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form8k-20100128.htm

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the

Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) January 28, 2010

OCCIDENTAL PETROLEUM CORPORATION

(Exact name of registrant as specified in its charter)

Delaware	1-9210	95-4035997
(State or other jurisdiction	(Commission	(I.R.S. Employer
of incorporation)	File Number)	Identification No.)

10889 Wilshire Boulevard
Los Angeles, California		90024
(Address of principal executive offices)		(ZIP code)

Registrant’s telephone number, including area code:

(310) 208-8800

Check the appropriate box below if the Form 8-K is intended to simultaneously satisfy the filing obligation of the Registrant under any of the following provisions (see General Instruction A.2. below):

[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Section 2 – Financial Information

Item 2.02. Results of Operations and Financial Condition

On January 28, 2010, Occidental Petroleum Corporation released information regarding its results of operations for the three and twelve months ended December 31, 2009. The exhibits to this Form 8-K and the information set forth in this Item 2.02 are being furnished pursuant to Item 2.02, Results of Operations and Financial Condition. The full text of the press release is attached to this report as Exhibit 99.1. The full text of the speeches given by Dr. Ray R. Irani and Stephen I. Chazen are attached to this report as Exhibit 99.2. Investor Relations Supplemental Schedules are attached to this report as Exhibit 99.3. Earnings Conference Call Slides are attached to this report as Exhibit 99.4. Forward-Looking Statements Disclosure for Earnings Release Presentation Materials is attached to this report as Exhibit 99.5.

Section 8 – Other Events

Item 8.01. Other Events

On January 28, 2010, Occidental Petroleum Corporation announced net income of $938 million ($1.15 per diluted share) for the fourth quarter of 2009, compared with $443 million ($0.55 per diluted share) for the fourth quarter of 2008. Core results for the fourth quarter of 2009 were $1.1 billion ($1.30 per diluted share), compared with $957 million ($1.18 per diluted share) for the fourth quarter of 2008. Core results excluded after-tax charges of $120 million ($0.15 per diluted share) for 2009 and $514 million ($0.63 per diluted share) for 2008.

Net income for the twelve months of 2009 was $2.9 billion ($3.58 per diluted share), compared with $6.9 billion ($8.34 per diluted share) for the twelve months of 2008. Full year core results were $3.1 billion ($3.78 per diluted share) for 2009, compared with $7.3 billion ($8.94 per diluted share) for 2008.

QUARTERLY RESULTS

Oil and Gas

Oil and gas segment earnings were $1.6 billion for the fourth quarter of 2009, compared with $339 million for the same period in 2008. The fourth quarter of 2009 core results were $1.8 billion, excluding a pre-tax loss of $170 million related to impairment of assets. The 2008 core results were $1 billion, excluding pre-tax losses of $657 million relating to the impairment of assets and other items. The $800 million increase in the fourth quarter of 2009 core results was primarily due to higher crude oil prices and sales volumes and lower operating costs.

For the fourth quarter of 2009, daily oil and gas sales volumes averaged 650,000 barrels of oil equivalent (BOE), compared with 620,000 BOE per day in the fourth quarter of 2008, a year-over-year increase of nearly five percent. Volumes increased by 14 percent in the Middle East/North Africa, and two percent each in the United States and Latin America. The Middle East/North Africa increase included new production from the Bahrain start-up and increased production from the Mukhaizna field in Oman.

Oxy's realized price for worldwide crude oil was $69.39 per barrel for the fourth quarter of 2009, compared with $53.52 per barrel for the fourth quarter of 2008. Domestic realized gas prices dropped from $4.67 per MCF in the fourth quarter of 2008 to $4.37 per MCF for the fourth quarter of 2009.

Chemicals

Chemical segment earnings for the fourth quarter of 2009 were $33 million, compared with $127 million for the same period in 2008. The fourth quarter of 2008 core results were $217 million after excluding a $90 million pre-tax loss related to plant closure and impairments. The fourth quarter 2009 results reflect the continued weakness in most domestic markets, but in particular U.S. housing, durable goods and agricultural sectors.

Midstream, Marketing and Other

Midstream segment earnings were $81 million for the fourth quarter of 2009, compared with $170 million for the fourth quarter of 2008. Earnings for the fourth quarter of 2009 reflect lower margins in the marketing business in 2009, compared to 2008, partially offset by higher pipeline income from Dolphin and improved margins in the gas processing business.

TWELVE-MONTH RESULTS

Oil and Gas

Oil and gas segment earnings were $4.7 billion for the twelve months of 2009, compared with $10.7 billion for the same period of 2008. Oil and gas core results, after excluding impairments and rig termination costs, were $4.9 billion for the twelve months of 2009, compared to $11.3 billion for the twelve months of 2008. The $6.4 billion decrease in the 2009 core results reflected lower crude oil and natural gas prices, partially offset by increased oil and gas production and lower operating costs.

Daily oil and gas sales volumes for the year were 645,000 BOE per day for 2009, compared with 601,000 BOE per day for the 2008 period, a year-over-year increase of seven percent. Volumes increased 4 percent domestically, mainly in California and Midcontinent Gas, by 10 percent in Latin America, and 13 percent in the Middle East/North Africa. The increase in the Middle East/North Africa resulted from higher production in the Mukhaizna field in Oman and higher volumes resulting from lower year-over-year average oil prices affecting our production sharing contracts.

Oxy's realized price for worldwide crude oil was $55.97 per barrel for the twelve months of 2009, compared with $88.26 per barrel for the twelve months of 2008. Domestic realized gas prices decreased from $8.03 per MCF in the twelve months of 2008 to $3.46 per MCF in the twelve months of 2009.

Chemicals

Chemical segment earnings were $389 million for the twelve months of 2009 compared with $669 million for the twelve months of 2008. The 2008 core results were $759 million after excluding charges for plant closure and impairments. The decrease in 2009 results reflects lower volumes and prices for chlorine, caustic soda, polyvinyl chloride, and vinyl chloride monomer due to the economic slow down, partially offset by lower feedstock and energy costs.

Midstream, Marketing and Other

Midstream segment earnings were $235 million for the twelve months of 2009, compared with $520 million for the same period in 2008. The 2009 results reflect lower marketing income and lower margins in the gas processing business.

Forward-Looking Statements

Statements in this report that contain words such as "will," “should,” "expect," or "estimate," or otherwise relate to the future, are forward-looking and involve risks and uncertainties that could significantly affect expected results. Factors that could cause actual results to differ materially include, but are not limited to: global commodity price fluctuations and supply/demand considerations for oil, gas and chemicals; exploration risks, such as drilling of unsuccessful wells; not successfully completing (or any material delay in) any expansions, field development, capital projects, acquisitions, or dispositions; higher-than-expected costs; political risk; operational interruptions; and changes in tax rates. You should not place undue reliance on these forward-looking statements which speak only as of the date of this release. Unless legally required, Occidental does not undertake any obligation to update any forward-looking statements as a result of new information, future events or otherwise. U.S. investors are urged to consider carefully the disclosures in our Form 10-K, available through the following toll-free telephone number, 1-888-OXYPETE (1-888-699-7383) or on the Internet at http://www.oxy.com. You also can obtain a copy from the SEC by calling 1-800-SEC-0330.

Attachment 1

SUMMARY OF SEGMENT NET SALES AND EARNINGS


	Fourth Quarter						Twelve Months
($ millions, except per-share amounts)	2009			2008			2009			2008
SEGMENT NET SALES
Oil and Gas	$	3,646		$	2,746		$	11,598		$	18,187
Chemical		780			1,005			3,225			5,112
Midstream, Marketing and Other		253			394			1,016			1,598
Eliminations		(140	)		(124	)		(436	)		(680	)

Net Sales	$	4,539		$	4,021		$	15,403		$	24,217

SEGMENT EARNINGS
Oil and Gas (a), (b)	$	1,643		$	339		$	4,735		$	10,651
Chemical (c)		33			127			389			669
Midstream, Marketing and Other		81			170			235			520
		1,757			636			5,359			11,840

Unallocated Corporate Items
Interest expense, net		(33	)		(16	)		(109	)		(26	)
Income taxes		(673	)		(118	)		(1,918	)		(4,629	)
Other (d)		(108	)		(54	)		(405	)		(346	)

Income from Continuing Operations (a)		943			448			2,927			6,839
Discontinued operations, net		(5	)		(5	)		(12	)		18

NET INCOME (a)	$	938		$	443		$	2,915		$	6,857

BASIC EARNINGS PER COMMON SHARE
Income from continuing operations	$	1.16		$	0.55		$	3.60		$	8.35
Discontinued operations, net		(0.01	)		-			(0.01	)		0.02
	$	1.15		$	0.55		$	3.59		$	8.37

DILUTED EARNINGS PER COMMON SHARE
Income from continuing operations	$	1.16		$	0.55		$	3.59		$	8.32
Discontinued operations, net		(0.01	)		-			(0.01	)		0.02
	$	1.15		$	0.55		$	3.58		$	8.34
AVERAGE BASIC COMMON SHARES OUTSTANDING
BASIC		811.8			810.3			811.3			817.6
DILUTED		813.5			811.5			813.8			820.5

(a) Net Income - Net income and income from continuing operations represent amounts attributable to Common Stock, after deducting non-controlling interest amounts of $16 million and $12 million for the fourth quarter and $51 million and $116 million for the twelve months ended December 31, 2009 and 2008, respectively. Oil and gas segment earnings are presented net of these non-controlling interest amounts.

(b) Oil and Gas - The fourth quarter and twelve months of 2009 include a pre-tax charge for asset impairment for $170 million. The twelve months of 2009 also includes $8 million for rig contract termination costs. The fourth quarter and 12 months 2008 include pre-tax charges of $599 million for asset impairments and $58 million for the termination of rig contracts.

(c) Chemical - The fourth quarter and 12 months of 2008 include a pre-tax charge of $90 million for plant closure and impairments costs.

(d) Unallocated Corporate Items - Other - The twelve months of 2009 includes non-core pre-tax charges of $40 million related to severance and $15 million for railcar leases.

Attachment 2

SUMMARY OF CAPITAL EXPENDITURES AND DD&A EXPENSE


	Fourth Quarter				Twelve Months
($ millions)	2009		2008		2009		2008
CAPITAL EXPENDITURES	$	932	$	1,594	$	3,581	$	4,664

DEPRECIATION, DEPLETION AND
AMORTIZATION OF ASSETS	$	820	$	753	$	3,117	$	2,710




ITEMS AFFECTING COMPARABILITY OF CORE EARNINGS BETWEEN PERIODS

	Fourth Quarter				Twelve Months
($ millions)	2009		2008		2009		2008
Foreign exchange gains *	$	8	$	88	$	36	$	91
* Amounts shown after tax.

Attachment 3

SUMMARY OF OPERATING STATISTICS - SALES


	Fourth Quarter		Twelve Months
	2009	2008	2009	2008
NET OIL, GAS AND LIQUIDS SALES PER DAY
United States
Crude Oil and Liquids (MBBL)
California	92	97	93	89
Permian	168	167	168	168
Midcontinent Gas	11	9	10	6
Total	271	273	271	263

Natural Gas (MMCF)
California	282	221	250	235
Permian	197	188	199	181
Midcontinent Gas	166	187	186	171
Total	645	596	635	587

Latin America
Crude Oil (MBBL)
Argentina	37	32	37	32
Colombia	36	39	39	37
Total	73	71	76	69

Natural Gas (MMCF)
Argentina	30	24	30	21
Bolivia	12	21	16	21
Total	42	45	46	42

Middle East / North Africa
Crude Oil and Liquids (MBBL)
Oman	43	27	39	23
Dolphin	20	23	21	21
Qatar	48	48	48	47
Yemen	28	22	29	23
Libya	9	10	7	15
Bahrain	1	-	-	-
Total	149	130	144	129

Natural Gas (MMCF)
Oman	19	23	22	24
Dolphin	198	209	213	184
Bahrain	40	-	10	-
Total	257	232	245	208



Barrels of Oil Equivalent (MBOE)	650	620	645	601

Attachment 4

SUMMARY OF OPERATING STATISTICS - PRODUCTION


	Fourth Quarter		Twelve Months
	2009	2008	2009	2008
NET OIL, GAS AND LIQUIDS PRODUCTION PER DAY
United States
Crude Oil and Liquids (MBBL)	271	273	271	263
Natural Gas (MMCF)	645	596	635	587

Latin America
Crude Oil (MBBL)
Argentina	36	38	36	34
Colombia	36	39	39	38
Total	72	77	75	72

Natural Gas (MMCF)	42	45	46	42

Middle East / North Africa
Crude Oil and Liquids (MBBL)
Oman	45	28	39	23
Dolphin	20	22	22	20
Qatar	46	48	48	47
Yemen	27	22	28	23
Libya	5	8	6	15
Bahrain	1	-	-	-
Total	144	128	143	128

Natural Gas (MMCF)	257	232	245	208



Barrels of Oil Equivalent (MBOE)	644	623	643	603

Attachment 5

SIGNIFICANT TRANSACTIONS AND EVENTS AFFECTING EARNINGS

Occidental's results of operations often include the effects of significant transactions and events affecting earnings that vary widely and unpredictably in nature, timing and amount. These events may recur, even across successive reporting periods. Therefore, management uses a measure called "core results," which excludes those items. This non-GAAP measure is not meant to disassociate those items from management's performance, but rather is meant to provide useful information to investors interested in comparing Occidental's earnings performance between periods. Reported earnings are considered representative of management's performance over the long term. Core results is not considered to be an alternative to operating income in accordance with generally accepted accounting principles.

	Fourth Quarter
($ millions, except per-share amounts)	2009			Diluted EPS		2008			Diluted EPS
TOTAL REPORTED EARNINGS	$	938		$	1.15	$	443		$	0.55

Oil and Gas
Segment Earnings	$	1,643				$	339
Add:
Asset impairments		170					599
Rig contract terminations		-					58

Segment Core Results		1,813					996

Chemicals
Segment Earnings		33					127
Add:
Plant closure and impairments		-					90

Segment Core Results		33					217

Midstream, Marketing and Other
Segment Earnings		81					170
Add:
No significant items affecting earnings		-					-

Segment Core Results		81					170

Total Segment Core Results		1,927					1,383

Corporate
Corporate Results --
Non Segment *		(819	)				(193	)
Add:
Tax effect of pre-tax adjustments		(55	)				(238	)
Discontinued operations, net **		5					5

Corporate Core Results - Non Segment		(869	)				(426	)

TOTAL CORE RESULTS	$	1,058		$	1.30	$	957		$	1.18

* Interest expense, income taxes, G&A expense and other
** Amounts shown after tax.

Attachment 6

SIGNIFICANT TRANSACTIONS AND EVENTS AFFECTING EARNINGS (continued)


	Twelve Months
($ millions, except per-share amounts)	2009			Diluted EPS		2008			Diluted EPS
TOTAL REPORTED EARNINGS	$	2,915		$	3.58	$	6,857		$	8.34

Oil and Gas
Segment Earnings	$	4,735				$	10,651
Add:
Asset impairments		170					599
Rig contract terminations		8					58

Segment Core Results		4,913					11,308

Chemicals
Segment Earnings		389					669
Add:
Plant closure and impairments		-					90

Segment Core Results		389					759

Midstream, Marketing and Other
Segment Earnings		235					520
Add:
No significant items affecting earnings		-					-

Segment Core Results		235					520

Total Segment Core Results		5,537					12,587

Corporate
Corporate Results --
Non Segment *		(2,444	)				(4,983	)
Add:
Railcar leases		15					-
Severance accruals		40					-
Tax effect of pre-tax adjustments		(77	)				(238	)
Discontinued operations, net **		12					(18	)

Corporate Core Results - Non Segment		(2,454	)				(5,239	)

TOTAL CORE RESULTS	$	3,083		$	3.78	$	7,348		$	8.94

* Interest expense, income taxes, G&A expense and other
** Amounts shown after tax.

Section 9 - Financial Statements and Exhibits

Item 9.01. Financial Statements and Exhibits

(d) Exhibits



99.1		Press release dated January 28, 2010.

99.2		Full text of speeches given by Dr. Ray R. Irani and Stephen I. Chazen.

99.3		Investor Relations Supplemental Schedules.

99.4		Earnings Conference Call Slides.

99.5		Forward-Looking Statements Disclosure for Earnings Release Presentation Materials.

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	OCCIDENTAL PETROLEUM CORPORATION
	(Registrant)


DATE: January 28, 2010	/s/ ROY PINECI
	Roy Pineci, Vice President, Controller
	and Principal Accounting Officer

EXHIBIT INDEX

99.1		Press release dated January 28, 2010.

99.2		Full text of speeches given by Dr. Ray R. Irani and Stephen I. Chazen.

99.3		Investor Relations Supplemental Schedules.

99.4		Earnings Conference Call Slides.

99.5		Forward-Looking Statements Disclosure for Earnings Release Presentation Materials.

ex99_1-20100128.htm

EXHIBIT 99.1

For Immediate Release: January 28, 2010

Occidental Petroleum Announces Fourth Quarter and 12-Month 2009 Results

●		Q4 2009 core income $1.1 billion ($1.30 per diluted share); net income $938 million ($1.15 per share)

●		Q4 2009 daily oil and gas sales average of 650,000 BOE per day

●		12-month core income $3.1 billion ($3.78 per diluted share); net income $2.9 billion ($3.58 per share)

●		12-month production growth over 7 percent to record 645,000 BOE per day

●		12-month production costs reduced 15 percent per BOE

LOS ANGELES, January 28, 2010 -- Occidental Petroleum Corporation (NYSE: OXY) announced net income of $938 million ($1.15 per diluted share) for the fourth quarter of 2009, compared with $443 million ($0.55 per diluted share) for the fourth quarter of 2008. Core results for the fourth quarter of 2009 were $1.1 billion ($1.30 per diluted share), compared with $957 million ($1.18 per diluted share) for the fourth quarter of 2008. Core results excluded after-tax charges of $120 million ($0.15 per diluted share) for 2009 and $514 million ($0.63 per diluted share) for 2008.

In announcing the results, Dr. Ray R. Irani, Chairman and Chief Executive Officer, said, "I am pleased to announce Occidental's production for the twelve months ended December 31, 2009 was 645,000 BOE per day, the highest annual volume in the Company's history. Occidental achieved year-over-year growth of over seven percent for the twelve months of 2009. We expect the 2010 production to increase by 5 percent to 8 percent.

"The year 2009 experienced volatile commodity prices with WTI beginning the year in the low $40 per barrel range and ending the year above $75 per barrel. Occidental reacted to the lower prices by reducing costs in key areas and managing our capital program. We successfully reduced our oil and gas cash production costs, excluding production and property taxes, by 15 percent. "

QUARTERLY RESULTS

Oil and Gas

Chemicals

Midstream, Marketing and Other

TWELVE-MONTH RESULTS

Oil and Gas

Chemicals

Midstream, Marketing and Other

About Oxy

Occidental Petroleum Corporation is an international oil and gas exploration and production company with operations in the United States, Middle East/North Africa and Latin America regions. Oxy is the fourth largest U.S. oil and gas company, based on equity market capitalization. Oxy's wholly owned subsidiary, OxyChem, manufactures and markets chlor-alkali products and vinyls. Occidental is committed to safeguarding the environment, protecting the safety and health of employees and neighboring communities and upholding high standards of social responsibility in all of the company's worldwide operations.

Forward-Looking Statements

Statements in this release that contain words such as "will," “should,” "expect," or "estimate," or otherwise relate to the future, are forward-looking and involve risks and uncertainties that could significantly affect expected results. Factors that could cause actual results to differ materially include, but are not limited to: global commodity price fluctuations and supply/demand considerations for oil, gas and chemicals; exploration risks, such as drilling of unsuccessful wells; not successfully completing (or any material delay in) any expansions, field development, capital projects, acquisitions, or dispositions; higher-than-expected costs; political risk; operational interruptions; and changes in tax rates. You should not place undue reliance on these forward-looking statements which speak only as of the date of this release. Unless legally required, Occidental does not undertake any obligation to update any forward-looking statements as a result of new information, future events or otherwise. U.S. investors are urged to consider carefully the disclosures in our Form 10-K, available through the following toll-free telephone number, 1-888-OXYPETE (1-888-699-7383) or on the Internet at http://www.oxy.com. You also can obtain a copy from the SEC by calling 1-800-SEC-0330.

-0-

Contacts: Richard S. Kline (media)

richard_kline@oxy.com

310-443-6249

Chris Stavros (investors)

chris_stavros@oxy.com

212-603-8184

For further analysis of Occidental's quarterly performance,

please visit the web site: www.oxy.com

Attachment 1

SUMMARY OF SEGMENT NET SALES AND EARNINGS


	Fourth Quarter						Twelve Months
($ millions, except per-share amounts)	2009			2008			2009			2008
SEGMENT NET SALES
Oil and Gas	$	3,646		$	2,746		$	11,598		$	18,187
Chemical		780			1,005			3,225			5,112
Midstream, Marketing and Other		253			394			1,016			1,598
Eliminations		(140	)		(124	)		(436	)		(680	)

Net Sales	$	4,539		$	4,021		$	15,403		$	24,217

SEGMENT EARNINGS
Oil and Gas (a), (b)	$	1,643		$	339		$	4,735		$	10,651
Chemical (c)		33			127			389			669
Midstream, Marketing and Other		81			170			235			520
		1,757			636			5,359			11,840

Unallocated Corporate Items
Interest expense, net		(33	)		(16	)		(109	)		(26	)
Income taxes		(673	)		(118	)		(1,918	)		(4,629	)
Other (d)		(108	)		(54	)		(405	)		(346	)

Income from Continuing Operations (a)		943			448			2,927			6,839
Discontinued operations, net		(5	)		(5	)		(12	)		18

NET INCOME (a)	$	938		$	443		$	2,915		$	6,857

BASIC EARNINGS PER COMMON SHARE
Income from continuing operations	$	1.16		$	0.55		$	3.60		$	8.35
Discontinued operations, net		(0.01	)		-			(0.01	)		0.02
	$	1.15		$	0.55		$	3.59		$	8.37

DILUTED EARNINGS PER COMMON SHARE
Income from continuing operations	$	1.16		$	0.55		$	3.59		$	8.32
Discontinued operations, net		(0.01	)		-			(0.01	)		0.02
	$	1.15		$	0.55		$	3.58		$	8.34
AVERAGE BASIC COMMON SHARES OUTSTANDING
BASIC		811.8			810.3			811.3			817.6
DILUTED		813.5			811.5			813.8			820.5

(a) Net Income - Net income and income from continuing operations represent amounts attributable to Common Stock, after deducting non-controlling interest amounts of $16 million and $12 million for the fourth quarter and $51 million and $116 million for the twelve months ended December 31, 2009 and 2008, respectively. Oil and gas segment earnings are presented net of these non-controlling interest amounts.

(b) Oil and Gas - The fourth quarter and twelve months of 2009 include a pre-tax charge for asset impairment for $170 million. The twelve months of 2009 also includes $8 million for rig contract termination costs. The fourth quarter and 12 months 2008 include pre-tax charges of $599 million for asset impairments and $58 million for the termination of rig contracts.

(c) Chemical - The fourth quarter and 12 months of 2008 include a pre-tax charge of $90 million for plant closure and impairments costs.

(d) Unallocated Corporate Items - Other - The twelve months of 2009 includes non-core pre-tax charges of $40 million related to severance and $15 million for railcar leases.

Attachment 2

SUMMARY OF CAPITAL EXPENDITURES AND DD&A EXPENSE


	Fourth Quarter				Twelve Months
($ millions)	2009		2008		2009		2008
CAPITAL EXPENDITURES	$	932	$	1,594	$	3,581	$	4,664

DEPRECIATION, DEPLETION AND
AMORTIZATION OF ASSETS	$	820	$	753	$	3,117	$	2,710




ITEMS AFFECTING COMPARABILITY OF CORE EARNINGS BETWEEN PERIODS

	Fourth Quarter				Twelve Months
($ millions)	2009		2008		2009		2008
Foreign exchange gains *	$	8	$	88	$	36	$	91
* Amounts shown after tax.

Attachment 3

SUMMARY OF OPERATING STATISTICS - SALES


	Fourth Quarter		Twelve Months
	2009	2008	2009	2008
NET OIL, GAS AND LIQUIDS SALES PER DAY
United States
Crude Oil and Liquids (MBBL)
California	92	97	93	89
Permian	168	167	168	168
Midcontinent Gas	11	9	10	6
Total	271	273	271	263

Natural Gas (MMCF)
California	282	221	250	235
Permian	197	188	199	181
Midcontinent Gas	166	187	186	171
Total	645	596	635	587

Latin America
Crude Oil (MBBL)
Argentina	37	32	37	32
Colombia	36	39	39	37
Total	73	71	76	69

Natural Gas (MMCF)
Argentina	30	24	30	21
Bolivia	12	21	16	21
Total	42	45	46	42

Middle East / North Africa
Crude Oil and Liquids (MBBL)
Oman	43	27	39	23
Dolphin	20	23	21	21
Qatar	48	48	48	47
Yemen	28	22	29	23
Libya	9	10	7	15
Bahrain	1	-	-	-
Total	149	130	144	129

Natural Gas (MMCF)
Oman	19	23	22	24
Dolphin	198	209	213	184
Bahrain	40	-	10	-
Total	257	232	245	208



Barrels of Oil Equivalent (MBOE)	650	620	645	601

Attachment 4

SUMMARY OF OPERATING STATISTICS - PRODUCTION


	Fourth Quarter		Twelve Months
	2009	2008	2009	2008
NET OIL, GAS AND LIQUIDS PRODUCTION PER DAY
United States
Crude Oil and Liquids (MBBL)	271	273	271	263
Natural Gas (MMCF)	645	596	635	587

Latin America
Crude Oil (MBBL)
Argentina	36	38	36	34
Colombia	36	39	39	38
Total	72	77	75	72

Natural Gas (MMCF)	42	45	46	42

Middle East / North Africa
Crude Oil and Liquids (MBBL)
Oman	45	28	39	23
Dolphin	20	22	22	20
Qatar	46	48	48	47
Yemen	27	22	28	23
Libya	5	8	6	15
Bahrain	1	-	-	-
Total	144	128	143	128

Natural Gas (MMCF)	257	232	245	208



Barrels of Oil Equivalent (MBOE)	644	623	643	603

Attachment 5

SIGNIFICANT TRANSACTIONS AND EVENTS AFFECTING EARNINGS

Occidental's results of operations often include the effects of significant transactions and events affecting earnings that vary widely and unpredictably in nature, timing and amount. These events may recur, even across successive reporting periods. Therefore, management uses a measure called "core results," which excludes those items. This non-GAAP measure is not meant to disassociate those items from management's performance, but rather is meant to provide useful information to investors interested in comparing Occidental's earnings performance between periods. Reported earnings are considered representative of management's performance over the long term. Core results is not considered to be an alternative to operating income in accordance with generally accepted accounting principles.

	Fourth Quarter
($ millions, except per-share amounts)	2009			Diluted EPS		2008			Diluted EPS
TOTAL REPORTED EARNINGS	$	938		$	1.15	$	443		$	0.55

Oil and Gas
Segment Earnings	$	1,643				$	339
Add:
Asset impairments		170					599
Rig contract terminations		-					58

Segment Core Results		1,813					996

Chemicals
Segment Earnings		33					127
Add:
Plant closure and impairments		-					90

Segment Core Results		33					217

Midstream, Marketing and Other
Segment Earnings		81					170
Add:
No significant items affecting earnings		-					-

Segment Core Results		81					170

Total Segment Core Results		1,927					1,383

Corporate
Corporate Results --
Non Segment *		(819	)				(193	)
Add:
Tax effect of pre-tax adjustments		(55	)				(238	)
Discontinued operations, net **		5					5

Corporate Core Results - Non Segment		(869	)				(426	)

TOTAL CORE RESULTS	$	1,058		$	1.30	$	957		$	1.18

* Interest expense, income taxes, G&A expense and other
** Amounts shown after tax.

Attachment 6

SIGNIFICANT TRANSACTIONS AND EVENTS AFFECTING EARNINGS (continued)


	Twelve Months
($ millions, except per-share amounts)	2009			Diluted EPS		2008			Diluted EPS
TOTAL REPORTED EARNINGS	$	2,915		$	3.58	$	6,857		$	8.34

Oil and Gas
Segment Earnings	$	4,735				$	10,651
Add:
Asset impairments		170					599
Rig contract terminations		8					58

Segment Core Results		4,913					11,308

Chemicals
Segment Earnings		389					669
Add:
Plant closure and impairments		-					90

Segment Core Results		389					759

Midstream, Marketing and Other
Segment Earnings		235					520
Add:
No significant items affecting earnings		-					-

Segment Core Results		235					520

Total Segment Core Results		5,537					12,587

Corporate
Corporate Results --
Non Segment *		(2,444	)				(4,983	)
Add:
Railcar leases		15					-
Severance accruals		40					-
Tax effect of pre-tax adjustments		(77	)				(238	)
Discontinued operations, net **		12					(18	)

Corporate Core Results - Non Segment		(2,454	)				(5,239	)

TOTAL CORE RESULTS	$	3,083		$	3.78	$	7,348		$	8.94

* Interest expense, income taxes, G&A expense and other
** Amounts shown after tax.

ex99_2-20100128.htm

EXHIBIT 99.2

Occidental Petroleum Corporation

DR. RAY R. IRANI

Chairman and Chief Executive Officer

-Conference Call-

Fourth Quarter 2009 Earnings Announcement

January 28, 2010

Los Angeles, California

Thank you, Chris. Good morning, ladies and gentlemen.

2009 was an interesting year that tested strategic and execution capabilities across the U.S. oil and gas industry. We believe that Oxy passed last year’s test with an A+. We achieved solid financial results in a challenging environment.

In a few minutes, Steve Chazen will provide details on our financial results for the fourth quarter and full year of 2009. But first, I want to mention some highlights and key developments of the past year that we believe are integral to Oxy’s continued success in 2010 and beyond.

Notably, in 2009 we were able to grow our worldwide production 7-percent year-over-year while not increasing our net debt to capitalization ratio. This brought us to the highest annual production volume in our history – 645,000 BOE per day. We expect a similar increase in oil and gas production both this year and next while continuing to focus on operational efficiency.

Also noteworthy, during the next two weeks we will be announcing the official results of our 2009 production replacement. The results look very favorable. We expect to announce that the 2009 reserve replacement ratio is about 200 percent.

In 2009 we maintained our “A” debt rating across all ratings agencies. And we continued to build our pipeline of exciting opportunities, which gives

us confidence that our production increases from continuing operations of about 5 to 8 percent annually over the last five years will again be an achievable target for the next five years.

These results are attributable to consistent execution of our long-term financial strategy, as well as a successful companywide initiative to reduce costs.

We aggressively managed our oil and gas production costs in 2009’s volatile commodity price environment, reducing our oil and gas production costs per BOE by 15 percent, excluding production and property taxes. We ended the year with cash on hand of $1.2 billion, very little debt and one of the strongest balance sheets in the industry.

During the past 12 months, we capitalized on some key opportunities to strengthen our position and achieve further growth.

In the United States, we announced a significant discovery of oil and gas reserves in Kern County, California, with initial estimated reserves of 150 to 250 million gross barrels of oil equivalent. Steve will give you an update on its continued production growth in his upcoming comments.

We also made numerous acquisitions of properties adjacent to our key operations in Texas and California, and expanded other areas of our core business.

In our chemical segment, we acquired Dow Chemical Company’s calcium chloride operations. Calcium chloride is a premium salt with a variety of beneficial applications, including ice control on roads and sidewalks. Our product line has an approximately 65 percent share of the North American calcium chloride market.

There were also significant, positive developments in the Middle East.

In Bahrain, we are partnering with Mubadala of Abu Dhabi on a project to redevelop the Bahrain Field. Field operations began on December 1st. We

expect to increase oil production from the Bahrain Field to about three times its current level of production, to reach 100,000 barrels of oil equivalent per day within seven years, and increase gas production by more than 65 percent to approximately 2.5 billion cubic feet per day.

It was announced in the fourth quarter that Oxy, partnering with a consortium led by Eni, was awarded a license for development of the Zubair Field in Iraq. Last Friday we announced the signing of the contract with the government of Iraq. We expect Zubair to reach production of approximately 1.2 million barrels of oil per day within the next six years.

Solid production growth continued at the giant Mukhaizna oilfield in south-central Oman, where we have a major steam flood project for enhanced oil recovery. As of year-end 2009, gross daily production was over 10 times higher than the production rate in September 2005, when Oxy assumed operation of the field.

Looking ahead to our 2010 capital expenditures, we plan to increase CAPEX approximately 19 percent from the $3.6 billion spent in 2009 to about $4.3 billion, for projects that will stimulate our continued growth while maintaining our targeted financial returns.

Our 2009 results confirm that Oxy is well positioned to succeed in the volatile business climate that has presented significant challenges to our industry and to the global economy. We plan to maintain a low-risk, low-leverage profile and a consistent focus on building stockholder value.

With our concentration on core areas, growth in production and reserves, efficient operations and strong balance sheet, we are confident in our ability to continue achieving sustained growth and delivering solid profitability.

I’ll now turn the call over to Steve Chazen.

###

Occidental Petroleum Corporation

STEPHEN CHAZEN

President and Chief Financial Officer

– Conference Call –

Fourth Quarter 2009 Earnings Announcement

January 28, 2010

Los Angeles, California

Thank you Ray.

Net income was $938 million in the fourth quarter of 2009, compared to $443 million in the fourth quarter of 2008. The 2009 fourth quarter net income included after-tax non-core charges, mostly consisting of a $115 million impairment of certain Argentine producing properties. The 2008 fourth quarter included after-tax non-core charges of $514 million for impairments, rig termination costs and plant closures. Core results were $1.1 billion in the fourth quarter of 2009, compared to $957 million in the fourth quarter of 2008.

Here’s the segment breakdown for the fourth quarter.

Oil and gas fourth quarter 2009 segment earnings were $1.6 billion, compared to $339 million for the fourth quarter of 2008. Oil and gas core results for the fourth quarter of 2009 were $1.8 billion compared to $1 billion for the fourth quarter of 2008, after excluding asset impairments in both periods and rig termination costs in 2008.

●

The increase in the 2009 fourth quarter earnings was due to higher crude oil prices and sales volumes and lower operating expenses.

	Occidental’s average realized crude oil price in the 2009 fourth quarter was $69.39 per barrel, an increase of 30 percent from the $53.52 per barrel in the comparable period of 2008. Oxy’s domestic average realized gas price for the quarter was $4.37 per mcf, compared with $4.67 per mcf for the fourth quarter of 2008.
●	Worldwide oil and gas sales volumes for the fourth quarter of 2009 were 650,000 barrels of oil equivalent per day, an increase of nearly 5 percent, compared with 620,000 BOE per day in the fourth quarter of last year. Daily production volume increased 23,000 BOE from Oman and Bahrain, 6,000 BOE from Argentina and 13,000 BOE from California operations, excluding Long Beach. Partially offsetting these increases were lower Middle East volumes of 7,000 BOE per day caused by higher oil prices affecting our production sharing contracts.
●	Fourth quarter of 2009 worldwide oil and gas sales volumes increased 3 1/2 percent or 22,000 BOE per day from the third quarter 2009 sales volumes of 628,000 BOE per day.
	○	We began Bahrain production and development activities on December 1, 2009.
	○	Argentina volumes increased by 8,000 BOE per day. The third quarter included a 9,000 BOE per day loss due to the Santa Cruz strike.
	○	California volumes, excluding Long Beach, increased by 3,000 BOE per day.
	○	Oman volumes increased by 4,000 BOE per day from the Mukhaizna field.
●	Exploration expense was $99 million in the quarter.

Chemical segment earnings for the fourth quarter of 2009 were $33 million, compared to $127 million in last year's fourth quarter. After excluding plant closure and impairments, the fourth quarter 2008 core results were $217 million. The fourth quarter 2009 results reflect the continued weakness in most domestic markets, but in particular U.S. housing, durable goods and agricultural sectors.

Midstream segment earnings for the fourth quarter of 2009 were $81 million, compared to $170 million in the fourth quarter of 2008. The decrease in earnings was due to lower margins in the marketing business in 2009 compared to 2008, partially offset by improved NGL margins resulting from lower maintenance expenses, energy costs and property taxes in the gas processing business and higher income from the Dolphin Pipeline.

The worldwide effective tax rate was 41 percent for the fourth quarter of 2009, in line with our guidance.

Let me now turn to Occidental's performance during the twelve months.

Net income was $2.9 billion for the twelve months of 2009, compared with $6.9 billion for the same period of 2008. Core results for the twelve months of 2009 were $3.1 billion, compared with $7.3 billion for the full year of 2008. Income for the twelve months of 2009 included $168 million of charges, net of tax and 2008 included $491 million of charges, net of tax, for the items noted on the schedule reconciling net income to core results.

Oil and gas cash production costs, excluding production and property taxes, were $10.37 a barrel for the twelve months of 2009, a 15 percent decline from last year's twelve-month costs of $12.13 a barrel.

Taxes – other than on income were $1.77 per barrel for the twelve months of 2009 compared to $2.62 per barrel for all of 2008. These costs, which are sensitive to product prices, reflect lower crude oil and gas prices in 2009.

Capital spending for 2009 was $3.6 billion. Capital expenditures by segment were 79 percent in Oil and Gas, 6 percent in Chemical and 15 percent in Midstream. The Oil and Gas expenditures were 56 percent in foreign operations and 44 percent domestically.

Cash flow from operations for the twelve months of 2009 was $5.8 billion. We used $3.6 billion of the company’s cash flow to fund capital expenditures and $1.8 billion on acquisitions and foreign bonuses. These items amounted to $5.4 billion of cash use. We also used $1.1 billion to pay dividends. These and other net cash flows decreased our $1.8 billion cash balance at the end of last year by $600 million to $1.2 billion at December 31. Fourth quarter free cash flow after capital spending, dividends and taxes but before acquisition activity was about $850 million.

The weighted average basic shares outstanding for the twelve months were 811.3 million and the weighted average diluted shares outstanding were 813.8 million.

Our debt to capitalization ratio was 9 percent. Oxy's 2009 return on equity was 10.3 percent, with return on capital employed of 9.6 percent.

Now we'll discuss some factors affecting our 2010 program.

Beginning in 2010, we are making three reporting changes which will impact comparability between years.

●

Historically, our production volumes have been reported as a mix of pre-tax and after tax volumes while our revenues have reflected only pre-tax sales. This difference is caused by our production sharing contracts in the Middle East and North Africa where production is immediately taken and sold to pay the local income tax. We have treated this as additional revenues but not additional production. To simplify our reporting and to conform with industry practice, our production and our revenues will now be tied. Beginning this year we will refer to production on this more

		accurate and consistent basis. To assist you in making comparisons, an historical chart is presented in the Investor Relations Supplemental Schedules that shows what the previous 5-year and the 2009 quarterly volumes would have been on this basis. All references to growth and volume comparisons will be against these reformatted production volumes. For example the production from last year will be referred to as 714,000 BOE per day rather than 645,000 BOE per day for the year. This change will have no effect on the company's financial statements.
	●	We have combined most of our gas production in the mid-continental regions of the United States into a single business unit called Midcontinent Gas, in order to take advantage of common development methods and production optimization opportunities. This business unit will include the Hugoton field, the Piceance basin as well as the bulk of the Permian basin non-associated gas assets, which had been reported as part of the Permian business unit through the end of 2009. Starting in 2010, these assets will be reported in Midcontinent Gas. As a result, Midcontinent Gas unit's production will be approximately 75 percent gas and 25 percent liquids. Permian's production will go from 84 percent liquids and 16 percent gas, to 89 percent liquids and 11 percent, mostly associated, gas. Included in the Investor Relations Supplemental Schedules are charts showing what the previous 5-years and the 2009 quarterly sales volumes would have been for these business units if those Permian gas properties had been reported as part of Midcontinent Gas.
	●	Capitalized CO2 – Occidental's policy regarding tertiary recovery is to capitalize costs, such as CO2, when they support development of proved reserves and generally expense these costs when they support current production. In 2009, we capitalized approximately 50 percent of the CO2 injected in the Permian basin. Over the years, as the CO2 program

matures, a larger portion of the injected gas supports current production. Beginning in 2010, we will be expensing 100 percent of the CO2 injected, in order to simplify the process of determining the portion that should be capitalized versus expensed. In 2009, $69 million of CO2 costs were capitalized.

As we look ahead in the current quarter:

●

We expect oil and gas sales volumes to increase from the reformatted fourth quarter 2009 amount of 722,000 BOE/day to about 730,000 to 740,000 BOE/day at about current oil prices. Increases will come from California, Bahrain and Oman.

With regard to prices - -

	●	At current market prices, a $1.00 per barrel change in oil prices impacts oil and gas quarterly earnings before income taxes by about $36 million. The average fourth quarter WTI oil price was $76.19 per barrel.
	●	A swing of 50-cents per million BTUs in domestic gas prices has a $24 million impact on quarterly earnings before income taxes. The current NYMEX gas price is around $5.60 per MCF.

Additionally - -

	●	We expect exploration expense to be about $75 million for seismic and drilling for our exploration programs.
	●	For the chemical segment, the international markets remain solid. In the United States, we have a competitive advantage against foreign products; however, the housing and construction markets remain weak, which will limit improvement in sales volumes and margins. Chemical earnings for the first quarter are expected to be in the range of $30 million to $50 million.

●

We expect our combined worldwide tax rate in the first quarter of 2010 to be in the range of 42 to 43 percent depending on the split between domestic and foreign sourced income. Our fourth quarter U.S. and foreign tax rates are included in the “Investor Relations Supplemental Schedule.”

For all of 2010:

	●	We expect capital spending for the total year to be about $4.3 billion. Our capital program will continue to focus on ensuring that our returns remain well above our cost of capital. The additional capital from 2009's $3.6 billion level will be allocated to the Oil and Gas segment. Of this increase, about a quarter each will go to California and Iraq, about 15 percent to Bahrain and 10 percent to Midcontinent Gas. As a result, the capital allocation will be approximately 82 percent in Oil and Gas with the remainder being spent in Midstream and Chemical.
	●	Our Oil and Gas DD&A expense for 2010 should be approximately $10.75 per BOE. Depreciation for the other two segments should be approximately $450 million.
	●	California Exploration – Excluding the Kern County discovery, over the course of a couple of years, we have drilled 39 exploration wells seeking non-traditional hydrocarbon bearing zones in California. Of these wells, 12 are commercial and 10 are currently being evaluated. Occidental holds approximately 1.3 million acres of net fee minerals and leasehold in California, which have been acquired in the last few years to exploit these opportunities.
	●	At the Kern County discovery we are producing approximately 145 million cubic feet of gas and 7,500 barrels of liquids per day from 15 wells. This is 5,700 BOE per day higher production than the 26,000

		BOE we disclosed last quarter. Cumulative gross production since the start of production through the end of December 2009 has been 19.4 billion cubic feet of gas and 1.5 million barrels of liquids. We expect to drill 8 wells in the first half of the year focusing on oil drilling and exploring the limits of the field. We also expect to add skid mounted gas processing facilities by the second quarter. We expect to add to our gas production once these facilities are installed.
	●	Copies of the press release announcing our fourth quarter earnings and the Investor Relations Supplemental Schedules are available on our website at www.oxy.com or through the SEC’s EDGAR system.

Now we’re ready to take your questions.

Occidental Petroleum Corporation
Free Cash Flow
Reconciliation to Generally Accepted Accounting Principles (GAAP)
($ Millions)

	Qtr 4		2009
Consolidated Statement of Cash Flows
Cash flow from operating activities	1,970		5,813
Cash flow from investing activities	(2,079	)	(5,327	)
Cash flow from financing activities	(269	)	(1,033	)
Change in cash	(378	)	(547	)


Free Cash Flow
Cash flow from operating activities	1,970
Capital spending	(932	)
Cash dividends paid	(269	)
Equity method investment dividends	81
Free cash flow	850

ex99_3-20100128.htm

EXHIBIT 99.3

Investor Relations Supplemental Schedules

Investor Relations Supplemental Schedules
Summary
($ Millions)




	4Q 2009		4Q 2008

Reported Net Income		$938		$443
EPS - Diluted		$1.15		$0.55

Core Results		$1,058		$957
EPS - Diluted		$1.30		$1.18

Total Worldwide Sales Volumes (mboe/day)		650		620

Total Worldwide Crude Oil Realizations ($/BBL)		$69.39		$53.52
Domestic Natural Gas Realizations ($/MCF)		$4.37		$4.67

Wtd. Average Basic Shares O/S (mm)		811.8		810.3
Wtd. Average Diluted Shares O/S (mm)		813.5		811.5


	YTD 2009		YTD 2008

Reported Net Income		$2,915		$6,857
EPS - Diluted		$3.58		$8.34

Core Results		$3,083		$7,348
EPS - Diluted		$3.78		$8.94

Total Worldwide Sales Volumes (mboe/day)		645		601

Total Worldwide Crude Oil Realizations ($/BBL)		$55.97		$88.26
Domestic Natural Gas Realizations ($/MCF)		$3.46		$8.03

Wtd. Average Basic Shares O/S (mm)		811.3		817.6
Wtd. Average Diluted Shares O/S (mm)		813.8		820.5

Shares Outstanding (mm)		811.9		810.2

Cash Flow from Operations	$	5,800	$	10,700

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
2009 Fourth Quarter
Net Income (Loss)
($ millions)


	Reported							Core
	Income			Significant Items Affecting Income				Results
Oil & Gas	$	1,643		$	170		Asset impairments	$	1,813

Chemical		33							33

Midstream, marketing and other		81							81

Corporate
Interest expense, net		(33	)						(33	)

Other		(108	)						(108	)

Taxes		(673	)		(55	)	Tax effect of adjustments		(728	)

Income from continuing operations		943			115				1,058
Discontinued operations, net of tax		(5	)		5		Discontinued operations, net		-
Net Income	$	938		$	120			$	1,058


Basic Earnings Per Common Share
Income from continuing operations	$	1.16
Discontinued operations, net		(0.01	)
Net Income	$	1.15						$	1.30

Diluted Earnings Per Common Share
Income from continuing operations	$	1.16
Discontinued operations, net		(0.01	)
Net Income	$	1.15						$	1.30

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
2008 Fourth Quarter
Net Income (Loss)
($ millions)


	Reported							Core
	Income			Significant Items Affecting Income				Results
Oil & Gas	$	339		$	599		Asset impairments	$	996
					58		Rig contract terminations

Chemical		127			90		Plant closure		217

Midstream, marketing and other		170							170

Corporate
Interest expense, net		(16	)						(16	)

Other		(54	)						(54	)

Taxes		(118	)		(238	)	Tax effect of adjustments		(356	)

Income from continuing operations		448			509				957
Discontinued operations, net of tax		(5	)		5		Discontinued operations, net		-
Net Income	$	443		$	514			$	957


Basic Earnings Per Common Share
Income from continuing operations	$	0.55
Discontinued operations, net		-
Net Income	$	0.55						$	1.18
Diluted Earnings Per Common Share
Income from continuing operations	$	0.55
Discontinued operations, net		-
Net Income	$	0.55						$	1.18

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
2009 Twelve Months
Net Income (Loss)
($ millions)


	Reported							Core
	Income			Significant Items Affecting Income				Results
Oil & Gas	$	4,735		$	8		Rig terminations	$	4,913
					170		Asset impairments

Chemical		389							389

Midstream, marketing and other		235							235

Corporate
Interest expense, net		(109	)						(109	)

Other		(405	)		40		Severance		(350	)
					15		Railcar leases

Taxes		(1,918	)		(77	)	Tax effect of adjustments		(1,995	)

Income from continuing operations		2,927			156				3,083
Discontinued operations, net of tax		(12	)		12		Discontinued operations, net		-
Net Income	$	2,915		$	168			$	3,083


Basic Earnings Per Common Share
Income from continuing operations	$	3.60
Discontinued operations, net		(0.01	)
Net Income	$	3.59						$	3.80

Diluted Earnings Per Common Share
Income from continuing operations	$	3.59
Discontinued operations, net		(0.01	)
Net Income	$	3.58						$	3.78

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
2008 Twelve Months
Net Income (Loss)
($ millions)


	Reported							Core
	Income			Significant Items Affecting Income				Results
Oil & Gas	$	10,651		$	58		Rig contract terminations	$	11,308
					599		Asset impairments

Chemical		669			90		Plant closure		759

Midstream, marketing and other		520							520

Corporate
Interest expense, net		(26	)						(26	)

Other		(346	)						(346	)

Taxes		(4,629	)		(238	)	Tax effect of adjustments		(4,867	)

Income from continuing operations		6,839			509				7,348
Discontinued operations, net of tax		18			(18	)	Discontinued operations, net		-
Net Income	$	6,857		$	491			$	7,348


Basic Earnings Per Common Share
Income from continuing operations	$	8.35
Discontinued operations, net		0.02
Net Income	$	8.37						$	8.97
Diluted Earnings Per Common Share
Income from continuing operations	$	8.32
Discontinued operations, net		0.02
Net Income	$	8.34						$	8.94

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
Items Affecting Comparability of Core Results Between Periods

The item(s) below are included in core results and are shown in this table
because they affect the comparability between periods.

Pre-tax
Income / (Expense)	Fourth Quarter		Twelve Months
	2009	2008	2009	2008

Foreign Exchange Gains & (Losses) *	8	88	36	91

*Amounts shown after-tax

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
Worldwide Effective Tax Rate

	QUARTERLY						YEAR-TO-DATE
	2009		2009		2008		2009		2008
REPORTED INCOME	QTR 4		QTR 3		QTR 4		12 Months		12 Months
Oil & Gas (a)	1,643		1,464		339		4,735		10,651
Chemicals	33		72		127		389		669
Midstream, marketing and other	81		77		170		235		520
Corporate & other	(141	)	(135	)	(70	)	(514	)	(372	)
Pre-tax income	1,616		1,478		566		4,845		11,468

Income tax expense
Federal and state	338		189		65		686		2,188
Foreign (a)	335		360		53		1,232		2,441
Total	673		549		118		1,918		4,629

Income from continuing operations	943		929		448		2,927		6,839

Worldwide effective tax rate	42%		37%		21%		40%		40%


	2009		2009		2008		2009		2008
CORE RESULTS	QTR 4		QTR 3		QTR 4		12 Months		12 Months
Oil & Gas (a)	1,813		1,464		996		4,913		11,308
Chemicals	33		72		217		389		759
Midstream, marketing and other	81		77		170		235		520
Corporate & other	(141	)	(135	)	(70	)	(459	)	(372	)
Pre-tax income	1,786		1,478		1,313		5,078		12,215

Income tax expense
Federal and state	338		189		303		708		2,426
Foreign (a)	390		360		53		1,287		2,441
Total	728		549		356		1,995		4,867

Core results	1,058		929		957		3,083		7,348

Worldwide effective tax rate	41%		37%		27%		39%		40%



(a) Revenues and income tax expense include taxes owed by Occidental but paid by governmental
entities on its behalf. Oil and gas pre-tax income includes the following revenue amounts by periods.

	2009		2009		2008		2009		2008
	QTR 4		QTR 3		QTR 4		12 Months		12 Months
	400		338		250		1,227		2,051

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
2009 Fourth Quarter Net Income (Loss)
Reported Income Comparison

	Fourth			Third
	Quarter			Quarter
	2009			2009			B / (W)
Oil & Gas	$	1,643		$	1,464		$	179
Chemical		33			72			(39	)
Midstream, marketing and other		81			77			4
Corporate
Interest expense, net		(33	)		(33	)		-
Other		(108	)		(102	)		(6	)
Taxes		(673	)		(549	)		(124	)
Income from continuing operations		943			929			14
Discontinued operations, net		(5	)		(2	)		(3	)
Net Income	$	938		$	927		$	11

Earnings Per Common Share
Basic	$	1.15		$	1.14		$	0.01
Diluted	$	1.15		$	1.14		$	0.01


Worldwide Effective Tax Rate		42%			37%			-5%



OCCIDENTAL PETROLEUM
2009 Fourth Quarter Net Income (Loss)
Core Results Comparison

	Fourth			Third
	Quarter			Quarter
	2009			2009			B / (W)
Oil & Gas	$	1,813		$	1,464		$	349
Chemical		33			72			(39	)
Midstream, marketing and other		81			77			4
Corporate
Interest expense, net		(33	)		(33	)		-
Other		(108	)		(102	)		(6	)
Taxes		(728	)		(549	)		(179	)
Core Results	$	1,058		$	929		$	129

Core Results Per Common Share
Basic	$	1.30		$	1.14		$	0.16
Diluted	$	1.30		$	1.14		$	0.16

Worldwide Effective Tax Rate		41%			37%			-4%

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
2009 Fourth Quarter Net Income (Loss)
Reported Income Comparison

	Fourth			Fourth
	Quarter			Quarter
	2009			2008			B / (W)
Oil & Gas	$	1,643		$	339		$	1,304
Chemical		33			127			(94	)
Midstream, marketing and other		81			170			(89	)
Corporate
Interest expense, net		(33	)		(16	)		(17	)
Other		(108	)		(54	)		(54	)
Taxes		(673	)		(118	)		(555	)
Income from continuing operations		943			448			495
Discontinued operations, net		(5	)		(5	)		-
Net Income	$	938		$	443		$	495

Earnings Per Common Share
Basic	$	1.15		$	0.55		$	0.60
Diluted	$	1.15		$	0.55		$	0.60


Worldwide Effective Tax Rate		42%			21%			-20%



OCCIDENTAL PETROLEUM
2009 Fourth Quarter Net Income (Loss)
Core Results Comparison

	Fourth			Fourth
	Quarter			Quarter
	2009			2008			B / (W)
Oil & Gas	$	1,813		$	996		$	817
Chemical		33			217			(184	)
Midstream, marketing and other		81			170			(89	)
Corporate
Interest expense, net		(33	)		(16	)		(17	)
Other		(108	)		(54	)		(54	)
Taxes		(728	)		(356	)		(372	)
Core Results	$	1,058		$	957		$	101

Core Results Per Common Share
Basic	$	1.30		$	1.18		$	0.12
Diluted	$	1.30		$	1.18		$	0.12

Worldwide Effective Tax Rate		41%			27%			-14%

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
SUMMARY OF OPERATING STATISTICS

	Fourth Quarter		Twelve Months
	2009	2008	2009	2008
NET SALES VOLUMES PER DAY:
United States
Crude Oil and Liquids (MBBL)
California	92	97	93	89
Permian	168	167	168	168
Midcontinent Gas	11	9	10	6
Total	271	273	271	263
Natural Gas (MMCF)
California	282	221	250	235
Permian	197	188	199	181
Midcontinent Gas	166	187	186	171
Total	645	596	635	587
Latin America
Crude Oil (MBBL)
Argentina	37	32	37	32
Colombia	36	39	39	37
Total	73	71	76	69
Natural Gas (MMCF)
Argentina	30	24	30	21
Bolivia	12	21	16	21
Total	42	45	46	42
Middle East / North Africa
Crude Oil and Liquids (MBBL)
Oman	43	27	39	23
Dolphin	20	23	21	21
Qatar	48	48	48	47
Yemen	28	22	29	23
Libya	9	10	7	15
Bahrain	1	-	-	-
Total	149	130	144	129
Natural Gas (MMCF)
Oman	19	23	22	24
Dolphin	198	209	213	184
Bahrain	40	-	10	-
Total	257	232	245	208

Barrels of Oil Equivalent (MBOE)	650	620	645	601

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
SUMMARY OF OPERATING STATISTICS

	Fourth Quarter		Twelve Months
	2009	2008	2009	2008
NET PRODUCTION PER DAY:
United States
Crude Oil and Liquids (MBBL)	271	273	271	263
Natural Gas (MMCF)	645	596	635	587

Latin America
Crude Oil (MBBL)
Argentina	36	38	36	34
Colombia	36	39	39	38
Total	72	77	75	72

Natural Gas (MMCF)	42	45	46	42

Middle East / North Africa
Crude Oil and Liquids (MBBL)
Oman	45	28	39	23
Dolphin	20	22	22	20
Qatar	46	48	48	47
Yemen	27	22	28	23
Libya	5	8	6	15
Bahrain	1	-	-	-
Total	144	128	143	128

Natural Gas (MMCF)	257	232	245	208

Barrels of Oil Equivalent (MBOE)	644	623	643	603

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
SUMMARY OF OPERATING STATISTICS

	Fourth Quarter					Twelve Months
	2009		2008			2009		2008

OIL & GAS:
PRICES
United States
Crude Oil ($/BBL)		70.90		52.64			56.74		91.16
Natural gas ($/MCF)		4.37		4.67			3.46		8.03

Latin America
Crude Oil ($/BBL)		58.65		47.48			49.43		70.53
Natural Gas ($/MCF)		2.93		4.99			3.01		4.43

Middle East / North Africa
Crude Oil ($/BBL)		73.11		59.09			58.75		94.70

Total Worldwide
Crude Oil ($/BBL)		69.39		53.52			55.97		88.26
Natural Gas ($/MCF)		3.37		3.72			2.79		6.10



	Fourth Quarter					Twelve Months
	2009		2008			2009		2008
Exploration Expense
United States	$	53	$	53		$	160	$	95
Latin America		13		18			27		53
Middle East / North Africa		33		142			80		259
Other Eastern Hemisphere		-		2			-		1
TOTAL REPORTED	$	99	$	215		$	267	$	408
Less - non-core impairments		-		(81	)		-		(81	)
TOTAL CORE	$	99	$	134		$	267	$	327

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
SUMMARY OF OPERATING STATISTICS


	Fourth Quarter				Twelve Months
Capital Expenditures ($MM)	2009		2008		2009		2008
Oil & Gas
California	$	152	$	244	$	554	$	802
Permian		85		207		413		485
Midcontinent Gas		41		149		118		389
Latin America		125		301		526		848
Middle East / North Africa		253		323		1,021		1,058
Exploration		57		107		152		263
Chemicals		91		86		205		240
Midstream, marketing and other		124		160		554		492
Corporate		4		17		38		87
TOTAL	$	932	$	1,594	$	3,581	$	4,664


Depreciation, Depletion &	Fourth Quarter				Twelve Months
Amortization of Assets ($MM)	2009		2008		2009		2008
Oil & Gas
Domestic	$	305	$	334	$	1,237	$	1,094
Latin America		165		140		628		453
Middle East / North Africa		237		181		823		760
Chemicals		76		72		298		311
Midstream, marketing and other		31		21		110		73
Corporate		6		5		21		19
TOTAL	$	820	$	753	$	3,117	$	2,710

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
CORPORATE
($ millions)

	31-Dec-09			31-Dec-08

CAPITALIZATION

Long-Term Debt (including current maturities)		$	2,796		$	2,740

Notes Payable			-			7

Others			25			25

Total Debt		$	2,821		$	2,772


EQUITY		$	29,159		$	27,325

Total Debt To Total Capitalization			9%			9%

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
SUMMARY OF OPERATING STATISTICS


	2005	2006	2007	2008	2009
SALES VOLUMES PER DAY:
United States
Crude Oil and Liquids (MBBL)
California	76	86	89	89	93
Permian	158	161	163	164	164
Midcontinent Gas	6	9	8	10	14
Total	240	256	260	263	271
Natural Gas (MMCF)
California	242	256	254	235	250
Permian	111	117	112	116	125
Midcontinent Gas	192	215	227	236	260
Total	545	588	593	587	635
Latin America
Crude Oil (MBBL)
Argentina	-	33	32	32	37
Colombia	32	33	37	37	39
Total	32	66	69	69	76
Natural Gas (MMCF)
Argentina	-	17	22	21	30
Bolivia	-	17	18	21	16
Total	-	34	40	42	46
Middle East / North Africa
Crude Oil and Liquids (MBBL)
Oman	27	28	31	34	50
Dolphin	-	-	5	26	25
Qatar	71	73	81	80	79
Yemen	39	40	37	32	35
Libya	8	23	22	19	12
Bahrain	-	-	-	-	-
Total	145	164	176	191	201
Natural Gas (MMCF)
Oman	70	67	67	53	49
Dolphin	-	-	67	231	257
Bahrain	-	-	-	-	10
Total	70	67	134	284	316

Barrels of Oil Equivalent (MBOE)	519	601	633	675	714


*This schedule reflects what production volumes would have been for the past 5 years if all production had been
represented on a pre-tax basis and Permian gas properties as part of Midcontinent Gas

Investor Relations Supplemental Schedules

OCCIDENTAL PETROLEUM
SUMMARY OF OPERATING STATISTICS

	2009
	Qtr 1	Qtr 2	Qtr 3	Qtr 4	Total
SALES VOLUMES PER DAY:
United States
Crude Oil and Liquids (MBBL)
California	97	90	92	92	93
Permian	166	163	162	164	164
Midcontinent Gas	13	14	15	15	14
Total	276	267	269	271	271
Natural Gas (MMCF)
California	216	232	269	282	250
Permian	124	124	133	122	125
Midcontinent Gas	280	265	251	241	260
Total	620	621	653	645	635
Latin America
Crude Oil (MBBL)
Argentina	45	37	30	37	37
Colombia	41	42	39	36	39
Total	86	79	69	73	76
Natural Gas (MMCF)
Argentina	33	30	27	30	30
Bolivia	15	19	18	12	16
Total	48	49	45	42	46
Middle East/North Africa
Crude Oil and Liquids (MBBL)
Oman	46	49	50	54	50
Dolphin	23	29	26	26	25
Qatar	75	82	77	80	79
Yemen	42	32	34	32	35
Libya	6	14	9	15	12
Bahrain	-	-	-	1	-
Total	192	206	196	208	201
Natural Gas (MMCF)
Oman	53	50	48	42	49
Dolphin	233	282	258	256	257
Bahrain	-	-	-	40	10
Total	286	332	306	338	316

Barrels of Oil Equivalent (MBOE)	713	719	702	722	714


*This schedule reflects what production volumes would have been for the 4 quarters of 2009 if all production had been
represented on a pre-tax basis and Permian gas properties as part of Midcontinent Gas

ex99_4-20100128.htm

Fourth Quarter 2009

Earnings Conference Call

January 28, 2010

Fourth Quarter 2009 Earnings - Highlights

• Core Results - $1.1 Billion vs. $957 Million in 4Q08

– Core EPS $1.30 (diluted) vs. $1.18 in 4Q08.

• Net Income - $938 Million vs. $443 Million in 4Q08

– EPS $1.15 (diluted) vs. $0.55 in 4Q08.

– 4Q09 net income includes after-tax non-core charges
mostly consisting of a $115 mm impairment of certain
Argentine producing properties.

($ in millions)

4Q 08

Sales Price

Sales

Volume

Exploration

Expense

All Others*

4Q 09

$996

$1,813

$746

$83

$35

$47

*All Others include: Lower FX gains and higher DD&A rate partially offset by lower operating costs.

Fourth Quarter 2009 Earnings - Oil & Gas
Segment Variance Analysis - 4Q09 vs. 4Q08

• Core Results for 4Q09 of $1.8 B vs. $1.0 B in 4Q08

– The increase was due to higher crude oil prices and sales volumes and lower
operating expenses.

4Q09 4Q08

Reported Segment Earnings ($ mm) $1,643 $339

WTI Oil Price ($/bbl) $76.19 $58.73

NYMEX Gas Price ($/mcf) $4.29 $6.97

Oxy’s Realized Prices

Worldwide Oil ($/bbl) $69.39 $53.52

US Natural Gas ($/mcf) $4.37 $4.67

Fourth Quarter 2009 Earnings -
Oil & Gas Segment

Fourth Quarter 2009 Earnings -
Oil & Gas Segment - Production

4Q09 ; 4Q08

• Oil and Gas Sales Volumes (mboe/d) 650 620

– + 4.8% year-over-year or 30 mboe/d.

• Year-over-year sales volume increase includes:

– + 23 mboe/d from Oman and Bahrain;

– + 6 mboe/d from Argentina, and;

– + 13 mboe/d from California operations, excluding Long Beach;

– partially offset by - - 7 mboe/d of volumes in the Middle East caused
by higher oil prices affecting our PSCs.

Fourth Quarter 2009 Earnings -
Oil & Gas Segment - Production

4Q09 ; 3Q09

• Oil and Gas Sales Volumes (mboe/d) 650 628

– + 3.5% quarter-over-quarter or 22 mboe/d.

• Sequential sales volume increase includes:

– Bahrain production and development activities began on 12/1/09;

– Argentina volumes increased by 8 mboe/d. 3Q09 included a 9
mboe/d loss due to the Santa Cruz strike;

– California volumes, excluding Long Beach, increased by 3 mboe/d;

– Oman volumes increased by 4 mboe/d from the Mukhaizna field.

• Exploration expense was $99 million in 4Q09.

4Q 08

Sales

Volume / Mix

All Others

Operations/

Manufacturing*

Sales Price

4Q 09

$217

$33

$27

$42

$35

$288

($ in millions)

*Lower energy costs.

Fourth Quarter 2009 Earnings - Chemical
Segment Variance Analysis - 4Q09 vs. 4Q08

• Core Results for 4Q09 of $33 mm vs. $217 mm in 4Q08

– Reflects the continued weakness in most domestic markets, but in particular U.S.
housing, durable goods and agricultural sectors.

4Q 08

Marketing

Gas

Processing

Power

Generation

All

Others

4Q 09

$170

$81

$132

$18

($ in millions)

$18

Dolphin

Pipeline

Fourth Quarter 2009 Earnings - Midstream
Segment Variance Analysis - 4Q09 vs. 4Q08

• Core Results for 4Q09 of $81 mm vs. $170 mm in 4Q08

– The decrease was due to lower year-over-year margins in the marketing
business, partially offset by improved NGL margins resulting from lower
maintenance expenses, energy costs and property taxes in the gas processing
business and higher income from the Dolphin Pipeline.

Fourth Quarter 2009 Earnings -
Full Year 2009 Results

YTD2009 YTD2008

• Net Income ($ mm) $2,915 $6,857

EPS (diluted) $3.58 $8.34

• Core Results ($ mm) $3,083 $7,348

EPS (diluted) $3.78 $8.94

• Oil and Gas Sales Volumes (mboe/d) 645 601

– +7.3% year-over-year

• Oil and gas cash production costs, excluding production and property taxes, were
$10.37 p/boe for 2009, a 15% decline from 2008 full year costs of $12.13 p/boe.

• Taxes - other than on income were $1.77 p/boe for 2009 compared to $2.62 p/boe
for all of 2008. These costs, which are sensitive to product prices, reflect lower
crude oil and gas prices in 2009.

• Capex for 2009 was $3.6 billion.

– Capital expenditures by segment were 79% in Oil and Gas, 6% in Chemical and 15% in
Midstream.

– The Oil and Gas expenditures were 56% in foreign operations and 44% domestically.

$7,600

$40

$1,065

$1,750

$1,230

Available

Cash

Capex

Net Debt

Issuance

Dividends

Acquisitions

& Foreign

Bonuses

Ending Cash

Balance

12/31/09

Cash

Flow From

Operations

$5,800

($ in millions)

Beginning

Cash

$1,800

12/31/08

$3,600

Other

Debt

Issuance

$740

Debt

Reduction

$700

Fourth Quarter 2009 Earnings -
Full Year 2009 Cash Flow

Fourth Quarter 2009 Earnings -
Shares Outstanding, Debt and Returns

Shares Outstanding (mm) 2009 12/31/09

Weighted Average Basic 811.3

Weighted Average Diluted 813.8

Basic Shares Outstanding 812.0

Diluted Shares Outstanding 814.4

2009

Debt/Capital 9%

ROE 10.3%

ROCE 9.6%

Fourth Quarter 2009 Earnings -
2010 Reporting Changes

• Beginning in 2010, we are making three reporting changes
which will impact comparability between years.

• #1 — Historically, our production volumes have been reported
as a mix of pre-tax and after tax volumes while our revenues
have reflected only pre-tax sales.

– Difference is caused by our PSCs in the Middle East and North Africa
where production is immediately taken and sold to pay the local income
tax.

– We have treated this as additional revenues but not additional
production.

– To simplify our reporting and to conform with industry practice, our
production and our revenues will now be tied.

– Beginning this year we will refer to production on this more accurate and
consistent basis.

– All references to growth and volume comparisons will be against these
reformatted production volumes.

– For example, the production from last year will be referred to as 714
mboe/d rather than 645 mboe/d for the year.

– This change will have no effect on the company's financial statements.

Fourth Quarter 2009 Earnings -
2010 Reporting Changes

• #2 — We have combined most of our gas production in the mid
-continental regions of the US into a single business unit called
Midcontinent Gas.

– This was done in order to take advantage of common development
methods and production optimization opportunities.

– This business unit will include:

• the Hugoton field;

• the Piceance basin;

• and the bulk of the Permian basin non-associated gas assets, which had
been reported as part of the Permian business unit through the end of 2009.

– Starting in 2010, these assets will be reported in Midcontinent Gas.

– As a result, Midcontinent Gas unit's production will be approximately
75% gas and 25% liquids.

– Permian's production will go from 84% liquids and 16% gas, to 89%
liquids and 11%, mostly associated, gas.

Fourth Quarter 2009 Earnings -
2010 Reporting Changes

• #3 — Capitalized CO2

– Oxy's policy regarding tertiary recovery is to capitalize costs, such as
CO2, when they support development of proved reserves and generally
expense these costs when they support current production.

– In 2009, we capitalized approximately 50% of the CO2 injected in the
Permian basin.

– As the CO2 program matures, a larger portion of the injected gas
supports current production.

– Beginning in 2010, we will be expensing 100% of the CO2 injected, in
order to simplify the process of determining the portion that should be
capitalized versus expensed.

– In 2009, $69 million of CO2 costs were capitalized.

Fourth Quarter 2009 Earnings - 1Q10 Outlook

• We expect oil and gas sales volumes to increase from the
reformatted 4Q09 amount of 722 mboe/d to about 730 to 740
mboe/d in 1Q10 at about current oil prices.

– Production increases will come from California, Bahrain and Oman.

• Commodity Price Sensitivity - Earnings

– At current market prices, a $1.00 per barrel change in oil prices impacts oil
and gas quarterly earnings before income taxes by about $36 mm;

– A swing of $0.50 per mm BTU in domestic gas prices has a $24 mm impact
on quarterly earnings before income taxes;

• We expect 1Q10 exploration expense to be about $75 mm
for seismic and drilling for our exploration programs.

Fourth Quarter 2009 Earnings - 1Q10 Outlook

• For the Chemical segment:

– The international markets remain solid;

– In the U.S., we have a competitive advantage against foreign
products; however, the housing and construction markets remain
weak, which will limit improvement in sales volumes and margins.

– Chemical earnings for 1Q10 are expected to be in the range of $30
mm to $50 mm.

• We expect our combined worldwide tax rate in 1Q10 to be in
the range of 42 to 43 percent depending on the split between
domestic and foreign sourced income.

Fourth Quarter 2009 Earnings -
2010 Capital Spending and DD&A

• We expect capital spending for the total year of 2010 to be
about $4.3 billion.

– Our capital program will continue to focus on ensuring that our returns
remain well above our cost of capital.

– The additional capital from 2009's $3.6 billion level will be allocated to
the Oil and Gas segment.

– Of this increase:

• about a quarter each will go to California and Iraq;

• about 15% to Bahrain and 10% to Midcontinent Gas.

– As a result, the capital allocation will be approximately 82% in Oil and
Gas with the remainder being spent in Midstream and Chemical.

• Our Oil and Gas DD&A expense for 2010 should be
approximately $10.75 p/boe.

• Depreciation for the other two segments should be
approximately $450 million.

Fourth Quarter 2009 Earnings -
California Exploration

• Excluding the Kern County
discovery:

– Over the course of a couple of
years, we have drilled 39 exploration
wells seeking non-traditional
hydrocarbon bearing zones in
California.

– Of these wells, 12 are commercial
and 10 are currently being
evaluated;

– Oxy holds 1.3 mm acres of net fee
minerals and leasehold in CA, which
have been acquired in the last few
years to exploit these opportunities.
Discoveries similar to the Kern
County discovery are possible in this
net acre position.

– Additionally, we continue to pursue
shale production which is expected
to produce oil on this acreage.

*Production and producing wells as of each of the quarterly earnings disclosure dates.

Fourth Quarter 2009 Earnings -
California Exploration - Kern County Discovery

KERN COUNTY DISCOVERY AREA

The discovery, which is near Elk Hills, is not below any
producing zones.

4Q09 3Q09 2Q09 1Q09

Gross Production*

– Natural Gas (mmcf/d) 145 105 74 28

– Liquids (mb/d) 7.5 8.5 5 3

– Total mboe/d 31.7 26.0 17.3 7.7

Number of producing wells* 15 10 6 4

San Joaquin

Valley

OXY Producing Properties

Exploration Acreage

Elk Hills

Long Beach

& Tidelands

San

Francisco

Sacramento

Bakersfield

Los Angeles

Sacramento

Valley

Fourth Quarter 2009 Earnings -
California Exploration - Kern County Discovery

• Cumulative gross production
since the start of production
through 12/31/09 has been 19.4
bcf of gas and 1.5 mm barrels of
liquids;

• We expect to drill 8 wells in the
first half of 2010 focusing on oil
drilling and exploring the limits of
the field;

• We also expect to add skid
mounted gas processing facilities
by 2Q10;

• We expect to add to our gas
production once these facilities
are installed.

ex99_5-20100128.htm

EXHIBIT 99.5

Forward-Looking Statements

Statements in this release that contain words such as “will,” “expect” or “estimate,” or otherwise relate to the future, are forward-looking and involve risks and uncertainties that could significantly affect expected results. Factors that could cause actual results to differ materially include, but are not limited to: global commodity price fluctuations and supply/demand considerations for oil, gas and chemicals; not successfully completing (or any material delay in) any expansions, field development, capital projects, acquisitions, or dispositions; higher-than-expected costs; political risk; operational interruptions; changes in tax rates; exploration risks, such as drilling of unsuccessful wells; and commodity trading risks. You should not place undue reliance on these forward-looking statements which speak only as of the date of this release. Unless legally required, Occidental does not undertake any obligation to update any forward-looking statements as a result of new information, future events or otherwise. U.S. investors are urged to consider carefully the disclosures in our Form 10-K, available through the following toll-free telephone number, 1-888-OXYPETE (1-888-699-7383) or on the Internet at http://www.oxy.com. You also can obtain a copy from the SEC by calling 1-800-SEC-0330.