Company: OXY-WT
Filing Date: 2025-03-20
Form Type: DEF 14A
Source: 0000797468-25-000054
Chunk: 34

Company: OCCIDENTAL PETROLEUM CORP /DE/
Filing Date: 2025-03-20
Form: DEF 14A
Chunk 34
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 to enhance our DAC technology for implementation in Phase2 of the project, which is expected to commence operations in mid-2026. These technologyadvancements are expected to reduce operational expenditures and optimize certain design elementsfor future DAC projects. The importance of these low-carbon projects and our associated emissionsreduction efforts to Occidental’s business strategy is reflected in the2024annual cash incentive (ACI)award sustainability metrics established by the Compensation Committee after consideration ofshareholder feedback.                                                                                                                                                                                                                                               |
| Operational ExcellenceExecution efficiencies, along with strong new well deliverability and enhanced base production, enabledOccidental to achieve our highest annual U.S. oil production, as well as record total companyproduction at 1.33 million barrels of oil equivalent (BOE) per day, in2024. Well performance leadershipacross our operated U.S. onshore positions in the Delaware, DJ, Midland and Powder River Basins aswell as sustained Gulf of America production drove record annual U.S. oil production, and ourinternational assets in Oman, the UAE and Algeria contributed to the overall company record.In2024, with senior leadership focused on cost efficiencies, our teams reduced domestic leaseoperating expenses per barrel by approximately 9% and lowered well costs by roughly 12% across allunconventional basins. Total spend per barrel as a performance metric within Occidental’s2024ACIaward reinforces the importance of these efforts.Additionally, Occidental continued to demonstrate industry leadership and the long-term sustainability ofour business through increasing our year-end proved reserves balance. In2024, Occidental increasedour proved reserves by approximately 600 million BOE to approximately 4.6 billion BOE, which is thehighest in the company’s history. This represents an all-in reserves replacement ratio of 230% and anorganic reserves replacement ratio of 112%.1While delivering on operational outperformance, teams across all segments remained dedicated tooperating safely and responsibly. Occidental achieved our best employee safety performance ever with0.16 TRIR2, tying our previous record from 2020, despite higher activity levels in2024. |
| Financial SuccessStrong operational performance drove Occidental’s 2024 financial achievements across all segments,enabling the company to generate $4.9 billion of free cash flow.3In addition to our Oil and Gas segment,Occidental Chemical Corporation (OxyChem or OCC) outperformed, achieving over $1.1 billion inreported income, and our Midstream and Marketing segment also performed exceptionally well,significantly