEC Chemical Corporation
|
Delaware
|
||
INDSPEC Holding Corporation
|
Delaware
|
||
Ingleside Cogeneration GP 2, Inc.
|
Delaware
|
||
Ingleside Cogeneration GP, Inc.
|
Delaware
|
||
Ingleside Cogeneration Limited Partnership
|
Delaware
|
||
Joslyn Partnership
|
Alberta, Canada
|
||
Laguna Petroleum Corporation
|
Texas
|
||
Lomita Gasoline Company, Inc.
|
California
|
||
Marico Exploration, Inc.
|
New Mexico
|
||
MC2 Technologies Inc.
|
Delaware
|
||
Miller Springs Remediation Management, Inc.
|
Delaware
|
||
Moncrief Minerals Partnership, L.P.
|
Texas
|
||
Monument Production, Inc.
|
California
|
||
MTD Pipeline LLC
|
Delaware
|
||
Natural Gas Odorizing, Inc.
|
Oklahoma
|
||
NGL Ventures LLC
|
Delaware
|
||
Occidental Al Hosn, LLC
|
Delaware
|
||
Occidental (Bermuda) Ltd.
|
Bermuda
|
||
Occidental (East Shabwa), LLC
|
Nevis
|
||
Occidental Andina, LLC
|
Delaware
|
||
Occidental Canada Holdings Ltd.
|
Nova Scotia
|
||
Occidental Chemical Chile Limitada
|
Chile
|
||
Occidental Chemical Corporation
|
New York
|
||
Occidental Chemical de Mexico, S.A. de C.V.
|
Mexico
|
||
Occidental Chemical Holding Corporation
|
California
|
||
Occidental Chemical International, Inc.
|
California
|
||
Occidental Chemical Nevis, Inc.
|
Nevis
|
||
Occidental Chile Investments, LLC
|
Delaware
|
||
Occidental Chile Minority Holder, LLC
|
Delaware
|
Name
|
|
Jurisdiction of Formation
|
|
Occidental Colombia (Series G) Ltd.
|
Bermuda
|
||
Occidental Colombia (Series J) Ltd.
|
Bermuda
|
||
Occidental Crude Sales, Inc. (International)
|
Delaware
|
||
Occidental Crude Sales, LLC (South America)
|
Delaware
|
||
Occidental de Colombia, LLC
|
Delaware
|
||
Occidental del Ecuador, Inc.
|
Nevis
|
||
Occidental Dolphin Holdings Ltd.
|
Bermuda
|
||
Occidental Energy Marketing, Inc.
|
Delaware
|
||
Occidental Energy Transportation LLC
|
Delaware
|
||
Occidental Energy Ventures Corp.
|
Delaware
|
||
Occidental Exploration and Production Company
|
California
|
||
Occidental International (Libya), Inc.
|
Delaware
|
||
Occidental International Exploration and Production Company
|
California
|
||
Occidental International Holdings Ltd.
|
Bermuda
|
||
Occidental International Oil and Gas Ltd.
|
Bermuda
|
||
Occidental International Services, Inc.
|
Delaware
|
||
Occidental Joslyn GP 1 Co.
|
Nova Scotia
|
||
Occidental Joslyn GP 2 Co.
|
Nova Scotia
|
||
Occidental Karawan Holding Ltd.
|
Bermuda
|
||
Occidental Karawan, LLC
|
Delaware
|
||
Occidental Latin America Holdings, Inc.
|
Delaware
|
||
Occidental Libya Oil & Gas B.V.
|
The Netherlands
|
||
Occidental Middle East Development Company
|
Delaware
|
||
Occidental Midstream Projects Ltd.
|
Bermuda
|
||
Occidental Mukhaizna, LLC
|
Delaware
|
||
Occidental of Abu Dhabi (Bab) Ltd.
|
Bermuda
|
||
Occidental of Abu Dhabi Ltd.
|
Bermuda
|
||
Occidental of Abu Dhabi, LLC
|
Delaware
|
||
Occidental of Abu Dhabi (Shah) Ltd.
|
Bermuda
|
||
Occidental of Bahrain (Block 1) Ltd.
|
Bermuda
|
||
Occidental of Bahrain (Block 3) Ltd.
|
Bermuda
|
||
Occidental of Bahrain (Block 4) Ltd.
|
Bermuda
|
||
Occidental of Bahrain (JOC Holding) LLC
|
Delaware
|
||
Occidental of Bahrain (Offshore), LLC
|
Delaware
|
||
Occidental of Bahrain Deep Gas, LLC
|
Delaware
|
||
Occidental of Bahrain Ltd.
|
Bermuda
|
||
Occidental of Bahrain Onshore Deep Gas, Ltd.
|
Bermuda
|
||
Occidental of Dubai, Inc.
|
Nevis
|
||
Occidental of Elk Hills, Inc.
|
Delaware
|
||
Occidental of Iraq Holdings Ltd.
|
Bermuda
|
||
Occidental of Iraq, LLC
|
Delaware
|
||
Occidental of Oman, Inc.
|
Nevis
|
||
Occidental of Yemen (Block 75), LLC
|
Delaware
|
||
Occidental of Yemen (Block S-1), Inc.
|
Cayman Islands
|
||
Occidental of Yemen Holdings (Block 75) Ltd.
|
Bermuda
|
||
Occidental Oil and Gas Corporation
|
Texas
|
||
Occidental Oil and Gas Holding Corporation
|
California
|
||
Occidental Oil and Gas International, LLC
|
Delaware
|
Name
|
|
Jurisdiction of Formation
|
|
Occidental Oil and Gas (Oman) Ltd.
|
Nevis
|
||
Occidental Oil Asia Pte. Ltd.
|
Singapore
|
||
Occidental Oman Gas Company LLC
|
Delaware
|
||
Occidental Oman Gas Holdings Ltd.
|
Bermuda
|
||
Occidental OOOI Holder, Inc.
|
Delaware
|
||
Occidental Overseas Holdings BV
|
The Netherlands
|
||
Occidental Overseas Operations, Inc.
|
Delaware
|
||
Occidental Peninsula II, Inc.
|
Nevis
|
||
Occidental Peninsula, LLC
|
Delaware
|
||
Occidental Permian Ltd.
|
Texas
|
||
Occidental Permian Manager LLC
|
Delaware
|
||
Occidental Permian Services, Inc.
|
Delaware
|
||
Occidental Petroleum Investment Co.
|
California
|
||
Occidental Petroleum of Oman Ltd.
|
Nevis
|
||
Occidental Petroleum of Qatar Ltd.
|
Bermuda
|
||
Occidental Power Marketing, L.P.
|
Delaware
|
||
Occidental Power Services, Inc.
|
Delaware
|
||
Occidental PVC, LLC
|
Delaware
|
||
Occidental Qatar Energy Company LLC
|
Delaware
|
||
Occidental Quimica do Brasil Ltda.
|
Brazil
|
||
Occidental Resources Company
|
Cayman Islands
|
||
Occidental Shah Gas Holdings Ltd.
|
Bermuda
|
||
Occidental Tower Corporation
|
Delaware
|
||
Occidental Transportation Holding Corporation
|
Delaware
|
||
Occidental Yemen Ltd.
|
Bermuda
|
||
Occidental Yemen Sabatain, Inc.
|
Nevis
|
||
OEVC Energy, LLC
|
Texas
|
||
OEVC Midstream Projects, LLC
|
Delaware
|
||
OOG Partner LLC
|
Delaware
|
||
OOOI Chem Holdings, LLC
|
Delaware
|
||
OOOI Chem Sub, LLC
|
Delaware
|
||
OOOI Chemical International, LLC
|
Delaware
|
||
OOOI Chemical Management, Inc.
|
Delaware
|
||
OOOI Chile Holder, Inc.
|
Nevis
|
||
OOOI Oil and Gas Management, Inc.
|
Delaware
|
||
OOOI Oil and Gas Sub, LLC
|
Delaware
|
||
Opcal Insurance, Inc.
|
Hawaii
|
||
OPM GP, Inc.
|
Delaware
|
||
Oxy BridgeTex Limited Partnership
|
Texas
|
||
Oxy BT Holdings GP, Inc.
|
Texas
|
||
Oxy BT Holdings LP, Inc.
|
Texas
|
||
Oxy Cogeneration Holding Company, Inc.
|
Delaware
|
||
Oxy Colombia Holdings, Inc.
|
Delaware
|
||
OXY CV Pipeline LLC
|
Delaware
|
||
Oxy Dolphin E&P, LLC
|
Nevis
|
||
Oxy Dolphin Pipeline, LLC
|
Nevis
|
||
Oxy Energy Canada, Inc.
|
Delaware
|
||
Oxy Energy Services, Inc.
|
Delaware
|
Name
|
|
Jurisdiction of Formation
|
|
Oxy Expatriate Services, Inc.
|
Delaware
|
||
Oxy Holding Company (Pipeline), Inc.
|
Delaware
|
||
OXY Inc.
|
California
|
||
Oxy Ingleside Energy Center, LLC
|
Delaware
|
||
OXY Libya E&P Concession 103 Ltd.
|
Bermuda
|
||
OXY Libya E&P EPSA 102 B.V.
|
The Netherlands
|
||
OXY Libya E&P EPSA 1981 Ltd.
|
Bermuda
|
||
OXY Libya E&P EPSA 1985 Ltd.
|
Bermuda
|
||
OXY Libya E&P NC 143, 144, 145, 150 B.V.
|
The Netherlands
|
||
OXY Libya, LLC
|
Delaware
|
||
OXY LNG, Inc.
|
Delaware
|
||
OXY Little Knife, LLC
|
Delaware
|
||
OXY Long Beach, Inc.
|
Delaware
|
||
OXY Lost Hills, Inc.
|
Delaware
|
||
OXY LPG LLC
|
Delaware
|
||
Oxy LPG Terminal, LLC
|
Delaware
|
||
Oxy Midstream Strategic Development LLC
|
Delaware
|
||
OXY NM LP
|
Texas
|
||
OXY Oil Partners, Inc.
|
Delaware
|
||
Oxy Oleoducto SOP, LLC
|
Delaware
|
||
Oxy Overseas Services Ltd.
|
Bermuda
|
||
OXY PBLP Holder, Inc.
|
Delaware
|
||
OXY PBLP Manager, LLC
|
Delaware
|
||
Oxy Pipeline I Company
|
Delaware
|
||
OXY Support Services, LLC
|
Delaware
|
||
OXY Tidelands, Inc.
|
Delaware
|
||
Oxy Transport I Company
|
Delaware
|
||
OXY USA Inc.
|
Delaware
|
||
OXY USA WTP LP
|
Delaware
|
||
Oxy Vinyls Canada Co.
|
Nova Scotia
|
||
Oxy Vinyls, LP
|
Delaware
|
||
OXY VPP Investments, Inc.
|
Delaware
|
||
OXY West, LLC
|
Texas
|
||
Oxy Westwood Corporation
|
California
|
||
OXY Wilmington, LLC
|
Delaware
|
||
Oxy Y-1 Company
|
New Mexico
|
||
OxyChile Investments, LLC
|
Delaware
|
||
Oxycol Holder Ltd.
|
Bermuda
|
||
OXYMAR
|
Texas
|
||
Permian Basin Limited Partnership
|
Delaware
|
||
Permian VPP Holder, LP
|
Delaware
|
||
Permian VPP Manager, LLC
|
Delaware
|
||
Phibro (Asia) Pte. Ltd.
|
Singapore
|
||
Phibro Commodities Limited
|
United Kingdom
|
||
Phibro GmbH
|
Switzerland
|
||
Phibro LLC
|
Delaware
|
||
Phibro Limited
|
United Kingdom
|
||
Phibro Service LLC
|
Delaware
|
Name
|
|
Jurisdiction of Formation
|
|
Phibro Trading LLC
|
Delaware
|
||
Placid Oil Company
|
Delaware
|
||
Rio de Viento, Inc.
|
Wyoming
|
||
San Patricio Pipeline LLC
|
Delaware
|
||
Scanports Ltd.
|
United Kingdom
|
||
Scanports Shipping, Inc.
|
Delaware
|
||
Shipalks Shipping Ltd.
|
United Kingdom
|
||
Southern San Joaquin Production, LLC
|
Delaware
|
||
Swiflite Aircraft Corporation
|
New Jersey
|
||
Tenby, Inc.
|
California
|
||
Thums Long Beach Company
|
Delaware
|
||
Tidelands Oil Production Company
|
Texas
|
||
Turavent Oil AG
|
Switzerland
|
||
Vintage Gas, Inc.
|
Oklahoma
|
||
Vintage Petroleum Boliviana, Ltd.
|
Bermuda
|
||
Vintage Petroleum International Finance B.V.
|
Netherlands
|
||
Vintage Petroleum International Holdings, Inc.
|
Delaware
|
||
Vintage Petroleum International Ventures, Inc.
|
Cayman Islands
|
||
Vintage Petroleum International, Inc.
|
Oklahoma
|
||
Vintage Petroleum South America Holdings, Inc.
|
Cayman Islands
|
||
Vintage Petroleum South America, LLC
|
Oklahoma
|
||
Vintage Petroleum, LLC
|
Delaware
|
||
Vintage Production California LLC
|
Delaware
|
1.
|
I have reviewed this annual report on Form 10-K of Occidental Petroleum Corporation;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
|
3.
|
Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
|
4.
|
The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
|
(b)
|
Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
|
(c)
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
|
(d)
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
|
5.
|
The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
|
(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
|
/s/ STEPHEN I. CHAZEN
|
|
|
Stephen I. Chazen
|
|
|
President and Chief Executive Officer
|
|
1.
|
I have reviewed this annual report on Form 10-K of Occidental Petroleum Corporation;
|
2.
|
Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
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3.
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Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
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4.
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The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:
|
(a)
|
Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
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(b)
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Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
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(c)
|
Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
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(d)
|
Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and
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5.
|
The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):
|
(a)
|
All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
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(b)
|
Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.
|
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/s/ CYNTHIA L. WALKER
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|
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Cynthia L. Walker
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|
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Executive Vice President and
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|
|
Chief Financial Officer
|
|
(1)
|
The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
|
(2)
|
The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.
|
/s/ STEPHEN I. CHAZEN
|
|
|
Name:
|
Stephen I. Chazen
|
|
Title:
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President and Chief Executive Officer
|
|
Date:
|
February 26, 2013
|
|
/s/ CYNTHIA L. WALKER
|
|
|
Name:
|
Cynthia L. Walker
|
|
Title:
|
Executive Vice President and Chief Financial Officer
|
|
Date:
|
February 26, 2013
|
|
\s\ Jennifer Fitzgerald
|
Jennifer A. Fitzgerald, P.E.
|
TBPE License No. 100572
|
Vice President
|
As of December 31, 2012
|
|
Oil/Condensate
|
NGL
|
Total Liquid Hydrocarbons
|
Gas
|
Equivalent MMBOE
|
|
|
|
|
|
|
Total Proved Developed
|
12%
|
50%
|
17%
|
41%
|
24%
|
Total Proved Undeveloped
|
7%
|
15%
|
8%
|
12%
|
9%
|
Total Company Proved
|
11%
|
38%
|
15%
|
33%
|
20%
|
(1)
|
completion intervals which are open at the time of the estimate, but which have not started producing;
|
(2)
|
wells which were shut-in for market conditions or pipeline connections; or
|
(3)
|
wells not capable of production for mechanical reasons.
|
(i)
|
Reserves on undrilled acreage shall be limited to those directly offsetting development spacing areas that are reasonably certain of production when drilled, unless evidence using reliable technology exists that establishes reasonable certainty of economic producibility at greater distances.
|